INVESTMENT LIFE INSURANCE 'METLIFE ADVANTAGE'
Life insurance with an investment fund, sometimes called Savings Life Insurance, is a financial product that combines elements of insurance and saving through an investment component. Its primary goal is to provide compensation in the event of death while simultaneously increasing the insured's savings by investing them with the aim of growing over time. This type of insurance is suitable for people looking for a combination of insurance protection and long-term savings potential for growth.
- Combination of protection and investment: The insurance offers both insurance protection and an investment opportunity. Part of the paid premium is used to cover the risk of the insurance portion, while the remaining part is invested in investment funds. This allows insured individuals to plan for the future while ensuring the financial security of their loved ones.
- Financial security for the family: The primary goal of any life insurance is to provide financial protection to the insured's loved ones in the event of their death. It can help cover expenses such as debts, mortgage payments, education fees, or even maintain the family's standard of living. In the event of the insured's death, the policy provides financial compensation to the lawful heirs.
- Savings growth: Since a portion of the premium is invested, this product provides an opportunity for savings growth over time. The investment component also helps protect against inflation, especially if you invest in stocks or other assets that traditionally outpace inflation rates. This insurance is suitable for individuals seeking long-term saving and investing.
- Investment management: Investments can be allocated in stocks, commodities, or government securities, depending on the client's preferences. Clients can have control over how their capital is invested by choosing between various investment options with different levels of risk and return.
- Tax benefits: All individuals with life insurance receive tax benefits up to 10% of their gross annual income. (Example: If the annual contribution is 1,000 BGN, the tax benefit will be 100 BGN.)
- Non-sequestrable funds: Savings in life insurance are non-sequestrable. This means they cannot be subject to seizure and cannot be forcibly used to cover debts to creditors.
- Withdrawal of funds option: The insurance allows partial or full withdrawal of accumulated savings after the second year, which can be useful in case of financial difficulties or unexpected expenses. Despite this possibility, it is not recommended to withdraw funds during the first five years as a percentage is deducted from the savings. When withdrawing part or the entire amount after the sixth year, no percentage is deducted. You can see the exact amount of the withdrawal costs during the first five years in the general terms and conditions. (page 4, item 6.2).
- Recommended investment period: This product is suitable for long-term saving of at least 10 years, with a recommended period of 20 years, to provide the client with the necessary time to accumulate funds, overcome unfavorable market fluctuations, generate returns, and fully benefit from the persistence bonus integrated into the product.
- Insurance term: Although this insurance does not have a fixed term, it automatically terminates on the annual policy maturity following the insured's 80th birthday. It is important to know that the insurance can be terminated and the savings withdrawn without redemption costs after the sixth year from its conclusion.
- Liquidity: ETFs are traded on the exchange, which means that investors can easily buy and sell their shares throughout the trading day.
- Low Costs: Due to their passive management style (most ETFs track an index), they often have lower management fees compared to actively managed investment funds.
- Diversification: Many ETFs offer diversified exposure to a wide range of stocks, bonds, or other assets, helping investors spread risk.
- Index Tracking: Most ETFs are designed to track the performance of a specific market index. This means they offer a transparent way to invest in a particular market or segment.
- Flexibility: ETFs can be used for various investment strategies, including hedging, risk management, or gaining exposure to specific sectors, geographic regions, or asset classes.
- Transparency: ETFs typically provide information about their assets on a daily basis, making it easy for investors to understand what they have invested in.
Name: Lyxor MSCI Emerging Markets UCITS ETF
Manager: Lyxor International Asset Management
Fund currency: The fund's currency is Euro (EUR)
Fund website: Amundietf.co.uk
See more information: justetf.com
Amundi MSCI Emerging Markets III UCITS ETF EUR Acc (ISIN: FR0010429068) is an exchange-traded fund created and managed by Amundi, with assets amounting to 774 million Euros (as of January 2024), it is one of the largest asset managers in Europe. This particular ETF is designed to provide investors exposure to stocks from emerging markets by tracking the MSCI Emerging Markets index.
The fund was established in 2007 in response to the growing interest in investments in emerging markets, which often offer opportunities for higher growth compared to more mature markets.
The fund aims to achieve a return on investment by providing exposure to market instruments from emerging markets (South Africa, Argentina, Brazil, Chile, China, Colombia, South Korea, Egypt, Hungary, India, Indonesia, Israel, Jordan, Malaysia, Mexico, Morocco, Pakistan, Peru, Philippines, Poland, Czech Republic, Russia, Taiwan, Thailand, Turkey, and Venezuela).
