Final answer:
Single premium investment-linked life insurance (SP-L) and Unit Trusts (UTS) have some similarities in terms of EPF withdrawal and fund switching, but differ in terms of policy fee and cost of insurance.
Step-by-step explanation:
A. In single premium investment-linked life insurance (SP-L), a policy fee is charged, which covers the administrative costs of the policy. This fee is typically deducted upfront from the initial investment.
B. EPF withdrawal is allowed for both Unit Trusts (UTS) and SP-L. This means that individuals can use their EPF savings to invest in these financial products.
C. Both UTS and SP-L allow for fund switching, which means investors can move their money between different funds within the same product. This gives investors the flexibility to adjust their investment strategy based on market conditions or personal preferences.
D. The cost of insurance is only applicable to SP-L. In SP-L, a portion of the premium paid is used to provide life insurance coverage. This cost will vary depending on factors such as the insured's age, health, and policy coverage.