LOM Investment Savings Plan
LOM Investment Savings Plan for Individuals and Companies
It is accepted wisdom that saving money is important, whether it’s to buy a dream house, provide for children's education, or for a comfortable retirement. However, the reality is that putting money aside can be difficult. LOM Securities (Bermuda) Limited has a simple investment savings plan that can help you achieve your goals.
Why Save?
- Time Value of Money: Due to inflation, the value of money decreases over time
- Acheive short and long term goals
- Have money set aside for unexpected expenses
- Ensure comfort in retirement years
Savings Tips
- Set goals – whatever your reason for saving, setting goals will keep you motivated
- Start early – the longer you save, the more time your money has to grow.
- Save as much as you can – a few extra dollars now can mean a larger pot of money when you need it.
- Diversify – LOM will assist you in choosing the right mix for your needs.
- Leave your savings alone – give your money time to grow.
- Do not try to time the market - Make adjustments every so often but choose and stick to your long-term strategy.
- Keep it real - Do not be alarmed by media scare stories.
Projected Value of Your Investment
| Sample Monthly Contributions | 5 Years | 10 Years | 15 Years |
|---|---|---|---|
| $100 | $7,542 | $19,352 | $37,840 |
| $500 | $37,712 | $96,758 | $189,201 |
| $1,000 | $75,424 | $193,515 | $378,405 |
| $2,500 | $188,560 | $483,785 | $946,015 |
Plan Overview
Easily set up through standing orders with banks or through payroll deductions if your company is enrolled in the programme
- Low $350USD minimum monthly contribution
- Low annual custody and administration fee of .25%
- Contributions can be weekly, bi-monthly or month
- No sales fee on Mutual Fund purchases
- Lump Sum contributions can be made at any time
- Funds can be withdrawn in USD or BMD funds
- Two withdrawals are allowed in a given calendar year provided that the account remains over and above the $5,000 minimum account size
- Savings are not locked-in and are easily accessible by account holders once account reaches the $5,000 minimum account size ($5,000)
- Secure on-line access to statements available for account holders
- No set-up fees or costs
INVESTMENT CHOICES
LOM Fixed Income Fund –Currencies USD & EUR (5-star rated by Morningstar)
Investment Objective: The LOM Fixed Icome Fund is a low risk or conservative fund. Its mandate is an absolute return, investment grade bond strategy. The objective of the fund is to outperform short-term interest rates while preserving capital.
Typical Investor: Someone who is looking for liquidity and/or stability and interested in protecting their capital versus chasing greater returns.
LOM Balanced Fund – Currency USD
Investment Objective: The LOM Balanced Fund is a medium risk or moderately conservative fund. Its objective is to achieve long term capital growth while limiting investment risk. The Fund invests in a globally diversified portfolio of offshore funds.
Typical Investor: Someone interested in a balance approach between risk and reward. Has a longer term investment horizon and wants greater returns.
LOM Global Equity Fund – Currencies USD & EUR
Investment Objective: The LOM Global Equity Fund is a high risk or agressice fund. Its objective is to seek long-term capital appreciation and dividend income primarily through investments in large cap, blue chip equity securities worldwide.
Typical Investor: Someone who understands the risks involved in being fully invested in the equity markets and who has a long time horizon.
For investment allocation examples download our investment worksheet.
If you’re uncertain about how to begin, try starting with a small amount such as (say) 3% or 4% of your pay. Then increase it by a specific amount like 1% at regular intervals – such as a particular time of year or whenever you receive a raise. Before long, your savings will be growing and you’ll hardly even notice the effect on your paycheck!
Program Details
All funds are offered in accordance with the terms laid out within their relevant Information Memoranda. The relevant Information Memoranda per fund contains further information on risks, advisory fees, distribution charges and other expenses and should be read carefully before anyone invests or sends money. Fund Information Memoranda are available on website and from the Fund Manager.
LOM Asset Management Limited is licensed to conduct investment business by the Bermuda Monetary Authority.
