Another way of seeing how Quantum compares to the market is by looking at the Reduction in Yield (RIY) figures for the same scenario:
Source: www.lifebase.co.uk
REY stands for the Reduced Effective Yield. This is the actual growth rate that the £300 per month has grown over a period of 10 years when all of the product charges, allocation and bonuses have been taken into account.
Of the products chosen in this scenario, Quantum ranks second. But this is only one aspect of the product that a client should take into account when deciding whether this is the right option for them. The overall package of features and benefits are also important in reaching a final judgement.
Overall the product is priced competitively and has some interesting features that set it apart from some of the other offerings in the market place. If online functionality is high on the list of important features required, or if the ability to invest directly into funds is essential, then Quantum could be the path chosen by the client.
* Boal & Co launched the product comparison software LifeBase in 1997. It provides analysis of offshore life products and has been used extensively by life companies. For further details, please register at www.lifebase.co.uk.
