Singapore, 2 April 2018 - AIA Singapore today announced S$494 million in par fund bonuses projected for 2018. Policyholders of some participating policies will have higher annual or terminal bonus / dividend rates, and others will be maintained at the current scale.
More than 70,000 policies will benefit from the bonus scale increase with an average increase of 17%. Some of these policies are expected to have bonus rates that are higher than illustrated at point-of-sale due to favourable performance on these products. We will be writing to inform our par fund policyholders by July 2018.
Mr Patrick Teow, Chief Executive Officer of AIA Singapore, said, “As a company, we are committed to manage the long-term performance of our par fund for our policyholders. And, over the last decade we have consistently delivered one of the strongest returns that outperformed industry averages. We are confident that our par fund is well-placed for sustainable, long-term growth.
The recent launch of AIA Investment Management Private Limited (“AIAIM”), which exclusively provides investment management services to AIA Group’s existing business units including AIA Singapore, reaffirms our commitment to do what’s right to maximise long-term performance of our par fund.”
Bonus and dividend declarations depends on many factors such as past investment return and its future outlook, experience of mortality, morbidity, lapses, surrenders and expenses and other business risks underlying the policies.
There are also many other considerations, such as the smoothing concept where we aim to provide stable returns over the life of the participating policy, and avoid large short term fluctuations in the bonuses declared.
AIA Investment Management Private Limited (“AIAIM”) is located in Singapore and regulated by the Monetary Authority of Singapore, the AIAIM operates as a centre of excellence responsible for supplying Asian regional fund management services to the wider AIA Group and manages a significant amount of assets of the Fund for Singapore. The AIAIM leverages expertise across the region to achieve the best possible performance for the Fund with the aim of helping our customers attain their long-term financial and investment goals
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AIA Group Limited and its subsidiaries (collectively “AIA” or the “Group”) comprise the largest independent publicly listed pan-Asian life insurance group. It has a presence in 18 markets in Asia-Pacific – wholly-owned branches and subsidiaries in Hong Kong, Thailand, Singapore, Malaysia, China, Korea, the Philippines, Australia, Indonesia, Taiwan, Vietnam, New Zealand, Macau, Brunei, Cambodia, a 97 per cent subsidiary in Sri Lanka, a 49 per cent joint venture in India and a representative office in Myanmar.
The business that is now AIA was first established in Shanghai almost a century ago. It is a market leader in the Asia-Pacific region (ex-Japan) based on life insurance premiums and holds leading positions across the majority of its markets. It had total assets of US$216 billion as of 30 November 2017.
AIA meets the long-term savings and protection needs of individuals by offering a range of products and services including life insurance, accident and health insurance and savings plans. The Group also provides employee benefits, credit life and pension services to corporate clients. Through an extensive network of agents, partners and employees across Asia-Pacific, AIA serves the holders of more than 30 million individual policies and over 16 million participating members of group insurance schemes.
AIA Group Limited is listed on the Main Board of The Stock Exchange of Hong Kong Limited under the stock code “1299” with American Depositary Receipts (Level 1) traded on the over-the-counter market (ticker symbol: “AAGIY”).