In the past few decades, many societies have been facing a major challenge in ensuring that retirees have sufficient income or financial resources to better enjoy the rest of their lives. The HKSAR Government and the Hong Kong Mortgage Corporation launched various investment and retirement products tailored for the elderly.
Silver Bond was first introduced in the FY2016-17, with the stated objective to provide an investment product with steady returns for Hong Kong residents aged 65 or above. Silver Bond is a 3-year bond whose semi-annual interest payments are linked to average annual inflation rate, subject to a minimum interest rate. The principal will be repaid at maturity. Although there is no secondary market for the bonds, investors may sell the bonds back to the Government before maturity by requesting an early redemption.
HKMC Annuity Plan is underwritten by HKMC Annuity Limited and designed to provide you, as the annuitant, with a steady stream of GUARANTEED monthly annuity payments after paying a single premium. With this special feature, you can better plan your retirement life by turning your lump sum cash into a stable lifelong income stream.
The Reverse Mortgage Programme is operated by HKMC Insurance Limited for people who are aged 55 or above to apply for reverse mortgage loans. It enables a borrower to use his residential property (or more than one property) in Hong Kong as security to borrow from a lender. Although the borrower mortgages his property in favour of the lender, he remains as the owner of the property and can continue to stay in the property for the rest of his life.
The Policy Reverse Mortgage Programme is operated by HKMC Insurance Limited for people who are aged 60 or above to apply for policy reverse mortgage loans. It enables a borrower to use his life insurance policy as collateral to borrow from a lender. The payout calculation is based on the death benefits of the policy. In general, the borrower does not need to repay the policy reverse mortgage loan during his lifetime.