These days almost everyone is looking for that magic pill to grow their wealth, and this might well be it for tax-advantaged wealth accumulation!
Aside from the fact that the life insurance coverage amount adds instantly to your estate value, some types of life insurance allows you to grow fund value. Whole Life and Universal Life policies offer this unique feature that can be used strategically to grow your net worth. By taking advantage of this you can achieve varying measures of growth. For more predictable growth, stashing money away in a Whole Life policy might be the thing for you. If you are a more aggressive investor, the Universal Life options allows you to benefit from market performance.
Either policy types can be customized with riders and tailoring to align goals and risk tolerance. A number of other factors will help determine which policy is right for you - risk appetite, time horizon, available funds, amount of control over investment choices, flexibility, goals.
Fund value is an asset that can continue to grow and earn over time. This is a good alternative to storing money in a savings account or mutual funds, giving your dollars multiple jobs - protection and wealth accumulation.
As we brush the tip of the iceberg, stay tuned for the next post.
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