HSBC Life unveils indexed universal life policy with gold tracking

Families in APAC are expected to transfer about $5.8t in wealth by 2030.

HSBC Life has launched the HSBC Aspire Prime Indexed Universal Life product in Hong Kong, aimed at professional investors looking for flexible investment options with downside protection features to support legacy planning.

The launch comes amidst rising demand from high-net-worth individuals (HNWIs) for structured insurance solutions and recent regulatory developments in the indexed universal life segment. 

According to research, families in Asia-Pacific are expected to transfer about $5.8t in wealth by 2030, driving increased interest in legacy planning products.

The new policy offers exposure to major indices such as the S&P 500, Hang Seng Index, and the LBMA Gold Price Index USD AM. 

HSBC Life said this is the first product in the Hong Kong market to include gold price tracking, offering investors diversification beyond equities.

Policyholders can allocate premiums between an Index Account, linked to market performance, and a General Account, which earns daily interest. 

The product features a 0% minimum rate for the Index Account, meaning no negative returns will be credited, though index-linked gains are subject to a cap. 

It also offers a cumulative guaranteed 3% annual interest on premiums paid, less charges, upon full policy surrender.

HSBC Life Hong Kong and Macau CEO Daisy Tsang said demand from high-net-worth clients across Asia is increasing, and the firm’s new business premiums from this segment have doubled year-on-year.