To achieve the goal of wealth accumulation, you may have holdings in equities, gold and other investment products. Yet, different investment instruments carry different levels of risk. For more risky investment products, you may need to spend more time on watching the market and rebalancing asset allocation in a timely manner. In the face of any adverse economic changes, increased market volatilities might affect the value of the assets in your hand. If you resort to “cash is king” and count on your savings, the interest returns might not be able to catch up with inflation. So, how to achieve wealth growth in a prudent manner in order to realise your long term visions while taking care of your family with comprehensive protection?
Protection Solution for Prudent Wealth Management
“Never put all your eggs in one basket” is a wise saying in the world of finance. In a holistic wealth management solution, the investment risk tolerance must be balanced against the expected potential returns. Like a pyramid, asset allocation must have a solid foundation, formed by conservative instruments with the lowest risk exposure, in order to sustain the long term wealth growth. Savings and life insurance plans help boost wealth with a prudent and low-risk approach to realising steady asset accumulation while offering life protection. When making your choice, the following key points should be considered:
- There are all sorts of savings and life insurance plans available in the market. Make sure you understand the respective wealth management strategies and compare carefully in order to find the product that best fit your needs. For example, some plans may allow partial withdrawal in cash when the policy is in force, which can be helpful in coping with any sudden need with higher financial flexibility.
- Some savings and life insurance plans come with annual policy dividends, helping to give a boost to the potential return on the policy.
- Savings insurance plans also offer life protection as the first line of defence. The advantage of such a benefit is that the amount will not be eroded by external factors, minimising the risk of loss in an adverse investment environment.
- Working as a medium-to-long-term protection solution, such plans are beneficial in achieving long-term savings objectives through asset accumulation.
- When planning for your wealth growth strategy, you should also make an assessment to identify any shortfall in your family’s medical and health protection. You would probably like to rest assured that you and your family can receive timely treatment for any health problem without having your family’s financial reserve eaten up by the medical bills.
- You can enjoy more convenience and advantages by buying insurance through your bank with other banking services. Besides offering a wide range of life insurance products, Hang Seng jointly provides medical protection schemes with the health insurance specialist in Hong Kong. For more details of medical protection schemes , please click here.