Author Topic: VUL vs. Mutual Funds and UITF (Read 27798 times)

george88 · « **Reply #105 on:** Jul 06, 2012, 07:08 PM »

Quote from: joshlegaspi on Jul 06, 2012, 06:40 PM

george88> yes, VUL is not a wise investment. Even if you read the advice of current popular finance experts (Orman, Bach, Colayco, B. Sanchez), they do not recommend VULs. Yun palang should sound an alarm as the financial experts themselves discourage VULs.

Buti nalang the stock market is doing well now, kaya kahit papano maganda takbo ng VULs ngayon.. on second thought, since you mentioned your VUL is invested entirely in an equity fund - then you should at least be earning now? Lugi pa rin ba even if the stock market now is in all time high?

Bago pa lang sir kinakaltasan pa ng premium on my 2nd year pa lang that's why hindi ako comfortable...
For he 1st 3 years kakaltasan nila ang pera ko ng 60,40,30%.... So 45,000 malalagas sa worth 105,000 na ilalalabas ko... Ilang taon kaya bago ko mabawi yang 45,000 kung magtuloy tuloy na 10-15% ang growth... wala pa dito yung ikakaltas na 2% fund managers fee and I am not sure pa din kung after 9 years eh tax free pa rin ito or imposibleng walang tax dahil magcacapital gains ang investment ko eh... At kung after at kung after 9 years eh maganda ang takbo ng economy paano kung after 9 years bumagsak ang performance bumababa ang NAVPU damay ang value...masakit ata un haha

EngrjEEpoy · « **Reply #106 on:** Jul 06, 2012, 08:39 PM »

Salamat sa mga inputs mga bossing! Keep on posting para masmaintindihan ko pa ito. I was about to sign the application form for this VUL investment until I've read this thread. Sa ngayon, mukhang hindi ko na lang itutuloy itong VUL instead e hahanap na lang ako ng ibang tamang insurance.

george88 · « **Reply #107 on:** Jul 06, 2012, 09:52 PM »

Quote from: EngrjEEpoy on Jul 06, 2012, 08:39 PM

Salamat sa mga inputs mga bossing! Keep on posting para masmaintindihan ko pa ito. I was about to sign the application form for this VUL investment until I've read this thread. Sa ngayon, mukhang hindi ko na lang itutuloy itong VUL instead e hahanap na lang ako ng ibang tamang insurance.

Ok lang yan engr.jeepoy kung insurance lang habol hindi talaga para sau ang VUL hindi kasi investment ang insurance...itong VUL is insurance+mutual fund...

EngrjEEpoy · « **Reply #108 on:** Jul 08, 2012, 01:58 PM »

Thanks george88!

Sa palagay mo, anong klaseng insurance ang dapat kong kunin?

Meron naman akong account sa FAMI kaya siguro dun ko n lng tlga ipapasok yung investments ko tapos life insurance na lang kukunin ko. Tama ba nasa isip ko ngayon? =)

mxherr5 · « **Reply #109 on:** Jul 08, 2012, 09:51 PM »

@pilgrim,

Depends sir, some has it based on the fund's value so it
might be significant depending on your fund's value.

While some have it based on your annual premium,
which is not so big relative to the money you had
to put in.

@ george, sir may plano ba kayong kumuha ng insurance?
I mean, if the replacement insurance cost the same as the
VUL, then you probably do not want to do a drop your VUL.

kithe · « **Reply #110 on:** Jul 08, 2012, 11:40 PM »

Quote from: happyknappy on Nov 08, 2011, 11:26 AM

@sir MJT, if you're saying na at the age of 80, nababawasan yung fund value ng VUL... damay din ba dun yung sum assured ng insurance ko.. for example sum assured ako for 1M... mababawasan ba yun dahil sa term insurance charge?

Life insurance coverage in Vul or the face amount will not be lessen, even if you withdraw partially, as long as it has enough funds to cover for the premium of your insurance..
The face amount or the death benefit coverage is the only guaranteed amount when you die, fund value will depend on the performance of the fund..

Para sa mga nagdadalawang isip na kumuha ng VUL or dun sa mga meron na na gusto issurender or stop ang payment..

VUL is a term insurance plan, linked with investment..
You are insured and part of your premium is invested.
It is not considered as short term investment, unless you get the SINGLE PAY PLAN.

Yes, there are charges, well there is no FREE services now..
If you think that the charges is burden to you, dahil lugi ka? Or sa computation mo ay di ka pa break even..

Well, think about this, what if you die? What if you become disabled or met an accident.. Does your family can afford to loose you? The income that support them?

Don't look at the CHARGES, look at the BENEFITS it can give to your family now and for you later..

