about wealth planning
Polytechnics and ITEs
18- 29 years old
This is a wealth management game that is played over 15 weekdays. Each day represents 1 “year” in life, thus the game will be “15 years” long. Our main character in the game is Phillip, a 25 year old male, non-smoker, with no history of medical problems. At the end of the game, Phillip will be 40 years old.
Your task is to manage Phillip’s portfolio over this “15-year” period, helping him to accumulate his wealth while ensuring that he has adequate coverage.
Each “year”, the value of investments will increase and decrease according to market fluctuations. There will also be a variety of “news headlines” available on the website at various times of the day, which may be indicative of market sentiments. Be careful, life events over the “years” will also affect Phillip’s wealth. A salary can increase his assets while an expense can decrease his assets.
At the end of the game, the participant with the highest asset value (investments, savings, insurance surrender value all included) will be the winner, followed by the 2nd and 3rd highest asset values.
Allocate Phillip’s Assets into:
General Insurance excluded
by 5pm daily
At 10am every morning, you will receive these information via email and/or website:
- Insurance Benefit Illustrations if it were bought in that year
- Managed Accounts Unit value
- Unit Trust Net Asset Value (NAV) of the funds at that point in the year
- Any life events and occurrences in Phillip’s life
You will be able to construct Phillip’s portfolio by purchasing insurance or rebalancing his investments.
By 5pm, you will be required to submit your investments/desired transactions via email. There will be a template provided for submission of transactions.
For Insurance: Please specify name of product and desired coverage/contribution (if applicable).
For Unit Trusts: Please specify the name of the fund and the desired investment amount.
For Managed Accounts: Please specify the desired investment amount.
If the game action file is not submitted, it will be taken as an indication that the participant does not wish to make changes to the portfolio. Any net inflow will be allocated to cash at bank. Any net expenses will be deducted from cash at bank. If cash at bank is insufficient to cover the expense, we will liquidate the most recent investment(s), up to the amount payable for the expense.
If multiple game action files are submitted before the 5pm cut off, the latest file will be taken as the final instruction for execution from the participant.
If game actions are submitted after the 5pm cut off time on T+0 and before the release of new information at 10am on T+1, it will be deemed as their desired game actions for T+1 cut off, provided they do not submit any further game action files for T+1.
There are various types of insurance such as Life Insurance, Health Insurance and General Insurance, each serving different objectives. In this game, general insurance policies will not be available for purchase.
Life Insurance can be purchased to provide financial protection or coverage. A sum assured will be paid out in the event of death and on the coverage of the policy, the sum assured may also be paid in the case(s) of permanent disability or critical illness.
Life Insurance can also be purchased to provide for retirement planning, savings or investments. Some life insurance products such as endowment policies bundle a savings and investment element with insurance protection.
Accidents and illnesses are usually unforeseen and may result in high medical and/or hospitalisation costs for an individual. As a result of the injury/illness, the individual may also be unable to work during recovery. Health insurance policies can help the insured and his family cope with these expenses.
In this game, the purchase of Life Insurance will be made compulsory for all participants.
There will be 2 endowment policies that are available for purchase.
There will be 1 hospitalisation plan available for purchase.
Find out more about the In-Game Insurance Policies on the Insurance tab.
A Managed Account Service is an individually managed investment portfolio that is beneficially owned by the individual investor and managed on a discretionary basis.
In this game, you will be introduced to a Phillip SMART Portfolio (“SMART”) that is moderately aggressive for growth and income that is available for purchase.
SMART is a discretionary investment service that matches a best-fit portfolio with your online risk analysis.
SMART works by embracing technology and our investment expertise to make investing effortless for you. Whether it is your mobile or your desktop – SMART enables you to seamlessly set up an investment account, fund and monitor the performance of the account – all done online. Once your account has been set up, SMART’s team of investment managers will structure for you a diversified portfolio across geographical regions, countries and industry sectors that is most likely to benefit from the prevailing economic situations.
Phillip SMART Portfolio invests in Exchange-Traded Funds listed on major stock exchanges. It may also invest in unit trusts, closed-end funds, investment trusts, business trusts and Exchange-traded notes.
With any portfolio, market fluctuations cause your asset allocation to stray from its target. When that happens, it’s time to rebalance by buying underweight and selling overweight asset classes.
Rebalancing is critical to successful investing. Your Phillip SMART Portfolio efficiently rebalances across asset classes and reduces volatility to help your investment growth.
Find out more about the In-Game Managed Account Portfolios on the Managed Account tab.
A unit trust is an investment vehicle comprising a pool of funds from many investors and managed by a fund manager. The fund manager invests the pooled money into assets such as stocks, bonds, money market instruments, a combination of these investments, or even other funds. Purchasing a unit trust gives you exposure to all the investments in that fund. The collective holdings of the assets held in trust will form the total portfolio of a unit trust fund.
