Regular Savings

Regular savings aptly satisfies the advice provided by the adage “Saving for a rainy day”; in addition to encouraging a habit of setting aside a portion of one’s income towards the future. Regular savings plans are a much sought after vehicle in the financial planning universe in the context of offshore savings products.

Regular savings plans have evolved over time.They initially started off as avenues where individuals could park some of their excess salary for security and a meagre interest. The regular savings plans available now not only satisfy the basic two conditions but also provide a platformfor capital appreciation, tax savings and long-term planning. These plans offer a way of investing for the future within the structure of a life assurance policy, with investors having greater flexibility via switching funds rather than by making the same investments directly. The investor invests a fixed sum of money on a regular basis the savings plan and the money is invested into a selection of funds from an extensive menu.Investment choice is provided through a wide range of top performing investment choices from leading fund houses. These Investment-linked funds are set-up by providers to invest in unit trusts, collective investment schemes and other assets. These are known as “underlying assets”.

A few salient features of regular savings plans irrespective of the providers are:

• Lower minimum investment with an option to make one-off lump sum


• Investment flexibility with a choice from a broad range of funds

• Ability to switch funds

• Tax advantages

• Choice of plan/premium currencies

• Withdrawal flexibility

• Range of benefits such as additional life cover, death benefits

• Efficient administration with regular valuations

• Most providers will have instant, secure access to your plan details, via

the provider’s websites.

While it is essential to consider the costs and flexibility of offerings prior to making a sound investment, the ultimate goal would be to maximize the return on investment for any given risk profile of the investor. Hence it is paramount that one must carefully consider the products and in turn the funds available for investment within the products.

To conclude, regular savings plans are a great addition to one’s portfolio of investments and savings since they provide the advantages of diversification, liquidity and flexibility that an investor looks for from his/her savings plan. The key is to be aware of the options available and ensure that they satisfy your individual goals. We at Gladstone Morgan Limited would be happy to assist you in the process. For a free consultation please contact us at (852) 2868 5958 or email us at

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It should be noted the services available from Gladstone Morgan Limited will vary from country to country. Nothing in the comments above should be taken as offering investment advice or making an offer of any kind with regard to financial products or services. It is therefore important to reinforce that all comments above are designed to be general in nature and should not be relied upon for considering investment decisions without talking to licensed advisers in the country you reside or where your assets may located. Gladstone Morgan Ltd is not SFC authorized. Gladstone Morgan Ltd in Hong Kong is licensed with the Hong Kong Confederation of Insurance Brokers.