[Kenya] Britam launches unit-linked investment product
Britam has launched a unit-linked investment product which offers customers the opportunity to earn high returns while providing them with life insurance protection cover.
Known as “Imarika,” the plan offers attractive and competitive returns of between 8 and 12% per annum, with a minimum guaranteed return of 5%. Imarika allows investors to invest with as little as Kshs 1,000 with subsequent top ups of any amounts, depending on one’s saving ability.
The investment also guarantees a free life insurance cover of KSh 50,000, and the interest is not subjected to withholding tax of 15 %. An investor is also allowed to apply for tax relief if the policy is 10 years or more.
A first in the market, the Imarika Plan is flexible and affordable, and gives an investor the choice on how much they want to invest, the contribution period, and the option to make lump sum contributions.
One can stop contributions and pick at a later date, without loss of the contributions. As the fund accumulates, one is allowed to make partial withdrawals of up to 30% of the fund value after three years to cater for short term needs or goals.
The product is designed to address the needs of Kenyans who want to save to meet their short and long term goals, while enjoying high returns from their investment. It targets individuals and groups, whether it is saving for education, home ownership, to start or boost a business, travelling, wedding or simply to diversify investment options.
Dr Benson Wairegi, Britam Holdings Plc Group Managing Director said innovation was one of the strategic pillars of the company’s 2016-2020 strategic plan dubbed “Go for Gold”
“Imarika was developed in response to the needs of the market, and is another feather in the cap of cutting edge products developed by Britam over the years,” Dr Wairegi said.
“The product targets Kenyans who seek to invest in low risk, but high interest earning instruments at a time when investors are looking for alternative investment platforms outside the traditional insurance products. Imarika also empowers the customer to manage their investments under very flexible terms,” said Mr Stephen Wandera, Principal Executive Director (Business), Britam Holdings Plc.
Speaking during the launch of the plan, Mr Wandera said the fund invests in quality interest bearing securities and other short-term market instruments and ensures risks are managed, while preserving the initial capital.
He said the plan offers convenience and flexibility, and one can invest by buying online or through mobile phone platforms by logging the short code *778#, enabling one to save from anywhere, any time.