We would like to inform you that the Insurance Authority has issued a new set of guidelines on Investment-Linked Assurance Scheme (“ILAS”). In view of the new guidance, your investment risk appetite and your relevant trading knowledge / experiences would be considered to assess suitability when you apply for a new ILAS policy, perform policy top-up, fund switching or change of fund allocation, effective on 21 September 2020.

To keep your investment risk profile updated – Risk Profile Questionnaire (RPQ)

We would like to take this opportunity to recommend you to keep your investment risk profile updated. In particular, if you would like to choose / invest in derivative funds, the relevant trading knowledge / experiences must also need to be fulfilled. Otherwise, we may not be able to process your instruction.

You can simply update the RPQ by contacting your Financial Consultant and you are encouraged to inform us of any material changes of your investment risk profile.

Frequently Asked Questions

Q. What is the new set of guidelines on Investment-Linked Assurance Scheme (ILAS) issued by the Insurance Authority?         

A. The new set of guideline specifies detailed requirements on the sale process for ILAS products and aims to ensure customers fully appraise of the nature, key features and risks of such products.

Q. What does the new set of guidelines mean to me?

A. You may be required to conduct Risk Profile Questionnaire (RPQ) when you apply for a new application, top-up, fund switching and change of allocation of ILAS policy.  In particular, if you would like to choose / invest in derivative funds as an option, the relevant trading knowledge / experiences must also need to be fulfilled.

Q. What is Risk Profile Questionnaire (RPQ)? Is there any expiry date of RPQ?

A. The objective of RPQ is to assess customer’s investment risk appetite, and to determine if a particular ILAS product and its underlying investment choices are suitable for you. In general, there is no expiry date for RPQ, however we recommend you to refresh it every 12 months or when there is any material changes on the information provided.

Q. How do I find out whether a fund option is a derivative fund?

A. You may refer to the latest Product Key Facts of the reference funds of the investment options.  They are available at https://www.axa.com.hk/en/investment-linked-insurance.  You are also welcome to contact us or your Financial Consultant.

Q. If I do not update my Risk Profile Questionnaire (RPQ), or the RPQ result suggests that the derivative funds are not suitable for me, would that impact my existing benefit?

A. If no derivative fund is involved, your existing benefit would in general not be affected by your latest updated RPQ result;

If derivative fund is involved (e.g. you would like to increase your asset allocation of the derivative fund in your existing portfolio), the relevant trading knowledge / experiences must also need to be fulfilled. You will then need to complete the new set of RPQ in order to proceed your instruction.