'KB Choesun's Choice Variable Annuity Insurance Non-Dividend' Launch
KB Life Insurance is launching a variable product operated with derivative-linked securities that limit annual loss to -10%. It is explained that this product seeks profits while limiting losses in response to market fluctuations.
KB Life Insurance announced on the 4th that it has launched the 'KB Best Choice Variable Annuity Insurance Non-Dividend.'
This product is equipped with a smart solution fund that establishes an asset allocation strategy to respond to uncertain market conditions. This fund invests in derivative-linked securities and tracks the performance of the portfolio with the highest return at maturity among three portfolios (equity-enhanced, bond-enhanced, and commodity-enhanced).
It is characterized as the first fund in Korea operated by investing in derivative-linked securities. The derivative-linked securities embedded in the fund have no limit on maximum returns but limit the maximum possible loss to around -10% (annual yield).
Additionally, the 'KB Best Choice Variable Annuity Insurance Non-Dividend' was developed through collaboration between KB Securities and KB Asset Management, subsidiaries of KB Financial Group. It is explained that financial engineering knowledge and asset management strengths were maximized.
The eligible age for this product is from 0 to 75 years old. Annuity commencement is possible from age 45 to 90. The subscription amount starts from 30 million KRW, and the minimum accumulation period is 7 years for Type 1 (guaranteed type) and 5 years for Type 2 (non-guaranteed type).
A KB Life Insurance official said, "To prepare for financial risks accompanying customers' life cycles, various convergence products are being developed in overseas markets," adding, "We plan to continuously introduce products through affiliate collaboration to provide differentiated products in the future."
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