What are Excluded Investment Products (EIPs) and Specified Investment Products (SIPs)?

Excluded Investment Products (EIPs) are investment products with terms and features that are generally less complex and are more easily understood by retail investors. The classification of an EIP is determined by its complexity rather than its risk level.

Examples of EIPs include, but are not limited to certain Exchange Traded Funds (ETFs) or unit trusts without derivatives. The Lion-MariBank SavePlus fund is an EIP.

Specified Investment Products (SIPs) are generally more complex financial products taking into account their structures, features and risks. Investors are normally required to have the relevant knowledge and experience to understand the features and risks associated with investing in SIPs before any investment.

SIPs refer to any capital market products other than EIPs. The PIMCO GIS Income Fund Admin SGD Hedged - Inc fund is an unlisted SIP.

There are generally 2 types of SIPs - those that are listed on an exchange and those that are unlisted.

If you wish to transact in unlisted SIPs, you must pass the Customer Knowledge Assessment.

One of the criteria to pass is having made at least 6 transactions in unlisted SIPs in the last 3 years, which includes:

i) For transactions in collective investment schemes (CIS) and investment-linked life insurance policies (ILPs): CIS or ILPs e.g. certain unit trusts, or investment-linked life insurance policies (ILPs); or

ii) For transactions in unlisted SIPs (other than CIS and ILPs): Any unlisted SIPs other than CIS and ILPs e.g. structured deposits, structured notes.