The AXA Wealth Invest is now known as the HSBC Life Wealth Invest.
The HSBC Life Wealth Invest is a single premium investment-focused investment-linked policy letting you invest your CPF Ordinary Account (CPF-OA), CPF Special Account (CPF-SA), and Supplementary Retirement Scheme (SRS) funds.
With this plan, you can achieve various financial goals and tailor them to suit your investment needs.
Here is our review of the HSBC Life Wealth Invest.
Read on!
My Review of the HSBC Life Wealth Invest
HSBC Life Wealth Invest may be a good fit for you if you want to participate in long-term financial returns.
This insurance policy allows you to invest in a diversified portfolio of investment-linked sub-funds, which have the potential to generate higher financial returns than traditional endowment and whole-life policies.
Additionally, HSBC Life Wealth Invest offers flexibility when it comes to liquidity or withdrawal.
You can make regular withdrawals from your policy or switch your investments between different sub-funds to adjust your portfolio according to your changing needs or financial goals.
If you are comfortable with the financial market volatility and are willing to take some investment risks, HSBC Life Wealth Invest may offer you the potential for higher financial returns over the long term.
However, it is important to remember that investment returns are subject to market risks, and there is no guarantee of returns.
Moreover, if you are looking for an insurance option without medical underwriting, HSBC Life Wealth Invest may be a good choice for you.
This means that you can purchase a policy without undergoing a medical examination, depending on the policy you choose and your age at the time of application.
However, HSBC Life Wealth Invest may not be suitable for those of you who prefer more stable, low-risk investment options, or if you are uncomfortable with market volatility.
The HSBC Life Wealth Invest also allows you to invest via Cash/SRS and CPF funds, which, in my view, would empower you to take better control of your finances.
As you can see from the table, the investment options have different entry age requirements; Cash premiums at a minimum of 1 month compared to 21 years for both SRS & CPF.
Additionally, they also have varying maximum ages: 60 years old with Cash versus 58 when it comes to SRS & CPF investments.
An additional benefit is that those investing in Cash may receive dividends as cash payouts, but this option isn’t available via the SRS or CPF fund route.
Cost-wise, if you’re looking for value, your best bet could be using your CPF funds for the HSBC Life Wealth Invest, given there isn’t any premium charge on any CPF investments.
Speaking of fees, I must say that the 5% premium charge for cash and SRS payments is high compared to its peers like the AIA Invest Easy, GREAT Invest Advantage, PRULink InvestGrowth, and NTUC Income’s WealthLink.
Its competitors charge anywhere between 3 to 3.5% in sales charges – which is much cheaper!
Despite the fees, I think the funds offered by the Cash/SRS solutions are pretty good – I believe some of the funds are only for accredited investors!
But the funds in the CPF version don’t seem to perform as well as the Cash/SRS versions.
Looking at the top 10 funds, you must take on more risk (less diversification) to achieve higher returns.
This is especially risky since these are your CPF funds; you should be extra careful with them.
Also, your CPF funds offer risk-free returns of 2.5%/3.5%, which the funds must beat to make it worth investing with them.
Ultimately, the suitability of HSBC Life Wealth Invest will depend on individual circumstances, risk tolerance, and financial goals.
Because what I think is good might not be the best for you.
Take some time to compare different investment policies before you make your decision.
We also recommend getting a second opinion on whether the HSBC Life Wealth Invest suits you as investing is a big financial commitment, especially since the minimum investment amount is $10,000.
If you want to get a second opinion, we partner with unbiased financial advisors representing multiple companies, and they can help you find an investment plan that might suit you better.
Click here for a free second opinion.
Here’s more about the HSBC Life Wealth Invest:
Criteria
- Minimum investment amount: $10,000
| Relevant Party | Entry Age for Cash Premium | Entry Age for CPF/SRS |
| Policyholder | 18 – 60 years old | 21 – 58 years old |
| Life Assured | 1-month-old – 60 years old | 21 – 58 years old |
Premium Terms
You may choose to make premium payments via cash, CPF-OA, CPF-SA, and SRS funds.
Single Premium
By default, the HSBC Life Wealth Invest is a single premium policy; thus, you can only make a single lump sum premium payment,
The minimum single payment amount you can invest in the policy is $10,000.
However, if you decide to make top-ups or regular contributions, HSBC Life lets you do so via Recurring Single Premiums and Premium Top-Ups.
Recurring Single Premium
You can make a recurring single premium of $1,200 per year, $600 every 6 months, or $300 every 3 months. Monthly payments are not allowed.
In addition, you can continue making these payments until you reach the age of 60 for policies paid in cash and 58 for CPF/SRS policies.
Top-up Premium
You may also top-up your premium payments during the policy term until you are 60 years of age for a cash policy and 58 years old for SRS/CPF.
