Diversify Your Currency Asset Investments with Stellar

Are you looking to diversify your currency asset investments? In today’s globalized economy, diversifying your investment portfolio across various currencies is crucial for mitigating risk and enhancing returns. While diversification can potentially increase returns, it is not without risks, especially in the face of global political instability, conflicts, and trade tensions, such as those between the US and China, or the ongoing war between Russia and Ukraine. These factors can lead to supply chain issues and inflation.

Introducing Stellar, a top tier whole life insurance product designed to meet your currency diversification needs while providing guaranteed returns over a specific period. Stellar is provided by Archipelago Life Insurance Limited, registered with the Labuan Financial Services Authority (FSA)  since 2013.

 Why Diversify with Stellar?

1. Protection Against Major Currency Fluctuations

In 2023 and 2024, Asian currencies faced many challenges. Factors such as the conflict in the Middle East, rising U.S. Treasury yields, and shifting Federal Reserve policy expectations are putting pressure on ASIAN currencies like the Rupee, Yuan, and Ringgit. Therefore, it is wise to diversify assets into different currencies beyond your home currency.

Investing in multiple currencies helps protect your portfolio from the volatility and risks associated with holding assets in just one currency. Stellar offers a robust solution for diversifying your investments across different currencies, reducing risk, and increasing potential returns.

However, as of early 2024, Archipelago has discontinued endowment plans in SGD and AUD, focusing solely on whole life insurance in USD.

2. Guaranteed Returns

Stellar offers a guaranteed compounding annual rate. For example, with a 5% rate over a 3y ear policy term and a sum insured of USD 100,000, the policy owner can receive USD 115,763 after 3 years or USD 126,116 after 5 years. While this return rate might not be as high as some other investments, it is a guaranteed return and risk free as stipulated in the policy. The latest crediting rate is 5% for 3 years policy term and 4.75% for 5 years policy term.

Table 1.1: Term Rate for June 2024

Table 1.2: Illustrates Principal Invested at 100,000 Based on Current Rate

3. Flexible Investment Options

Stellar offers flexibility to investors with three options:

(A) Surrender the Policy: You can choose to surrender the policy after the agreed policy term of 3 or 5 years.

(B) Continue the Policy: We will send to Policy Owner a renewal notices with the guaranteed term and crediting rate 60 days before expiration. Policy owners need to respond it if wish to decline the renewal and surrender the policy. If we do not receive a response, the policy will automatically renew.

(C) Annuitization: After the initial guaranteed return period, you can choose to annuitize the policy. This means you can select the frequency and period of payments, such as monthly, quarterly, half-yearly, or annually. Once you choose to annuitize, the Account Value will be set, and we are currently offering an Annuitization Rate of 3% to increase the Annuity Payout.

Please refer to the illustration below for more details.

Table 1.3: Sample Illustration of Annuitization

Based on the illustration above, we recommend against opting for annuitization due to the value of the money. Instead, we suggest renewing the policy if you are satisfied with the renewal rate or surrendering the policy after the policy term matures.

4. Comprehensive Death Benefits

Stellar provides death benefit coverage. If the insured person passes away during the initial guaranteed term or renewal policy period, the beneficiary will receive 120% of the single premium or 120% of the Account Value at renewal. Please note, the death benefit does not cover suicide, and there is no 120% booster for the Life Assured if they are over 70 years old. Upon payment of the death benefit, the policy will be terminated.

5. Simplified Application Process

Stellar makes it easy to diversify your currency assets with a streamlined underwriting process. There are no medical check-up or financial documentation requirements, making it simple to start investing and securing your financial future.

6. Maximizing Wealth with Tax Deferred Insurance Policies

An insurance policy contains a cash value component that grows on a tax deferred basis. This growth provides a tax efficient method for wealth accumulation, making these policies a valuable asset in a high net worth individual’s investment portfolio. However, the tax benefits and implications can vary depending on local government policies, so it’s important to consider these factors when evaluating the overall financial advantages.

Required Submission Documents

For Individual Clients:

• Completed Stellar whole life insurance application form
• Certified true copy (CTC) of NRIC/passport
• Proof of TT
• KYC and compliance information form
• FATCA form

For Corporate Clients:

• Completed Stellar whole life insurance application form
• CTC of memorandum & articles (or equivalent)
• Form 24 & 49 (or equivalent)
• Company registration certificate (or equivalent)
• Board of directors’ resolution/mandate (or equivalent)
• FATCA form (or equivalent)

For individual clients, the NRIC and passport must be certified true copies, while corporate clients must provide certified true copies of the latest company registration documents. Please download the form and submit it to us at [email protected].

Four Key Parties in Stellar

(A) Life Insured: The person whose life is insured for the death benefit. The policy owner must have an insurable interest in the Life Assured. The minimum age is 18, and the maximum is 75.

(B) Policy Owner: The beneficial owner of the policy, who can exercise all rights before annuitization. The minimum age is 18, and the maximum is 75.

(C) Beneficiary: The person designated by the policy owner to receive death benefits.

(D) Annuitant: The recipient of any annuity payments made following annuitization.

Key Features of Stellar

• Single Premium: Invest from a minimum of USD 10,000 up to USD 3 million.
• Guaranteed Compounding Interest Rate: Enhances your investment growth.
• Three Annuity Options: Choose from lifetime income, income for a specified period, or a combination of both.
• Death Benefit: Greater of account value or 120% of single premium during the initial guaranteed term.
• No Medical or Financial Documentation: Simplified process for ease of investment.

Who Can Benefit from Stellar?

Stellar is ideal for:

• High Net Worth Individuals: Seeking to diversify their currency holdings and protect their wealth.

• Retirees: Wanting a stable, multi currency income stream for their retirement years.

• Families: Planning for multi generational wealth transfer and legacy planning in different currencies.

• Business Owners and Professionals: Looking to secure their financial future with diversified currency investments.

Secure Your Financial Future with Stellar

As the global economy continues to evolve, diversifying your currency asset investments is essential. Stellar provides a reliable, flexible, and high-performing solution to meet your currency diversification needs. With its guaranteed returns and comprehensive features, Stellar is your gateway to a secure and prosperous financial future.

Invest in Stellar today and take the first step towards diversifying your currency assets. Contact us at [email protected] to learn more about how Stellar can benefit you and your family. We operate under a registered financial advisory company that is registered with the central bank.

Get in Touch:

Email: [email protected]

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Whether you need a quick quote for a simple request or detailed advice for managing multiple quotations, our licensed team is here to help. Don’t miss the opportunity to secure the best coverage—reach out today!

Note: This blog post is for informational purposes only and does not constitute financial advice. Please consult with a financial advisor to determine the best investment strategy for your individual needs.