Where Can You Get a Safe Return in today’s stock market?
By Pam Provo, LHA, The Equity Expert TM
Because of the low rates on CDs and the 0% return on term insurance and equity in homes, people are turning to equity based life insurance INSTEAD OF THE VOLATILE STOCK MARKET directly.
Whether it is to just get a better return on life insurance premiums or to rescue the equity in their home, people are investigating what they are hearing more and more about these days: life insurance policies that have the upside potential of the stock market (with a cap) with NONE of the downside risk.
People looking to rescue the equity in their homes by placing it into these life policies to earn money, MAKE IT MORE SAFE AND MORE LIQUID. This smart system of leverage works when the borrowing rate is the same as the earning rate.
Believe it or not, it works even if the borrowing rate is slightly higher than the earning rate. Most often the safe earning rate can be arranged to be higher than the borrowing rate over the time you live in your home.
Of course, where you place your separated funds is a personal decision. It is recommended that only secure vehicles are chosen in order to protect against loses of this critical cash portion of your life’s wealth. And, depedning on one’s age, there are other vehicles that may be even better!
The specifics and details of how this can actually work are explained in detail in Chapter Five of “Stop Sitting on Your Assets,” special edition co-authored by Marian Snow and me, Pam Provo.
For a FREE preview of the book, OR FOR MORE INFORMATION ON HOW TO IMPLEMENT THESE STRATEGIES, please visit www.UnlockMyMoney.com or email me at info@unlockmymoney.com.
Pam Provo, LHA
The Equity Expert TM
385 South St.
Shrewsbury, MA 01545
www.UnlockMyMoney.com
info@unlockmymoney.com
508-925-4517
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March 31st, 2008 at 4:14 pm
Most people try to invest their money safely. Especially nowadays, when stock markets are showing volatile character, people are turning to equity based life insurance. It is relatively safe as well as illiquid. I think, the reason why people prefer an investment by life insurance company is that policy holder invests every month. So, he buys shares even though they decrease. That can raise the earning rate in the long term. I work for Toronto life insurance brokers and we recorded many questions about why is equity based life insurance more profitable than single investment in stock.
April 4th, 2008 at 2:29 am
Toronto Life Insurance Broker: We have a lot in common and if you are not already an uFirst Agent, please call us or e-mail us to see about setting you up. Either contact Pam above of myself, Gene Heckerman at geneheckerman@vmdirect.com.
If you are already an Agent with uFirst we would like to discuss the product we are about to release and it’s viability in the Canadian market.
We are soon to jointly release a product that works with MMA, harvesting equity and using life insurance as a vehicle to build wealth outside of the equity in our homes.
This product has been tested and implemented in the US and we are looking for representatives in the US and Canada to partner with us in our rollout and implementation.
You can also reach me at: 702-521-0194.
We would like to see if this is something that will also have benefit in Canada.
April 11th, 2008 at 9:46 am
yea things like the MMA and paying off your house seem to be more and more plausible as the days go on and interest rates drop, as well as house prices.
~Mike