Endowment

Investing your money in an endowment means you can expose it to growth assets like shares, which will help your investment returns to soar above inflation rates. Like a retirement annuity, an endowment is not a quick-fix, and requires time to grow to truly benefit from the compound growth available for an endowment.

Benefits to investing in an endowment

  • You get to make regular and lump-sum contributions throughout the investment period of your endowment.
  • It’s tax efficient because we will pay an applicable tax on your behalf.
  • An endowment is flexible enough to bend with your financial situation – should you have trouble making a contribution along the way, you can skip four monthly payments by using contribution holidays. But be sure to resume your monthly payment as soon as possible in order to realise the full returns of your endowment at the end of your investment term.
  • Staying invested with SA Financial Planners until the end of your investment term will mean you get back a loyalty bonus, which comprises most of the administration fees on your investment.
  • Your ability to select from a range of investment funds (managed by leading South African fund managers) gives you access to financial markets.

How it works:

  • Investment entry age: one year to 85 years old
  • Initial savings term: save for five years minimum, after which you get to decide whether you want to continue with this investment
  • Ongoing contribution: a minimum of R500 per month
  • Lump sum contributions: adhoc lump sums can be invested at a minimum of R5 000 at a time
  • Contribution growth: your regular contributions should be automatically increased on an annual basis to counteract inflation increases
  • Contribution replacer benefit: if a disability sets you back or you die before your investment matures, the contribution replacer benefit will continue to pay your monthly contributions until the end of the benefit term

If you have any questions, please complete the contact form with your details and we’ll call you.