Jobert E.

Dili
BA 218 Investment Analysis and Portfolio Theory
Thursday 6:00 – 9:00

Products of 3 Philippine Financial Institution

Pru Life UK

PRULife

PRULife is a lifetime traditional protection plan that will give you savings through cash
value and dividends. It gives guaranteed insurance protection starting at premiums of
PhP 1,500/month.

Payment term Whole life (payable for the entire life span until
age 99)

Coverage period Up to age 99

Issue age 0 (7 days) to 75 years old

Limits Annual premium starts at PhP 12,000

Core benefits Death benefit of the base plan

Protection against accident, death, and disability:

 Accidental Death and Disablement – an additional cash benefit in case the
insured meets an accident that results in bodily injury, death or disability
 Personal Accident - a comprehensive accident rider that gives cash benefit in the
event the insured suffers injuries, disability, or death due to accidents
 Renewable and Convertible Level Term Assurance – a benefit that provides for
the payment of the term insurance coverage in case of death of the insured
 Payor Waiver – exemption for those insured ages 25 and below from paying the
premium on the policy if the payor stated in the policy, dies or becomes totally
and permanently disabled
 Waiver of Premium on Total and Permanent Disability– exemption from paying
the succeeding premiums if the insured becomes totally and permanently
disabled due to bodily injury or disease
Protection against critical illness:
 Crisis Cover Benefit – a cash benefit deducted from the base plan and paid in
advance if the insured has been diagnosed with or has undergone surgery due to
any of the 15 critical illnesses pre-identified by Pru Life UK
 Crisis Cover Plus – a cash benefit of up to 100% of the base plan sum assured
or benefit amount of PhP 2 million per life, whichever is lower, in the event the
insured has been diagnosed with or has undergone surgery due to any of the 15
critical illnesses covered
 Crisis Cover Waiver – a benefit that waives the insured from paying the
succeeding premiums if he/she has been diagnosed with a critical illness or has
undergone surgery due to any of the 15 critical illnesses covered
 Spouse Waiver - exemption from paying all future premiums of the base plan
policy, as well as term riders and other supplementary benefits attached to it, in
the event the spouse of the insured becomes disabled, suffers from critical
illness, or dies before reaching age 60 or during the term of the policy, whichever
is earlier
 Sun Life Prosperity Fund

Balanced Fund
The Sun Life Prosperity Balanced Fund is ideal for:
RISK TOLERANCE: Low to Moderate

INVESTMENT HORIZON: Medium to Long Term

Just as its name implies, the Sun Life Prosperity Balanced Fund is the middle of bonds
and equities -- a mix of fixed income and investments with high growth potential, like
stocks/equity securities.
Traditionally, you can use the Sun Life Prosperity Balanced Fund to build wealth over
time while seeking other investment avenues. Balanced funds are channels for
diversification, too, as they provide potential steady income from fixed income
securities, and growth potential from equity investments.

The Sun Life Prosperity Balanced Fund is for you if:

You are ready to invest and are currently looking at a long-term investing horizon
You are willing to take the risk but are not ready to have 100% exposure in the
equity/stock market. The 'bond' portion of the Fund helps cushion the risks, should the
stock market be fluctuating unfavorably.
 SECURITY BANK CORPORATION

SB Peso Bond Fund

FUND FACTS
Long Term
Classification: Bond Net Asset Value Per Unit: 1.884264
Fund
Launch Date: 1 July 2005 Total Fund NAV: Php1,353.55 million
9:00 am – 1:30 pm any
Minimum Investment: Php 10,000 Dealing Period: banking day
Minimum Additional
Investment: Php 5,000 Trust Fee: 1.00% p.a.
Minimum Holding Redemption Two (2) banking days
Period: None Settlement: after the
SBPSUIT PM
Bloomberg Ticker: Equity redemption date

FEES*
Trustee Fee Custodianship External Auditor Fee
0.0849% 0.0017% 0.0001%
Security Bank Corporation SCB SGV & Co.

*As a percentage of average daily NAV for the month valued at Php1,386.70 million.

INVESTMENT OBJECTIVE AND STRATEGY

SB Peso Bond Fund (formerly “SB Secure Peso Fund”) aims to achieve long
term growth by diversifying mainly into medium to long term fixed income securities
such as government securities, select corporate bonds and/or notes and other
marketable instruments (“FI Securities”). The Fund aims to surpass its benchmark
which is 90% Markit iBoxx ALBI Philippines (Domestic) + 10% O/N Special Savings
Account Rate (net of withholding tax).

CLIENT SUITABILITY

A client profiling process should be performed prior to participating in the Fund to

guide the prospective investor if the Fund is suited to his/her investment objectives and
risk tolerance. Clients are advised to read the Declaration of Trust/Plan Rules of the
Fund, which may be obtained from the Trustee, before deciding to invest.

SB Peso Bond Fund is suitable only for investors who:

 Have a moderate risk tolerance.
  Are aware of potentially higher returns in fixed income securities apart from
deposits & deposit substitutes.
 Have the possibility to be exposed to capital losses given the volatile nature of
the bond markets.
 Have an investment horizon of at least one (1) year.

KEY RISKS AND RISK MANAGEMENT

You should not invest in this Fund if you do not understand or are not comfortable with
the accompanying risks.

 Market | Price Risk – The possibility for an investor to experience losses due to
changes in market prices of securities.
 Liquidity Risk – The possibility for an investor to experience losses due to
inability to sell or convert assets into cash immediately or in instances where
conversion to cash is possible but at a loss.
 Credit Risk – The possibility for an investor to experience losses due to a
borrower’s failure to pay principal and/or interest in a timely manner.
 Reinvestment Risk – The possibility of having lower returns or earnings when
maturing funds or the interest earnings of funds are reinvested.
 Interest Rate Risk – The possibility for an investor to experience losses due to
changes in interest rates.

INVESTMENT POLICY / PROSPECTIVE INVESTMENTS

The Fund may be invested and reinvested in investments allowed under
regulations issued by the Bangko Sentral Ng Pilipinas (the “BSP”) relating to
investment quality and their being subject to marked-to-market valuation, where
deemed applicable thereof and shall be in the form of any of the following:

 Fixed income securities issued by or guaranteed by the Philippine

government or the Bangko Sentral ng Pilipinas
 Exchange listed fixed income securities
 Marketable instruments that are traded in an organized exchange
 Fixed Income Securities and Loans traded in an organized market
 Loans arising from repo agreements which are transacted through an
exchange recognized by the SEC
 Savings accounts and/or time deposits in any bank or financial institution,
including Security Bank Corporation provided the bank observe the principle
of best execution and no purchase/sale be made with related counterparties
without considering at least 2 (two) competitive quotes from other sources
 The Fund may avail of financial derivatives solely for the purpose of hedging
risk exposure of the existing investments of the Fund, in accordance with
existing BSP hedging guidelines and the Trustee’s risk management and
hedging policy approved by the Trust Committee and disclosed to fund
participants
 Such other tradable investment outlets/categories as the BSP may allow