Do you have extra cash in the bank and you are not satisfied with the low return of a fixed deposit? Do you want to grow your wealth but you are wary of the investment risk? Then you should consider a short-term endowment plan with guaranteed returns.

China Life Insurance has just relaunched their popular savings plan Save Reward 101. This is a 5-year endowment plan with a guaranteed return. The guaranteed yield upon maturity is 2.08% per year.

China Life Insurance had 2 tranches of this product before and both were fully subscribed in a short period. I have a detailed write-up about this product. Unlikely many endowment plans which can’t even guarantee the principal of your investment, this savings plan has 3 Guarantees

  1. Guaranteed Yield
  2. Guaranteed Capital
  3. Guaranteed Acceptance

Protected if the insurer fails

Moreover, the policy is covered under Singapore’s Policy Owners Protection scheme which is administered by the Singapore Deposit Insurance Corporation, so even if the insurer fails, your interest is still protected.

China Life SaveReward Savings Plan

An example of returns

Just how much can 2.08% yield fetch you in 5 years? Below is an example of $25,000 annual premium.

Limited tranche

Like all the good saving plans, China Life SaveReward 101 Series III (SGD) is a limited tranche product. The reason is that for the insurance company to guarantee you such yield, they have to find a unique investment opportunity which does not come by every day.

Update: this product is fully subscribed. If you want to be notified for such products in the future, subscribe to my email updates via the form below.

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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