The main reason your VUL might be losing money is usually the fund you selected, not the VUL product itself.

Every week, I get messages like:

“Dave, bakit parang hindi gumagalaw ang VUL ko?”

“Kailangan ko na ba mag-switch?”

“Sayang ba yung binabayad ko?”

In 99% of cases, the problem isn’t the VUL itself.

It’s the fund allocation inside it.

Here’s the core message: VUL can work if you choose efficient funds for your investment.

This is where the Efficient Frontier stands out as a key tool for choosing funds for your VUL.

Whether you’re an OFW in Dubai, a Sun Life client in Makati, or a young professional building your first million…

This will change how you see your VUL.

What Most Filipinos Don’t Realize About Their VUL

A VUL has TWO components:

1. insurance coverage, and

2. multiple investment fund choices.

Those funds are not equal. Some grow fast, some stay flat, and some lose even if the market rises.

The Efficient Frontier helps you answer one critical question:

“For the level of risk I’m taking, am I getting the BEST possible return?”

This matters now because many Filipinos are stuck in slow or negative-return funds without realizing it.

Real life story: What I See With Clients Every Day

I once helped an OFW seafarer who kept his VUL in a PH-heavy equity fund for 7 years.

Every year, he hoped “babawi rin ’yan.”

But the fund was high-risk and low-return, a classic example of an inefficient investment.

When we switched him to a more efficient global fund, the recovery took months instead of years.

This is the Efficient Frontier in action.

Wealth INSIGHTS: How Efficient Frontier Applies to Your VUL

1. Not All Funds Are Efficient

Efficient funds give a high return for the risk.

Inefficient funds carry high risk and deliver low or negative returns.

Efficient examples (Sun Life): (As of Dec 11, 2025)

• Global Tech Growth (17.59% YTD)

• Global Growth (16.59% YTD)

• Global Opportunity (12.71% YTD)

Inefficient examples:

• Captains (–12.15% YTD)

• PH Equity Fund (–9.83% YTD)

• Growth Fund (–10.19% YTD)

If you’re in inefficient funds, you are not adequately rewarded for the risk.

2. Efficient Frontier Helps You Decide When to Switch

Most clients ask the wrong questions:

“Mahal ba unit price?”

“Maganda ba NAVPU?”

Right question:

“Which fund gives me the highest return for the risk I’m taking?”

If your fund is:

• consistently negative

• weak recovery

• underperforming for months or years

• high volatility but low return

Then you are below the frontier and should consider switching.

3. Efficient Frontier Protects You From Emotional Decisions

Filipinos often switch because of:

• panic

• FOMO

• recency bias

• loss aversion

Efficient Frontier gives you a data-based framework:

✔ stay with strong, efficient funds

✔ avoid funds na matagal nang bagsak

✔ don’t chase cheap units

✔ avoid high-risk, low-return traps

Why Many Filipinos Stay Stuck in Bad Funds

It’s not a lack of discipline. It’s a lack of financial structure.

Most investors don’t switch because:

• They don’t know which funds are efficient.

• They think “sayang NAVPU pag mahal.”

• They assume PH funds are always better.

• They think long-term means “tiisin kahit hindi gumagalaw.”

• They don’t review performance.

• They were never taught risk-adjusted return.

This is why the Efficient Frontier matters:

It removes emotion and replaces it with strategy.

A SIMPLE QUESTION TO ASK YOURSELF

“Kung may dalawang fund—

one high risk but negative return,

another high return with reasonable risk—

alin dapat piliin?”

The answer is obvious.

That’s exactly the Efficient Frontier.

VUL Works… IF Your Funds Are Efficient

Efficient Frontier makes your VUL stronger because:

1. VUL has multiple fund options

2. You control allocation

3. You can switch anytime

4. You want the BEST return for the risk

5. You avoid long-term negative funds

6. You experience faster recovery

7. You align your VUL with your goals

Your VUL doesn’t just protect your life.

It protects your long-term wealth trajectory when managed correctly.

Ready to Switch to More Efficient Funds?

Your VUL is not the problem.

Your fund allocation is.

If you want:

1. a personalized Efficient Frontier analysis

2. a VUL fund audit

3. a switching strategy based on your goals

4. a recovery plan for negative funds

Then I can guide you step by step.

Message me anytime.

Let’s make your VUL work smarter, grow faster, and recover stronger using real data, not emotions.

Read more: Are you afraid to switch?