Investment Savings Plan - ICBC (Asia)
Investment Savings Plan
To achieve long-term life goals, it is crucial to start planning today. ICBC (Asia)’s Investment Savings Plan can help you take significant steps towards realising ambitious objectives such as further education, homeownership, getting married, children's education and retirement planning. By making small monthly investments and adopting a consistent savings approach, you can invest in Hong Kong blue-chip stocks or mutual funds. The earlier you start regular investments, the faster you can make your dreams for yourself and your family a reality.
Achieve Wealth Growth with Ease
The Investment Savings Plan utilises the advantage of "Dollar Cost Averaging" by allowing you to invest a regular and fixed amount each month. You don’t need to worry about capturing market timing and can reduce investment risks and costs. The principle of dollar-cost averaging is that when prices are higher, your fixed monthly contributions will buy fewer stocks or mutual fund units. Conversely, when prices are lower, the same contribution will buy more stocks or mutual fund units. Over time, the average cost per unit will be lower than the average price of the stock or fund. Therefore, you can accumulate and grow your wealth with ease without constantly monitoring market trends. The following is a reference example of monthly stock investments using the dollar-cost averaging method.
Example: Customer sets HKD1,000 monthly contribution to buy Stock A.
| Contribution Month | Monthly contribution amount (HKD) | Contribution amount after deducting transaction fee (HKD) | Price per share (HKD) | Purchased hare | Net investment amount (HKD) |
| Sep | 1,000 | 950 | 5.90 | 161 | 949.90 |
| Oct | 1,000 | 950 | 6.20 | 153 | 948.60 |
| Nov | 1,000 | 950 | 6.05 | 157 | 949.85 |
| Dec | 1,000 | 950 | 5.80 | 163 | 945.40 |
| Total Purchased Share: 634 | 3,793.75 | ||||
Dollar Cost Average (HKD)
= Net Contribution Amount ÷ Total Purchased Shares
= $ 3,793.75 ÷ 634 shares
= $ 5.984
Flexible and Personalised Investment
The Investment Savings Plan offers two different investment options: Hong Kong stocks ("Stocks") and mutual funds ("Funds"). You simply need to deposit a predetermined contribution amount each month, and the plan will automatically purchase the selected stocks or funds for you. The minimum monthly contribution amount for the Investment Savings Plan is HK$1,000, and there is no maximum limit on contribution amount or investment period. Additionally, you have the flexibility to change the contribution amount at any time, allowing you to adapt to different financial situations and investment goals.
Risks Disclosure
The Investment Saving Plan is not and shall not be considered as normal time deposit or its substitute. ICBC (Asia), or any connected company, may have a position in any of the instruments or currencies mentioned in this document.
Investments involved risks. The prices of securities and funds may move up and down and may become valueless. Please refer to relevant offering document for detail information prior to any investment. Before entering into any transaction, you should take steps to ensure that you understand the transaction and have made an independent assessment of the appropriateness of the transaction in the light of your own objectives and circumstances. You should also consider to seek independent professional advices as you consider necessary or appropriate. ICBC (Asia) does not make any representation or warranty as to the outcome of any investment in connection with the information contained in this document.
If there is any dispute arising out of the selling process or processing of the related transaction in the future and the dispute is eligible as defined in the Terms of Reference for the Financial Dispute Resolution Centre in relation to the Financial Dispute Resolution Scheme, the Bank is required to enter into a Financial Dispute Resolution Scheme process with the customer. However, any dispute over the contractual terms of the product should be resolved directly between the product service provider and the customer.
Not Protected under Deposit Protection Scheme
This Investment Savings Plan is not a protected deposit and is not protected by the Deposit Protection Scheme in Hong Kong.
