A: For an investment linked plan, the premiums paid generally covers life insurance protection and a certain allocation of the premiums will be used to also purchase investment units in an investment-linked fund. The price of the units (as such the performance of the investment-linked fund) depends on how the underlying investments in the fund perform. The value of your investment depends on the price of the investment-linked funds at the time you cash out your investment units. The amount of the sum insured can be chosen based on your needs and objectives.
Speak to your financial adviser representative. He/she will be able to make the recommendations based on your specific investment objectives, financial situation and particular needs.
Disclaimer:
This commentary expresses the views of Ms Phylise Er Jia Li, a financial adviser representative from AXA Life Insurance Singapore Pte Ltd. It is not made with regard to any investment objectives, financial situation or particular needs of any person. Before making an investment decision, you should speak to a financial adviser representative and/or professional services adviser to consider whether this information is appropriate to your needs, objectives and circumstances.