Manulife Life Insurance Company said that it will begin selling Growth Currency, a new multi-currency individual annuity insurance product, which is designed to meet the needs for asset formation of Japanese consumers, through the Bank of Tokyo-Mitsubishi UFJ, from February 1, 2010.
The Growth Currency is a foreign currency-denominated fixed annuity product that meets customers’ needs who want to build foreign currency-denominated assets by using higher overseas interest rates while investing their funds in a simple manner, the company said.
According to Manulife, customers may choose the currency from among five foreign currencies, including the US dollar, Australian dollar, New Zealand dollar, Canadian dollar and the Euro. It allows customers to realize a steady increase in assets in the selected currency, as the interest rate on the fund, determined at the time of policy issue, will remain applicable to the accumulated fund during the deferral period.
In addition to the above features of Growth Currency product, a bonus will be added to the fund value at the expiration of the deferral period, and the aggregate amount of both the bonus and the fund value will be used as annuity capital; customers may determine the deferral period and annuity payout method; select the length of the deferral period to be three years, five years, or ten years; and upon expiration of the deferral period, customers can receive an annuity (or lump sum) either in the currency selected at policy issue or in Japanese yen.