POSB Money Smart Kids

Hi Mr  Tan
I need your advice.  What are your views on POSB MoneySmart Kids?  The financial advisor told me that the interest rate is 4% better than the interest on savings account.  I need to grow money for my kids' education.  

Pls refer to attached link.  http://www.dbs.com/posb/insurance/edusmart/moneysmartkids.aspx  Thanks for your help.

REPLY

As this is a life insurance policy, you should ask for a benefit illustration and look for the two key factors (i.e. distribution cost and effect of deduction) as explained in my FAQ and my financial planning book.