Earlier this week, Dave said that he received his account value statement for his Wealth Xtra Investment Account which he purchased about 2 years ago from EON Bank. He did grumbled about the current value of the investment as the value had dropped about 40%. He even think to sell of the fund to get back the cash. The next day, he showed me the account value statement with Investment-Link Fund's Performance Report and the Uni.Asia insurance policy he purchased together with the investment.
After a details reading of the insurance policy and some googling, then I understood his Wealth Xtra Investment. It is a bancassurance product by Eon Bank with the purpose to provide protection and investment for their investors. The insurance coverage is 125% of the sum insured or the current Account Value, whichever is higher, upon death. For the investment, Dave invested in Uni Global IPO fund. At the current slow economic growth, the fund is not performing well.
After further understanding of the Wealth Xtra Assurance & Investment account, Dave decided not to sell of or surrender his policy. He decided to give more time for the fund to perform. He also said, 2 years ago, the officer from the EON Bank promoted this fund for him without telling him further details. What she mentioned was the Uni Global IPO fund will make money. After he signed up the policy, when he went to the bank to look for her for enquiries, she's no longer working there and other officer informed him to go to Uni.Asia office for enquiries. I can tell he really frustrated when the officer not able to explain to him accordingly.
I think things will be much better if the organization put their customers' interest first than their own interest. For this case, it's easy just to get the cash from the investors, get them to sign on the policy. But, later who will take care of them? Who will provide assistance when the real needs arise?
Dave said next time he will be extra careful when purchase a product which involved different assurance or investment product offered by different organization. Because, we don't trust them to handle our cash. I hate it when one party push to another party. I prefer to deal with a certain bank for their banking product sand another different insurance company for their insurance services.
Be careful before you sign on the dotted lines...