AXA Pulsar is an investment-linked insurance product offered by AXA agents and financial advisors, and it is often positioned as a medium to a long term regular savings plan. It belongs to a unique category of ILPs that can be used purely for investment, without any insurance element.
Given that the purpose is solely for investment, you might wonder why people would use an ILP for such a purpose. There are 3 main reasons why people would want to structure their investments through such a platform:
- Minimize/avoid inheritance taxes
- Minimize/avoid capital gains taxes
- Gain access to funds that are typically only available to institutional or accredited investors
Given the above, it is no surprise that this is especially popular with expatriate clients who can mitigate their tax exposures through such a structure.
Pulsar also appeals to many locals and residents because of the access it gives them to funds which they would not be able to otherwise access. These funds have the potential to offer them superior returns at lower risk thereby enhancing their investment portfolios.
The minimum amount starts from S$300/month, and there is flexibility to access or withdraw the accumulated monies as required.
Image is taken from axa.com.sg
Pros of AXA Pulsar
- Tax minimization
- Gain access to superior funds usually reserved for high net worth investors
- Direct control over investment mandate
- Start up and loyalty bonuses
- Multi-currency options available
Cons of AXA Pulsar
- Investment returns are not guaranteed
- Performance is directly correlated to the selection of fund(s) and the expertise, or lack thereof of the adviser. A poorly constructed portfolio can lead to unnecessary volatility and even potentially a loss of the amount invested.
- Sub-optimal if used to access funds that are more efficiently accessed through other platforms
To view simulations of AXA Pulsar returns on a year by year basis and discover how tou can use the bonuses to boost your investment returns
To understand the ‘liquidity profile’ of AXA Pulsar and find out how it compares to other plans in the market
To learn more about the ‘superior’ funds on AXA Pulsar that can complement your investment portfolio
Fill up the form below and contact us here for a discussion on AXA Pulsar.
Besides AXA Pulsar, you may want to read our post on other insurance plans at our homepage here.