Capital growth

I was recently approached by an ex-colleague who went out to pursue his dream in becoming a financial adviser. Me, being always an avid listener to any financial/investment plans, decided to allow to share what’s on his mind, but of course, with the expectation that i may not want to invest in the plan yet. He was with the Hong Leong group’s financial planning thingy and have been doing this for some time now.

What he proposed was capital building and growth, while at the same time, interest and bonus as well. Which sounds like a good plan. You have 6 yrs to build up a capital of RM120k (translated to about RM20k/year). You’ll get a 2-yearly bonus of RM6000 for the first 4 yrs, Rm8000 for the next 4, and RM10k for the next few years remaining till maturity period. Maturity is in 30 years, and you don’t have to put in any single cent after the 6th year to continue receiving the bonus.

While at that, you’ll still get interest on top of your capital (of about 4%/year – conventional number given to me) which will essentially grow your capital until maturity to quite a handsome sum (> RM250k). Of course, you could withdraw from the investment anytime you want and still get whatever that you have already put in back plus the interest.

Understood from him that there’s a limited fund size of few millions only and i’m not sure if it’s been filled yet. If you guys are interested, probably can check out Hong Leong directly yourself If not, we can always check out AED and do direct-selling of those equipments. Hehe.