The minimum top-up amount is $500.
Protection
Death Benefit
If the insured has passed away while the insurance policy is still active, the Death Benefit paid out will be either 101% of premiums paid up minus any partial withdrawals or the policy’s current value – whichever is higher.
Terminal Illness Benefit
This is paid should the life insured be diagnosed with a terminal illness before the age of 99.
The payout will be whichever option is the higher amount –
- 101% of the total premiums you’ve paid, minus any partial withdrawals, or
- The policy’s current value.
Note: Unpaid policy charges will be deducted from the Death or Terminal Illness Benefit before paying out.
Maturity Benefit
The HSBC Life Wealth Invest policy will mature when the Life Assured reaches the age of 99. At maturity, the full account value will be paid out to you.
To understand how much you’ll receive after your HSBC Life Wealth Invest matures, read the benefit illustration in your policy summary.
Key Features
Regular Withdrawals
You can make regular withdrawals from your insurance policy.
You can withdraw a set amount of money every month, every 3 months, every 6 months, or every year.
However, the minimum amount you can withdraw each time is $1,200 per year, $600 every six months, $300 every 3 months, or S$100 every month.
Fund Switching
You can switch some or all of those units from one fund to another.
However, you’ll need to ensure you’re switching at least $1,000 of the original fund’s value and leave no less than $1,000 worth of investment.
If it’s below $1,000, you must completely switch all the units out of that fund.
HSBC Life Wealth Invest Top 10 Performing Funds (Cash/SRS)
The HSBC Life Wealth Invest invests in unit trusts. For Cash/SRS policies, you will invest directly into the underlying sub-funds.
Here are the top 10 performing funds for the HSBC Life Wealth Invest (Cash/SRS):
| Fund Name | Annualised Performance (5-Years) |
| Pictet Premium Brands HP SGD | 12.52 |
| BlackRock GF World Technology A2 USD | 11.44 |
| Amundi Pioneer US Equity Fundamental Growth A USD | 10.89 |
| BlackRock GF World Healthscience A2 USD | 10.56 |
| Franklin Technology A Acc USD | 9.62 |
| AB SICAV I – Sustainable US Thematic Portfolio AH SGD | 9.47 |
| Fundsmith Equity R Acc EUR | 9.03 |
| Threadneedle (Lux) American Smaller Companies 1U USD | 8.71 |
| Mirova Funds – Mirova Global Sustainable Equity Fund R/A NPF USD | 8.32 |
| Schroder ISF Taiwanese Equity A Acc NAV | 8.2 |
Accurate as of May 2023.
HSBC Life Wealth Invest Top 10 Performing Funds (CPF-OA/CPF-SA)
However, for CPF policies, you may only invest in insurer sub-funds.
| Fund Name | Annualised Performance (5-Years) |
| HSBC Life World Healthscience | 8.02 |
| HSBC Life Global High Growth | 7.38 |
| HSBC Life Global Perspective | 7.28 |
| HSBC Life Global Growth | 4.54 |
| HSBC Life Total Return Multi-Asset Advantage | 4.09 |
| HSBC Life Global Balanced | 3.31 |
| HSBC Life Global Secure | 2.47 |
| HSBC Life Singapore Bond | 1.82 |
| HSBC Life India Opportunities | 1.81 |
| HSBC Life Shariah Global Equity | 1.71 |
Accurate as of May 2023.
HSBC Life Wealth Invest Fees And Charges
The following table shows fees and charges incurred by the HSBC Life Wealth Invest policy, which are deducted either from the premiums or the cancellation of Units:
| Fees/Charges | Amount |
| Sales Charge | Up to a maximum of 5% of the initial single premium, recurring single premium, or top-up premium. |
| Redemption Fee | Currently NIL |
| Fund Switching Fee | Currently NIL |
| Fund Management Charge | The fees charged for managing the funds will differ between each fund and will be paid from the assets of the ILP Sub-Funds. |
| Other Charges on Underlying Funds | The underlying funds vary depending on the fees, charges, and expenses their managers and service providers impose.
It will also differ between various underlying funds. |
Please note that investing in CPF funds does attract any fees and charges.
HSBC Life Wealth Invest Summary
| Cash and Cash Withdrawal Benefits | |
| Cash Value | Yes |
| Cash Withdrawals | No |
| Health and Insurance Coverage | |
| Death | Yes |
| Total Permanent Disability | No |
| Terminal Illness | Yes |
| Critical Illness | No |
| Early Critical Illness | No |
| Health and Insurance Coverage Multiplier | |
| Death | No |
| Total Permanent Disability | No |
| Terminal Illness | No |
| Critical Illness | No |
| Early Critical Illness | No |
| Optional Add-on Coverage | N.A. |
| Additional Features and Benefits | Yes |
