Nolan Financial’s Post

Bank fixed deposits may gain from taxation on debt MFs and big-ticket insurance products Prudent investors will likely reassess their asset allocation based on their risk profile and life stage. Recent developments may lead to a potential shift in allocation in favour of life insurance products, both unit-linked insurance plans (ULIPs) and traditional policies. #banking #fixeddeposit #microfinance #insurance #investment #ulips #insuranceproducts #policies https://lnkd.in/gQ7NMFNE

So many people get hung up on the Internal Rate of Return of the whole life insurance policies used to implement the #infinitebankingconcept But what they don't realize, is that the growth you get in your policy is just a bonus. The real rate of return comes from how you use your policy. Are you using it to acquire income-producing assets? Are you consolidating high interest debt? Are you lending it out like a bank? As an example, one of the ways I use my #infinitebanking #cashvaluelifeinsurance policy is to flip equipment (forklifts in particular). I borrow the money I need to purchase the equipment and have it fixed up at around 5.5% interest. My partner then sells it and we split the profit. So I make 10-25% on the flip, plus the cash value in my policy was continuing to compound uninterrupted at 3-5% tax free. The only cost to me was the interest on the policy loan. But even that was paid for from the sale of the forklift. So did the deal really cost me anything? Not really. In fact, I made money twice: from the flip and the growth in my policy. I borrow at 5.5% to make 10-25%. That is how you create real arbitrage and it's exactly what banks do every single day in multiple different ways. At this point, the only question is how often I can do this. So if you've considered an #infinitebanking #cashvaluelifeinsurance policy, but are concerned about the internal rate of return of the policy not being as good as being invested in the market, etc., just remember that the IRR in the policy is just a bonus. The real rate of return comes from how you use the policy to continue building and growing your wealth. These policies in and of themselves don't make us wealth. They give us incredible protections and can significantly accelerate what we're already doing to build wealth.

Collateralized Loan Obligations (CLOs) have been around since 1994 but seem to have hovered in the background. What recent actions have insurance regulators taken to acknowledge their presence in the #insurance world? Read on to learn about this growing investment option. #SSAPchat

Collateralized Loan Obligations (CLOs) have been around since 1994 but seem to have hovered in the background. What recent actions have insurance regulators taken to acknowledge their presence in the #insurance world? Read on to learn about this growing investment option. #SSAPchat

Collateralized Loan Obligations (CLOs) have been around since 1994 but seem to have hovered in the background. What recent actions have insurance regulators taken to acknowledge their presence in the #insurance world? Read on to learn about this growing investment option. #SSAPchat

Collateralized Loan Obligations (CLOs) have been around since 1994 but seem to have hovered in the background. What recent actions have insurance regulators taken to acknowledge their presence in the #insurance world? Read on to learn about this growing investment option. #SSAPchat

Collateralized Loan Obligations (CLOs) have been around since 1994 but seem to have hovered in the background. What recent actions have insurance regulators taken to acknowledge their presence in the #insurance world? Read on to learn about this growing investment option. #SSAPchat

Collateralized Loan Obligations (CLOs) have been around since 1994 but seem to have hovered in the background. What recent actions have insurance regulators taken to acknowledge their presence in the #insurance world? Read on to learn about this growing investment option. #SSAPchat

Collateralized Loan Obligations (CLOs) have been around since 1994 but seem to have hovered in the background. What recent actions have insurance regulators taken to acknowledge their presence in the #insurance world? Read on to learn about this growing investment option. #SSAPchat

This is something the banks DON’T want you to know: I like to call it the “Banker’s Secret.” It’s a way to take a loan out, and not have to pay it back on a payment plan. When you take a loan out of your whole life insurance, the strategy behind it is called “infinite banking.” You get a loan on what you have accrued in your account, and the insurance company doesn’t care when you pay it back. In fact, if you don’t pay it back at all - that’s not a problem! WAIT- WHAT????? It’s true! When you die, that loan will just be subtracted from the money you’ve invested over time in your whole life insurance plan. It’s a smart way to pay off debt. It’s a smart way to pay for college. It’s a smart way to pay for a house down-payment. It’s just smart. #infinitebanking #wholelifeinsurance #financeeducation #moneymanagement