I guess I need a knowledge refresh here. What is the captial units and accumulation units in Unit-linked Business?
Capital units generally carry a higher amc than the accumulation units and are a means of recovering expenses early on. Generally capital units if used are bought with say the first two years premiums. It also ties to surrender penalties as if you terminate the contract whilst capital units attach to the plan, there is usually a reduced % of these used to determine surrender value.