Advantages of investing in Unit Trust:
- Professional Management by professional fund managers with expertise and experience in investments
- Diversification – investing into different companies, assets, industries, and regions means that poor performance in one sector is not likely to have a major adverse impact on the whole investment
- Windows of Investment Opportunities into overseas markets and assets that have a high minimum investment amount
- Lower Costs of buying into some stocks and bonds due to economies of scale
- Liquidity as Unit Trusts are mostly open-ended investments where investors can buy and sell on a daily basis
Considerations when investing in Unit Trust:
- Entrusted control is given to the fund manager(s)
- Low risk does not mean no risk – just like most investments, Unit Trusts are not capital-protected products
In this game, there will be 15 Unit Trust Funds across various sectors and regions for you to choose from, some of which will be launched in the middle of the game.
Find out more about the In-Game Unit Trust Funds on the Unit Trust tab.
By participating in the Wealth Challenge, each participant agrees to be bound by the rules of the competition, and the following Terms and Conditions.
The actual Competition is based on a game environment comprising projected market conditions and life events of a fictitious character and will be held from 17/09/2018 to 05/10/2018, both dates inclusive. Wealth Products valid for the competition will be stated in the game environment. The registration period has been extended to 14/09/2018 due to overwhelming response.
Eligibility for the Competition
The Competition is open to all individuals from age 18 to 29. To participate, all participants would have to first register for the competition. The following are not eligible to participate in the Competition:
- Employees/ Agents of Phillip Securities & Phillip Futures
- Existing customers of Phillip Securities
For an individual to be eligible for ranking on the game leader board, participants must summit a minimum of any 5 game actions. Game actions are defined as:
- The purchase of an Insurance product;
- A subscription of a Managed Account service
- A termination of a Managed Account service
- A purchase of a Unit Trust Fund; or
- A sale of a Unit Trust Fund.
If any participants have the same portfolio value, they will be ranked according to higher number of game actions they have taken.
- Registration for the Competition is solely via the online registration form which can be found at https://www.poems.com.sg/phillipyouthchallenge/ (“the Website”).
- Once confirmed to be eligible, applicants will be registered as participants of the Competition (“the Participant”).
- Participants who are successfully registered will receive a confirmation email.
- Participants who are found to be ineligible for any reason will be Disqualified and barred from the Competition.
- Participants may register for both the Stocks Challenge and Wealth Challenge. Each participant is only allowed to register for a maximum of one slot in each challenge.
Prize Notification and Collection
- The Competition consists of three (3) winners, seven (7) runners-up and ten (10) consolation prizes.
- On 19/10/2018, the Prize Winners for the Wealth Challenge will be announced.
- Prize Winners will be notified after the end of the Competition by email/ phone and the winners names will be published on the Website.
- Prize Winners must be able to produce relevant identification documents to collect their prize. Failure to do so would mean failure to meet the eligibility of the competition and participant will be disqualified.
- Phillip Securities reserves the right to substitute the prizes with another of equivalent value and amend any terms and conditions without prior notification. Where a dispute involving the interpretation of terms and conditions arises, the Company’s decision is final.
- By participating in the Competition, the applicant agrees that the Company may disclose your name and photos of the prize collection for publicity, if any. The applicant also agrees to allow the Company to disclose your profit/loss, portfolio allocation or any other information in connection to the Competition.
Organized by PhillipCapital, the Phillip Wealth Challenge, part of the Phillip Youth Challenge, is a simulated wealth accumulation competition that aims to introduce the concept of wealth planning to youth.
During the challenge, participants can make use of investment instruments to accumulate wealth, monitor their portfolio values and manage their cash flows. The total portfolio value of the leading 3 participants will be made known on the dashboard everyday.
The Phillip Wealth Challenge is the perfect platform as it provides you with a fun, risk-free environment to learn and test wealth accumulation strategies! Top winning participants will receive rewards at the end of the challenge.
To be eligible to take part in the Phillip Wealth Challenge:
- Participants must be from ages 18 to 29.
- Participants can be of any nationality.
- Each participant is only allowed to register for a maximum of one slot in the Wealth Challenge.
Registration has been extended to 14/09/2018 due to overwhelming response. To register,
- Visit the official website at https://www.poems.com.sg/phillipyouthchallenge/
- Click on the ‘Register’ tab.
- On the online registration page, fill in and submit the necessary information.
- Once your registration has been processed, a confirmation email will be sent to you.
After submitting your asset allocation and rebalancing decisions by 5pm, the market is deemed to be closed and the day is over. From market closure to 10am of the next day, a “year” is deemed to have passed. On the following morning, your investments will have been adjusted to the current market value of the following year.
Amendments are allowed and have to be submitted by 5pm of each “business day”.
- If the game action file is not submitted, it will be taken as an indication that the participant does not wish to make changes to the portfolio. Any net inflow will be allocated to cash at bank. Any net expenses will be deducted from cash at bank. If cash at bank is insufficient to cover the expense, we will liquidate the most recent investment(s), up to the amount payable for the expense.
- If multiple game action files are submitted before the 5pm cut off, the latest file will be taken as the final instruction for execution from the participant.
- If game actions are submitted after the 5pm cut off time on T+0 and before the release of new information at 10am on T+1, it will be deemed as their desired game actions for T+1 cut off, provided they do not submit any further game action files for T+1.