Manage your money with Systematic Money Allocation & Regular Transfer Investment (SMART)

Systematic Money Allocation & Regular Transfer (SMART) Investment is a systematic transfer plan that allows a customer to enter the volatile equity market in a structured manner under the Regular Premium Fund.

Through SMART, one can initially park their entire annual allocable premium along with any existing units in any one fund (chosen out of the funds of Tata AIG Life InvestAssure Swarna Jeevan Plus). This fund is called the “Accumulation Fund”. Thereafter a defined portion out of the Accumulation Fund will get transferred to another fund (chosen out of the funds of Tata AIG Life InvestAssure Swarna Jeevan Plus other than the accumulation fund) on a monthly basis. This fund is called the “Target Fund”.

The “Accumulation Fund” and “Target Fund” are not segregated funds offered under this product but are the names used to reflect the investment strategy under the “SMART”.

Thus, while the stock markets remain volatile and unpredictable, SMART Investment offers a systematic way of rupee cost averaging. However, all investments through this option are still subject to investment risks, which shall continue to be borne by the customer.

The following are the notable features of SMART:

§          SMART can be availed at the option of the policy holder, exercisable at inception or on any policy anniversary. Request to start the SMART should be received 30 days in advance of the policy anniversary.

§          SMART option is available only to the policies with the Annual Mode of payment

§          The automatic fund switches in the SMART option is available out of the 12 free switches

§          The policyholder will have the option to stop the SMART at any point of time.

§          Manual fund switching for the funds (Accumulation and Target) on which SMART is active is not allowed. Manual fund switching is however allowed on other available funds at applicable charges if any. For Top up premiums, manual switching option will be available at applicable charges, if any. Conditions regarding switch fee, minimum switch and minimum fund after switch etc. for normal switching option shall be as applicable during the SMART

§          Any amount remaining in regular premium funds, other than the Accumulation Fund and the Target Fund, would remain in those funds and continue to grow.

§          SMART Option will not be available during Premium Discontinuance

§          SMART is not available when Automatic Asset Allocation is chosen

§          A portion of total units available in the “Accumulation Fund” shall be switched automatically into the “Target Fund” in the following way:

Monthly SMART:

Policy Month 1              1/12 of the units available at the beginning of Policy Month 1
Policy Month 2              1/11 of the units available at the beginning of Policy Month 2
………………………………………………………………………………………………………………………………………….
Policy Month 6              1/7 of the units available at the beginning of Policy Month 6
………………………………………………………………………………………………………………………………………….
Policy Month 11            1/2 of the units available at the beginning of Policy Month 11
Policy Month 12            Balance units available at the beginning of Policy Month 12

Tata AIG Life may refuse request for SMART, or to cease offering SMART by giving 30 days of written notice subject to prior approval of Insurance Regulatory and Development Authority.