When it comes to saving for retirement, not everybody has the risk appetite to go for an investment portfolio. If you prefer a saving scheme which gives you a predictable return and allows you to sleep well, you should consider endowment plan.

Endowment policies are offered by an insurance company and can be used to help you meet a financial goal over a fixed term. For example, you can use an endowment plan to save for your retirement or your children’s education. The return of the policy is backed by the insurer and they are all under Policy Owners Protection Scheme if the insurer collapse.

Today, I will help you compare the best endowment plans currently offered in Singapore.

To be candid, traditional endowment plans are lousy. Many endowment policies mature after a long time such as 15 or 20 years and the guaranteed cash values you get back may even be less than the sum of the premiums paid.

But the new generation of endowment plans is better with shorter term (3 to 5 years) and higher guaranteed return, which may be used as an alternative of fixed deposits.

Such offers are often popular among people who have large savings idling in the bank and they are usually offered by “tranches” and fully subscribed in a short term. Below is the list of them which are still available now.

The table below will help you compare the product’s features, returns and risks.

What do you think about these plans? Simply leave your comment below. If you find this information is valuable, feel free to click the share button below and let others know…

About the Author

Ivan Guan is the author of the popular book "FIRE Your Retirement". He is an independent financial adviser with more than a decade of knowledge and experience in providing financial advisory services to both individuals and businesses. He specializes in investment planning and portfolio management for early retirement. His blog provides practical financial tips, strategies and resources to help people achieve financial freedom. Follow his Telegram Channel to join the FIRE community.
The views and opinions expressed in this article are those of the author. This does not reflect the official position of any agency, organization, employer or company. Refer to full disclaimers here.

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