Manulife Hong Kong launches tax-deductible ManuWise Deferred Annuity

HONG KONG,May 14,2019 -- Manulife Hong Kong today launches ManuWise Deferred Annuity (ManuWise),a tax-deductible Qualifying Deferred Annuity Policy (QDAP) certified by the Insurance Authority,to provide customers with more options for retirement planning. In addition to tax benefits,ManuWise aims toprovide customerswith a secure retirement supported by a stable stream of income. The total projected internal rate of return (IRR) could range from 2.47% to 4.10%[1].

Wilton Kee,Chief Product Officer for Individual Financial Products at Manulife Hong Kong

Wilton Kee,Chief Product Officer for Individual Financial Products at Manulife Hong Kong,said: "Thanks to the government'slaunchof a tax deductionpolicyfor qualifying deferred annuity premiums,we're glad to see a rise in public interest in annuities as a retirement planning tool. Our recent survey revealed that more than 30% of respondents are interested in deferred annuity products,with tax deductible benefits being the key incentive. As a customer-centric insurer,Manulife is committed to offering a wide range of savings and retirement solutions catering to different needs at different life stages. As part of that comprehensive offering,ManuWise is designed to encourage people to step up their retirement savings for future needs."

Designed to support customers in building their retirement reserves,ManuWise offersthe following features:

Tax benefits as you save for your retirement: By taking up ManuWise,customers canbe entitled to a tax deduction for their qualifying deferred annuity premiums up to a maximum limit of HK$60,000[2] per assessment year per taxpayer.

Steady stream of income for retirement: Customerscan choose a premium payment term of 5 or 10 years.Once all premiums are paid up,they will start receiving a monthly annuity income for 10 years or 20 years[3]. This income is comprised of a guaranteed portion,which is stable throughout the annuity income period,and a non-guaranteed portion which is determined by annual dividends built up in the policy. Alternatively,customers can leave their guaranteed and non-guaranteed annuity incomes with Manulife to earn interest[4].

Critical Illness Advance Benefit: If the life insured is diagnosed with a critical illness,namely cancer,stroke or heart attack,during the annuity income period,customers who choose a ManuWise plan with a premium payment period of 10 years will be offered advances of future guaranteed annuity income as immediate cash.

No medical examinationis required and no health questions need to be answered by customers who sign up for the ManuWise plan.

Premium holiday:Customers may take a premium holiday for up to two years at any time after the second policy anniversary,during which all premium payments and policy values will be frozen.

Customers can access a purpose-built tax savings calculator on Manulife Hong Kong's website. By answering a few simple questions about their tax profile and providing the sum they intend to pay for the tax-deductible solutions,taxpayers will receive an instant estimate of applicable tax breaks.

To support the government's new tax policies implemented on April 1,Manulife has unveiled a full suite of tax-deductible solutions tailored to enhance the health wellbeing and retirement preparedness of Hong Kong people. In addition to ManuWise,the company also launched itscertified Standard Plan and Flexi Plan under the government's Voluntary Health Insurance Scheme (VHIS),and itsMPF Tax Deductible Voluntary Contributions (TVC) account.

For more details about ManuWise,please refer to the product brochure or visit www.manulife.com.hk.

[1] Assuming the insured is a non-smoker male aged 45.For further information about total projected IRRs and guaranteed IRRs for different plan options and factors affecting the IRRs,please refer to ManuWise's product brochure.

[2]The tax deductible limit is an aggregate forboth qualifying deferred annuity premiums and MPF tax-deductible voluntary contributions.

[3]For a premium payment term of 5 years,the annuity income period will be 20 years. For a premium payment term of 10 years,customers can choose to receive the annuity income for 10 or 20 years.

[4]Annual dividends and the accumulation interest rates of dividends and guaranteed annuity income are not guaranteed and we may change them from time to time.

About Manulife Hong Kong

Manulife Hong Kong,through Manulife International Holdings Limited,owns Manulife (International) Limited,Manulife Asset Management (Hong Kong) Limited and Manulife Provident Funds Trust Company Limited. As a member of the Manulife group of companies,Manulife Hong Kong offers a diverse range of protection and wealth products and services to individual and corporate customers in Hong Kong and Macau.

About Manulife

Manulife Financial Corporation is a leading international financial services group that helps people make their decisions easier and lives better. We operate primarily as John Hancock in the United States and Manulife elsewhere. We provide financial advice,insurance,as well as wealth and asset management solutions for individuals,groups and institutions. At the end of 2018,we had more than 34,000 employees,over 82,000 agents,and thousands of distribution partners,serving almost 28 million customers. As of March 31,2019,we had over C$1.1 trillion (HK$6.5 trillion) in assets under management and administration,and in the previous 12 months we made C$29.4 billion in payments to our customers. Our principal operations in Asia,Canada and the United States are where we have served customers for more than 100 years. With our global headquarters in Toronto,Canada,we trade as 'MFC' on the Toronto,New York,and the Philippine stock exchanges and under '945' in Hong Kong.

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