AXA Philippines is promoting an estate planning vehicle that ensures a seamless transition of wealth, minimizing delays and maximizing benefits for heirs.
Proceeds from life insurance plans are typically transferred immediately and are 100 percent tax-free for irrevocable beneficiaries, providing a lifeline to them, it said.
AXA Philippines said its Asset Master, an insurance and investment plan that provides investors with a simplified and seamless estate planning solution, can help preserve Filipinos wealth for its eventual transfer with its guaranteed life coverage of 125 percent of the one-time premium, or the plan’s account value, whichever is higher.
Filipino heirs often face a multitude of challenges, including estate taxes, frozen assets, and even astronomical medical bills left by the deceased. The estate tax rate in the Philippines further complicates matters as the Tax Code imposes a six percent tax of the value of net estate.
AXA said this could significantly eat into any inheritance, and in cases of untimely death, heirs may even require time to put together the necessary funds to settle the estate tax or even secure a loan for the purpose.
This is because when an individual dies, their assets are automatically frozen until their heirs can settle the taxes.
AXA Philippines said estate planning offers a more secure solution to these challenges.
Customers can grow their Asset Master’s account value through a suite of investment funds. The newest addition to AXA’s lineup of global equity funds, AXA Global Edge Equity Fund, allows customers to invest in expertly selected high-potential companies, positioned to benefit from the transformative trends of the global economy.
The AXA Global Edge Equity Fund via Asset Master aims to provide long-term capital growth by investing in both established and emerging companies with sustainable competitive advantages and solid financials. It is also an actively managed fund that undergoes regular asset reviews to achieve sustained growth over time.
“As Filipinos’ partner in their financial wellness journey, we want to ensure they have all the means to safeguard and grow their wealth with peace of mind. We have been in the business of protecting what matters for 25 years in the country, and so it is our priority to secure their legacy for all the succeeding years to come,” said Abel Vergara, chief proposition and products Officer at AXA Philippines.
“As proof point to this commitment, the AXA Global Edge Equity Fund uses a strategy that has a proven track record of investing early in companies positioned for growth, with some investments growing as much as 60x from the initial year. This alone provides promising longevity or sustained success over time,” he said.
