(26-08-2012, 11:08 AM)Bibi Wrote: [ -> ] (26-08-2012, 01:12 AM)Muck Wrote: [ -> ]I am not aware of any term plan that can cover CI to age 99. If anyone knows of one I would be most grateful and would replace my child's whole life policy with that.
I believe HSBC do sell Term (death+CI) till age 99 for children newly born. There used to be a few more companies which sell such products but many drop such policies when the demand is not there. You have to think whether its necessary to cover till age 99 and whether it is a good move to replace a Life or Endowment policy with Term. I thought of replacing my wife policies with Term and help her invest. However, as my health is not good these few years and what if i "go" at an early age? Who is going to invest for her and she knows nuts about investing?
Thanks Bibi, can't find such info on hsbc's website but will contact them directly to check.
Agree with D.O.G. about the joint responsibility part, but unfortunately, the dear spouse is totally disinterested in such endeavour as investing. When I pass on everything will just have to straddle between cash, fixed income, and index funds. Thing is, even something supposedly safe as index fund investment has been made riskier of late, as managers move out of vanilla funds to leveraged index and reverse index funds, whose performance is affected by daily price movements.
Ah YES!
My wife is not interested in investing too, since day one.
(It may be a "blessings in disguise" otherwise may have a lot of investment disagreement "@#$%" between both of us.)
Whew!
Enjoy Peace even i make investment mistakes lol.
And i do tell her about my stocks investments from time to time.
Nevertheless, i keep her informed about our assets and liabilities.
i warn her just in case (touch wood) i go first, she just have to take over.
There is no choice about it i think.
i just tell her as it is.
I had a similar situation here
I am doing the investment, my wife just receive regular "update". She is not interested at all
Maybe time to plan how she will cope with it, if i am not around (touch wood).
My investment should not demand her immediate attention if she take over. But eventually she need to make her own decision.
A Will should be way to tell her what to do.
Yes, a Will, will helps a lot.
But psychologist tells us a newly bereaved widow or widower will take sometime to be strong again and ready for anything.
He or she is at her weakest point.
Dog is correct that's where most con-artists will strike.
So it's best to have appointed a trusted relative to "standby" as co-executer of the estate or at least as a "helper or guardian".
That's why for the Chinese, we have many mourning or bereavement periods of rituals.
Though, today, the rituals are not practised so strictly anymore.
So i believe even spouse is not interested in investment, i still have to keep her involve one way or another.
i use to tell her why i buy this and why i sell that.
And oops! why and how i made mistakes and lost a lot of money.
i point to her usually due to greed and fear.
One day if spouse really have to take over at least she knows something.
And hopefully she can when she knows she has to stand "alone".
Shalom.
The trust-able relative or family members are all financial-illiterate
But to assign more than one executors may able to reduce the risk of conning.
The instruction in the Will should be simple and straight forward. But be simple and effective is always the toughest thing to do
i have thought of putting my estate into a trust.
But it's "quite expensive" to create one. i think the maintenance is expensive too.
i think it's expensive because the estate i will leave behind is not large enough to warrant a trust. (my own standard).
Usually a person has a trust because of creating a perpetual "livelihood" for a sub-intelligent child or a child who will remain a child forever.
And i impress on my only son how expensive a trust is.
So if he doesn't shows he interested or capable in investment, i will create a trust if i have to.
Anyway i think my wife somehow at least can manage to take over after all my years of nagging about investments.
(26-08-2012, 02:07 PM)Muck Wrote: [ -> ] (26-08-2012, 11:08 AM)Bibi Wrote: [ -> ] (26-08-2012, 01:12 AM)Muck Wrote: [ -> ]I am not aware of any term plan that can cover CI to age 99. If anyone knows of one I would be most grateful and would replace my child's whole life policy with that.
I believe HSBC do sell Term (death+CI) till age 99 for children newly born. There used to be a few more companies which sell such products but many drop such policies when the demand is not there. You have to think whether its necessary to cover till age 99 and whether it is a good move to replace a Life or Endowment policy with Term. I thought of replacing my wife policies with Term and help her invest. However, as my health is not good these few years and what if i "go" at an early age? Who is going to invest for her and she knows nuts about investing?
Thanks Bibi, can't find such info on hsbc's website but will contact them directly to check.
The attached file are some of the quotations given to me by an independent adviser in year 2009. One of them includes the HSBC VitalCare which covers a person only for CI till age 99. I believe they do cover Death/TPD and CI till age 99 too.
Temperament Wrote:i have thought of putting my estate into a trust.
But it's "quite expensive" to create one. i think the maintenance is expensive too.
Creating a trust is probably in the low tens of thousands of dollars. If it is a discretionary trust where you still operate the trust until you die, maintenance is a few thousand dollars a year. After you die the trustee has to take over, and that's when it gets more expensive, probably in the low tens of thousands depending on the complexity of the trust deed.
So if you are pretty sure your assets in the trust will reach a few million dollars, it is not a bad idea. If your kids (but not you) are beneficiaries then the trust's assets are also protected from your creditors.
(27-08-2012, 01:04 AM)d.o.g. Wrote: [ -> ]Temperament Wrote:i have thought of putting my estate into a trust.
But it's "quite expensive" to create one. i think the maintenance is expensive too.
Creating a trust is probably in the low tens of thousands of dollars. If it is a discretionary trust where you still operate the trust until you die, maintenance is a few thousand dollars a year. After you die the trustee has to take over, and that's when it gets more expensive, probably in the low tens of thousands depending on the complexity of the trust deed.
So if you are pretty sure your assets in the trust will reach a few million dollars, it is not a bad idea. If your kids (but not you) are beneficiaries then the trust's assets are also protected from your creditors.
IMO, one of the difficulties would be to find a trustee (whom you trust) who's also good at investing. In such a case, I guess it'd be best to leave simple instructions for the trustee not to do anything drastic to a trust that can comprise mainly of a portfolio of stocks that's expected to provide a steady stream of dividend income that'd be sufficient for the livelihood of the beneficiaries (with some dividend surplus to be reinvested into the same stocks in the portfolio to help offset inflations).
Alternatively, I was wondering if it's also possible for the trust to be a client of a Boutique Fund? ie. all the trustee need to do is to invest for the trust through the Fund Manager. If so, what's the minimum requirement, in terms of $$ value? Same $2Mil as Accredited Individuals or some other requirements?
Thx!
(26-08-2012, 09:00 PM)Temperament Wrote: [ -> ]i have thought of putting my estate into a trust.
But it's "quite expensive" to create one. i think the maintenance is expensive too.
i think it's expensive because the estate i will leave behind is not large enough to warrant a trust. (my own standard).
Usually a person has a trust because of creating a perpetual "livelihood" for a sub-intelligent child or a child who will remain a child forever.
And i impress on my only son how expensive a trust is.
So if he doesn't shows he interested or capable in investment, i will create a trust if i have to.
Anyway i think my wife somehow at least can manage to take over after all my years of nagging about investments.
This is why i have a trust (son is autistic and daughter is noisy haha) so need more than a straightforward will.
Maybe its just the limited sample size but my missus also shows no interest in investing (tried to get her to read the intelligent investor, the most important thing, etc, refuses). Says its risky... Though i always say inflation is the biggest risk of all!