PROVIDENT FUND THAILAND
		Provident fund managed by AIA Thailand American International Assurance (AIA) is a member company of the American International Group, Inc. (AIG).

Provident Fund Characteristics

• The Fund is established under the Provident Fund Act B.E.2530 amended by the Provident Fund Act (No.2) B.E.2542
• It serves as a retirement pension or financial support upon employee's resignation from work, disability or death
• It is a defined contribution scheme
• It is a long-term saving fund where contributions are made voluntarily by both the employer and the employees
• Minimum contribution rate is 2% but not exceeding 15% of basic wage on condition that employer's contribution is not less than that of employees
• The fund must be registered with the Securities and Exchange Commission (SEC) as the Register to become a juristic person and to be entitled to tax privileges
  
  
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What services does AIA provide?

• Fund-plan design and ongoing advice for future plan enhancement
• Fund registration
• Fund investment
• Member record keeping and investment management reports
• Consulting services including converting the existing retirement plan of defined benefit scheme to a registered provident fund
• IVR and web-based system for member's fund balance information

The Basic Investment Options offered by AIA

•  Separate Fund: This type of fund is suitable for a company or a group of companies with an existing fund of Baht 100 million onwards. AIA will make recommendation whereby the decision on investment policy is agreed upon by both the client and AIA.

•  Pooled Fund: This type of fund is proposed to a small or medium sized company with no initial fund transferred or with initial fund size of less than Baht 100 million. The fund will be collectively managed in pool, in order to take advantages of economies of scale and the embed on greater risk diversification. This will, in turn, provide higher returns and lower expenses.

To meet client's need, AIA proposes three types of pooled funds:

•  Conservative Fund
•  General Fixed Income Fund
•  Flexible Fund (<_25% equity exposure)

Our credentials:

• Worldwide recognition of financial stability and strength
• Global leader in worldwide pensions fund expansion
• High ethical and professional standards in managing funds
• Exceptional proven track records with prudent management
• Excellent control and supporting systems with international expertise
• Strong customer service capability
• SUPERBRAND AWARD "Platinum Class" which is the leading company from all banking, financial and insurance industries, as our brand is the best acknowledgible, reliable from our customer, plus we provide the best and good quality of all products to our customer

• Extremely strong financial flexibility that is closely linked to that of its ultimate parent,
  AIG, through a guarantee of policyholder claims.
• A very strong business profile, reflected in sustainable, leading market positions in
  many of the countries where AIA conducts business. AIA's three largest operations-
  Thailand , Singapore , and Malaysia-generated 92% of the company's total premiums
  in 2001.
• A very strong operating performance, reflected by a 2001 pretax ROA of 4.2%. The company's 2001 earnings benefited from continued strong mortality experience as well as good investment performance. Pre-tax earnings through mid-2002 remained strong.
• A well-diversified investment portfolio consisting primarily of fixed-income and common equities of local and foreign issuers. Given investment concentrations in the local markets
  in which AIA operates, however, portfolio volatility is inherent.
• A very strong stand-alone financial profile characterized by exceptional capital strength (excluding any adjustment for investment concentrations) and excellent liquidity.