Costs:
Current costs: 4% of the value of your investment
Portfolio management costs: 0.34% yearly
Termination costs: 0% (No fee charged upon withdrawal of the investment and when achieving results)
Yield:
2.85% - is the annual average yield of the fund since its establishment in 2007.
8.87% - is the growth of the fund over the last 5 years.
61.24% - is the growth of the fund since its establishment in 2007.
Name: iShares Core MSCI World UCITS ETF
Manager: BlackRock Asset Management Ireland Limited
Fund Currency: The currency of the fund is Euro (EUR)
Fund Website: Ishares.com
See more information: justetf.com
The fund aims to achieve a return on your investment through a combination of capital growth and income from the fund's assets, which reflects the return of the MSCI World Index. The fund invests in equity securities (e.g., shares) which make up the reference index. The reference index measures the performance of large and mid-cap companies across developed countries worldwide (Australia, Austria, Belgium, Canada, Denmark, Finland, France, Germany, Hong Kong, Ireland, Israel, Italy, Japan, New Zealand, Norway, Portugal, Singapore, Spain, Sweden, Switzerland, United Kingdom, and USA).
iShares Core MSCI World UCITS ETF invests in a wide variety of companies from developed markets around the world. The top 10 companies in which the fund invests constitute a significant percentage of the portfolio. Here are some of the leading companies in the fund's portfolio:
Apple Inc.: A technology giant and one of the world's most highly valued public companies.
Microsoft Corp.: A major player in the software and cloud technology sector.
Amazon.com Inc.: A leading online retailer and cloud service provider.
NVIDIA Corp.: A manufacturer of graphics processors and other hardware and software products.
Alphabet Inc. (Google): The parent company of Google, dominating internet search and advertising.
These companies represent a high technology and consumer focus in the fund's portfolio. It also includes significant investments in other sectors, such as financial services, healthcare, industrial, and consumer cyclical sectors. The geographic distribution of the fund primarily focuses on stocks from the United States, followed by Europe, Japan, and other developed markets.
Costs:
Current Costs: 4% of the value of your investment
Portfolio Management Costs: 0.34% annually
Costs upon termination: 0% (No fee is charged for withdrawing the investment or upon achieving results)
Yield:
11.31% - is the annual average yield of the fund from its inception in 2009 until now.
81.12% - is the growth of the fund over the last 5 years
401% - is the growth of the fund since its inception in 2009.
Name: iShares Global Government Bond UCITS ETF
Manager: BlackRock Asset Management Ireland Limited
Fund Website: Ishares.com
The fund aims to achieve an investment return through a combination of capital growth and income from the Fund's assets, reflecting the performance of the FTSE Group-of-Seven (G7) Government Bond Index. The fund primarily invests in fixed income securities (such as bonds) that make up the index and meet credit rating requirements. The index measures the performance of bonds issued or guaranteed by governments in the G7 countries, currently including Canada, France, Germany, Italy, Japan, the United Kingdom, and the United States.
iShares Global Government Bond UCITS ETF is a fund that offers investors the opportunity to invest in government bonds worldwide. These bonds are government debt instruments used by governments to finance their expenses and projects. The fund aims to offer diversification by allocating funds across multiple currencies and jurisdictions, thereby reducing the risk associated with investments in a single currency or country.
The main characteristics of these investments include:
Geographic Diversification: The fund invests in government bonds from different parts of the world, including developed and emerging markets. This allows investors to benefit from different economic cycles and interest rates in various regions.
Currency Diversification: Due to its global exposure, the fund includes bonds denominated in various currencies, helping investors diversify their currency risks.
Yield: Investing in government bonds carries the potential for generating income through the interest these bonds pay. The yield depends on interest rates and the credit risk of the issuing countries.
Low to Moderate Risk: Government bonds are considered relatively safe investments, especially those issued by stable and highly-rated governments. However, investing in bonds from emerging markets or currencies may carry an increased risk.
Costs:
Ongoing charges: 4% of the value of your investment
Portfolio management expenses: 0.36% annually
Exit charges: 0% (No fee is charged upon withdrawal of the investment and upon achieving results)
Performance:
10.49% - is the fund's return since its inception in 2009
-10.36% - is the fund's return over the last 5 years
You can download a sample Notification of Damage from here: Notification of Damage
- Notification of the occurrence of an insured event;
- Death certificate and death notice (from a doctor who certified the death);
- Certificate of heirs;
- In case of death from an accident – police report;
- In case of death from illness – medical documents;
- In case of serious illness – all available medical documents.