Sa Traditional plan, di lang nilalagay or pinapakita ang mga charges like sa VUL, pero alam niyo ba na meron din yun?
Ang maganda lang sa VUL ay mas may oportunity na mabilis ang paglago ng pera mo over long term, kasi nga naka linked sa investment..
Sa traditional plans, although guaranteed ang cash value, depende din sa dividends kung meron ideclare ang company..

bauer · « **Reply #111 on:** Jul 09, 2012, 12:04 PM »

Quote from: kithe on Jul 08, 2012, 11:40 PM

Sa Traditional plan, di lang nilalagay or pinapakita ang mga charges like sa VUL, pero alam niyo ba na meron din yun?

Sa traditional plans, malinaw na ang binayaran ay para sa insurance premium kaya wala na kailangan pa na itago or hindi ipakita. There are more statements that i disagree BUT i will not discuss it any longer. Magaling mag share ng jokes si kithe, and i like her for that matter.

mikoangelo · « **Reply #112 on:** Jul 09, 2012, 12:07 PM »

nice..nakuha n agad ni kithe kiliti mo sir ah...

kithe · « **Reply #113 on:** Jul 09, 2012, 12:42 PM »

@ Sir bauer, pakisaad po ninyo yung mga comment na disagree kayo ng maliwanagan ako.. Salamat po.

george88 · « **Reply #114 on:** Jul 09, 2012, 01:58 PM »

Quote from: kithe on Jul 08, 2012, 11:40 PM

Life insurance coverage in Vul or the face amount will not be lessen, even if you withdraw partially, as long as it has enough funds to cover for the premium of your insurance..
The face amount or the death benefit coverage is the only guaranteed amount when you die, fund value will depend on the performance of the fund..

Para sa mga nagdadalawang isip na kumuha ng VUL or dun sa mga meron na na gusto issurender or stop ang payment..

VUL is a term insurance plan, linked with investment..
You are insured and part of your premium is invested.
It is not considered as short term investment, unless you get the SINGLE PAY PLAN.

Yes, there are charges, well there is no FREE services now..
If you think that the charges is burden to you, dahil lugi ka? Or sa computation mo ay di ka pa break even..

Well, think about this, what if you die? What if you become disabled or met an accident.. Does your family can afford to loose you? The income that support them?

Don't look at the CHARGES, look at the BENEFITS it can give to your family now and for you later..

Sa Traditional plan, di lang nilalagay or pinapakita ang mga charges like sa VUL, pero alam niyo ba na meron din yun?
Ang maganda lang sa VUL ay mas may oportunity na mabilis ang paglago ng pera mo over long term, kasi nga naka linked sa investment..
Sa traditional plans, although guaranteed ang cash value, depende din sa dividends kung meron ideclare ang company..

Thanks for the info kithe...

I think I will continue it na lang 35k per annum is big enough for additional funds if I'll get small condo or a car payable within 10 years haha...

So this is part of my porfolio now until 2021 and no plan to extend it this is the fund that I'm gonna use to buy the farm that I want in our province I'm just hoping that farm land will not cost 1,000/per sqm at that time...

Since I'm going to continue it I think I need to push my bussiness ideas connected to this VUL i just need a brainstorming with a people who can give me an advise if the business is feasible or not...

kithe · « **Reply #115 on:** Jul 09, 2012, 02:15 PM »

@ Sir george88,

homebasedinvestor · « **Reply #116 on:** Jul 10, 2012, 11:53 PM »

Sa tagal ko ng pagbabasa dito s PMT forum, isa lang ang nakita kong logic, ito yun ibat ibang pangangailangan ng tao na dumedepende s kanyang values principle, long term and short term goals and aspirations s buhay niya. I for one nag avail ako ng VUL pero pinag aralan ko mabuti, pinanood ko si Suze Orman (which I am not a follower kasi iba and mga US financial product), Colayco et al. And I made the decision based on how I know myself. Nag compute din ako for term insurance and its almost the same sa VUL mag a advance payment k nga lang.
VUL is like a forced savings for me, kasi sobrang sayang yun mga nahulog mo to stop paying the premium, also this is for my long term goal and will be part of my retirement savings. 10 years ang minimum ko n time frame. This may not work for most of the people here but this is the perfect option for me. My payment will due this December and I have saved for it in advance, nsa saving account ko na waiting for my December payment. I also have Philequity and another VUL with Insular with 100k investment, for pick up ko n yun check this Friday worth 122k, ito short terms kasi 7 mos lang full withdrwal na kasi ok n s kin un kita, invest ko naman s iba.
Just want to share my experience and opinion, I know this will not work for others, but it worked for me.

mxherr5 · « **Reply #117 on:** Jul 11, 2012, 09:42 AM »

May point ka sir, ang personal finance ay halos 90% discipline..
Ang knowledge ay madaling ma attain pero its difficult to use
and act on that knowledge.

The detractors of BTID say most people just buy term, then
let it lapse, and spend the difference lol

I like debating so sometimes I like to defend both approaches
but I personally have a VUL. And unless the "cost" difference
between BTID and VUL is huge, I'd always go with the VUL