UITF - Mutual Fund - VUL

Investment funds offer less risk to those who are not familiar with investing. It offers less hassle to those who don't have the time to monitor their investments. These funds provide professional management of your investment for a minimal fee.

Fund Options

There are basically three kinds of funds you can invest in the Philippines, Unit Investment Trust Funds, Mutual Funds, and Variable Universal Life Insurance. These funds are invested in various asset classes with varying risks and returns. These investment products might look the same at first glance, but each has its own advantages and disadvantages.

Unit Investment Trust Fund Mutual Fund Variable Universal Life Insurance

Description An open-ended pooled trust fund denominated in pesos or any acceptable currency, which is operated and administered by a trust entity and made available by participation. An investment company that pools the funds of many individual and institutional investors to form a massive asset base. The assets are then entrusted to a full time professional fund manager who develops and maintains a diversified portfolio of security investments. People who buy shares of a mutual fund are its owners or shareholders. A type of life insurance wherein the cash value built up can be invested in a wide variety of separate accounts, the choice of which to use is entirely up to the contract owner.

Minimum Participation Minimum intial investment can be as low as Php 10,000 and minimum additional contribution can be as low as Php 1,000 Require a minimum initial investment amount of only Php 5,000.00 and minimum additional investments of Php1,000.00. Premiums can be paid monthly, quarterly, semi annual, annually or one time payment. Monthly premium can be as low as Php 2,100.*

Minimum Holding Period Majority of UITFs have a holding period of 0-30 days. Early Redemption fees are charged if funds are withdrawn before the lapse of the minimum holding period. Minimum holding period is 30-180 days. Redemption before the lapse of holding period will be charged a redeption fee. No minimum holding period but only accumulated cash value is withdrawable.

Fees Proffessional Fees Management Fees Upfront Fees

Early Redemption Fees Sales Load Fund Management Charge

Redemption Fees Insurance Charge

Tax Estate Tax Estate Tax Income tax free death benefits

Witholding Tax Witholding Tax No estate tax if beneficiaries are irrevocable

Income tax free policy loans

Regulatory Board Banko Sentral ng Pilipinas Security and Exchange Commission Insurance Commission

Where to Invest Banks Mutual Fund Co., Banks, and Insurance Co. Insurance Companies

Ways to Compute Earnings Net Asset Value Per Unit Net Asset Value Per Share Unit Price

Advantages Convenience Convenience Tax Advantage

Minimal Minimum Investment Minimal Minimum Investment All in one product of Insurance and Investment

Loanable cash value

Websites www.bsp.gov.ph www.sec.gov.ph www.insurance.gov.ph

www.uitf.com.ph www.pifa.com.ph www.plia.org.ph

My Investments

I personally have investments in UITF and VULS. VUL provide protection and tax advantages on my investment while UITF maximizes my investment for my retirement. I invest regularly in Equity Funds and have a small portion of my portfolio in Bond Funds. Which ever product you choose, always do your research before investing.