The new brand name will replace the different business names currently in use in Singapore, Hong Kong, Malaysia, Taiwan, Japan, Korea, the United Arab Emirates and Vietnam. The new brand will not apply to joint venture operations in China and India, or in Hong Kong through BOCI-Prudential.

In Singapore, the name will change from Prudential Asset Management (Singapore) Limited to Eastspring Investments (Singapore) Limited.

As a result of the change, the funds here will also undergo a name change.

PRU Income X -> Eastspring Income X

Sub funds of Prudential Unit Trusts

– PRU Pan European
– PRU Global Technology
– PRU Asian Balanced
– PRU Dragon Peacock
– PRU Global Basics
– PRU Global Balanced
– PRU Asian Infrastructure Equity
– PRU Global Positioning Strategy
– PRU Singapore Select Bond
– PRU Protected Global Titans (S$)

Eastspring Investments Unit Trusts

– Eastspring Pan European
– Eastspring Global Technology
– Eastspring Asian Balanced
– Eastspring Dragon Peacock
– Eastspring Global Basics
– Eastspring Global Balanced
– Eastspring Asian Infrastructure Equity
– Eastspring Global Positioning Strategy
– Eastspring Singapore Select Bond
– Eastspring Protected Global Titans (S$)

Sub funds of Prudential Funds

– PRU Monthly Income Plan

Eastspring Investments Funds

– Eastspring Monthly Income Plan

The name changes have no impact on the investment philosophy or process of the funds.

To leave your comments, please go to : Prudential Asset Management Renamed as Eastspring InvestmentsAs

PruAsset Guarantee is a 3-year single premium endowment plan that gives a guaranteed return of 1.4% p.a when held to maturity.

The minimum premium is $5000 and it is available for age 1-70 for cash and age 18-70 for SRS.

There’s a life coverage of 105% of the premium amount and no health underwriting is required during application.

This tranche is available on a first-come-first-served basis and is expected to sell out quickly. Contact your Prudential agent if you are interested.

To leave your comments, please go to : Launch of PruAsset Guaranteed by Prudential

This comes just after Great Eastern Life launched their own universal life product, Prestige Legacy some weeks ago. AIA also has their own universal life product, AIA Platinum Legacy.

For those who are not familiar with universal life (UL), this class of product might seem confusing at first.

An universal life product is used to provide for a large (mega) sum assured.

Premiums are usually paid in a single lump sum or spread over a few years.

Technically, the easiest way to understand how a universal life works is to relate it to a single premium investment-linked plan (ILP).

The main difference is that instead of being invested into funds, the UL will provide for a crediting rate (or interest) on the lump sum. So, it is like an ILP invested into interest generating instruments.

Prudential’s PruUniversal Vantage offers a guaranteed minimum of 3% interest.

Of course, we should never compare the interest rate we can obtain from a UL with a simple bank deposit because you need to factor in all the charges within the plan. After netting off the charges, the returns will be less than what you will receive from the guaranteed rates.

Other universal life products sold here include Manulife’s Heritage, HSBC’s Jade Global Select and Transamerica Life’s TransAce and TransUltra series.

Most universal life products are denominated in USD as the assets are usually used to buy USD denominated bonds in order to provide for a decent crediting rate.

To leave your comments, please go to : Prudential PruUniversal Vantage

The typical 30 critical illness (CI) cover that most people have provides for a claim of 100% of the insured amount in the event a critical illness occurs. The critical illness must be included in the list of 30 CI under the plan and also fit the definition of the medical condition.

While the definitions are standardized across different insurers, meeting the definition of the medical condition would usually mean that the illness is already at a fairly developed stage.

The AIA Complete Critical Cover helps to bridge this gap by classifying the critical illness into 3 severity levels – early, major and catastrophic paying out 25%, 100% and 200% of the insured amount respectively.

Multiple claims on different critical illnesses are also possible provided the total claimable amount is not more than 200% of the insured amount.

There’s also other terms and conditions to be fulfilled (e.g. Only 1 claim for Early Critical Illness, Major Critical Illness and Catastrophic Critical Illness would be payable from each Critical Illness Group under the Basic Policy) which I will not go into details here.

The minimum age of entry for the plan is 6 months and is renewable up to age 75.

The AIA Complete Critical Care can be said to be a hybrid of Great Eastern’s Early Payout Critical Care and Prudential’s PruMultiple Crisis Cover. Providing such a comprehensive coverage would of course comes at a cost.

Another similar product in the market would be TM Asia’s Cancer Care which is something like Great Eastern’s Early Payout Critical Care but is restricted to providing coverage only for Cancer.

To leave your comments, please go to : AIA Complete Critical Cover

Completion of the Sale is scheduled for 31 January 2010 or such other date as parties may mutually agree.

As part of the sales agreement, UOB will also start offering Prudential’s life, accident and health insurance products through their respective bank branches for an initial term of 12 years. This arrangement is a win-win for both parties as it allows Prudential to strengthen its market share while UOB will be able to grow its bancassurance business by leveraging more on its distribution capabilities rather than product creation.

This sale will not affect the policy terms of existing UOB Life customers. A FAQ that addresses some of the questions UOB Life policy holders might have is shown below:

Who is Prudential?

Headquartered in the UK, Prudential is a leading international financial services group with more than 160 years of history and heritage and operations spanning 13 countries in Asia. Their Singapore businesses, which include both life insurance and asset management, have provided investment, savings and protection products and solutions to Singaporean individuals and families since 1931. You can learn more about Prudential Singapore by visiting www.prudential.com.sg.

What will happen to my UOB Life policy after the sale?

There will be no change to your policy. The issuer of your policy, UOB Life, will continue to honour and service your policy before and after UOB Life is acquired by Prudential. The name of the company, UOB Life, will be changed by Prudential after completion of the sale. Prudential will inform you directly of any relevant change.

Who do I contact if I have questions about my existing UOB Life policy?

Please continue to contact UOB Life. There is no immediate change in customer support, and UOB Life will continue to service your product. Following legal completion of the transaction, Prudential will inform you directly of any relevant change.

Will the value of my UOB Life policy be affected by the sale?

The value of your UOB Life policy will be determined in accordance with the terms of your policy contract, which will be honoured by UOB Life, before and after the sale.

Which company will service my policy and life insurance needs?

You will be serviced by UOB Life. After the sale, Prudential will inform you directly if there is to be any change to this arrangement.

When will completion take place and will I be informed?

The sale is anticipated to be completed within the first half of 2010. Prudential will notify you of the completion of the sale.

Can I terminate my policy?

As the owner of the policy, you have the right to terminate your policy at any time. However, do note that any termination ofyour policy will have to be in accordance with the terms of your policy.

Should I terminate my policy?

This decision should be made in consultation with your relationship manager or financial adviser, who will consider factors like your risk profile, financial objectives, as well as your original reasons for buying the policy

To leave your comments, please go to : UOB Life Sold to Prudential