Manulife Goal 2025 (II) is a short-term Endowment plan that provides guaranteed returns of 1.67% p.a. at the end of 3 years. If you include the non-guaranteed component, you can earn up to 1.83% per annum based on the higher illustrated investment rate of return (IIRR) of 2.18% per annum. The non-guaranteed maturity bonus will be 0.48% of the single premium.
Similar to earlier tranches, Manulife Goal 2025 (II) may not offer you the best guaranteed returns in town but one of the advantages of this plan is that it only requires a low minimum single premium of S$5,000 via cash or Supplementary Retirement Scheme (SRS) to get started. As endowment plans are a form of insurance, you are covered for death benefit at 101% of single premium. The application for Manulife Goal 2024 (V) is easy with guaranteed acceptance, and no health check-ups are required.
Manulife Goal 2025 (II) is issued and underwritten by Manulife (Singapore) Pte. Ltd. (“Manulife”) (Reg. No. 198002116D) and distributed by DBS. Thus, you can find this at Manulife Goal 2025 (II) | DBS Singapore.
What are Endowment Plans?
Again, if you are not familiar with Endowment plans, they are life insurance saving plans offered by insurance companies to help you with wealth accumulation. If you want to retire early, Endowment plans are also a great way to accumulate a larger nest egg for your retirement years.
The aim of wealth accumulation plan is to help policyholders save towards specific financial goals. Policy holders can contribute a regular amount for a designated period of time or pay a lump sum upfront at the start of the policy.
Upon maturity of the policy, you will be given a lump sum payout with the guaranteed return. It is best to study the plan carefully as certain endowment plans offers non-guaranteed returns.
In this case, Manulife Goal 2025 (II) offers you 1.67% p.a. guaranteed return upon maturity in 3 years.
Why Should You Buy Manulife Goal 2025 (II)?
Most of us do not like to buy investment linked insurance. As such, investors tend to avoid buying endowment plans as these are a form of insurance as well. However, if you know what you are investing into, below might change your opinion.
Let us compare Manulife Goal 2025 (II) with the popular Singapore Savings Bonds. Singapore Savings Bonds are a type of government bond issued by the Monetary Authority of Singapore that offers individuals a safe and flexible way to save money. If you hold and sell the current issue (SBOCT25 GX25100S) after 3 years, the average return per year is 1.57%.
| Year from issue date | Interest % | Average return per year %* |
| 1 | 1.56 | 1.56 |
| 2 | 1.56 | 1.56 |
| 3 | 1.58 | 1.57 |
Manulife Goal 2025 (II) offers higher guaranteed returns of 1.67% per annum as compared to 1.57% p.a. that is offered by Singapore Savings Bond.
Stack Manulife Goal 2025 (II) with DBS Multiplier Account
DBS Multiplier is a high interest yielding savings accounts whereby you can earn up to 4.10% per annum (on first S$100,000) if you credit your income (salary/dividends) and transact in at least one other category ranging from spending using DBS credit card, insurance, investing or taking a home loan with DBS Bank.
As Manulife Goal 2025 (II) is distributed by DBS, buying Manulife Goal 2025 (II) will fulfil the insurance category and earn you a higher tier interest on your DBS Multiplier Account with DBS.
Summary of Manulife Goal 2025 (II)
Below is a summary of the benefits of Manulife Goal 2025 (II) endowment plan.
- Guaranteed maturity yield of 1.67% p.a. and non-guaranteed maturity yield of up to 0.16% p.a.
- 100% capital guaranteed after 3 years upon policy maturity.
- Coverage for death benefit at 101% of single premium.
- Easy application with guaranteed acceptance and no health check-ups.
- Minimum single premium of S$5,000 via cash or Supplementary Retirement Scheme (SRS).
This is not a sponsored post and solely based on my own research and opinion. With falling interest rates, I believe everyone like me is looking for the best place to park your money to earn extra cash.