No. of Recommendations: 10
Pays a death benefit, in the event of your demise, to heirs in many multiples of your total contribution.

The strategy that Dave espoused earlier was keeping the minimum legal requirement for a death benefit. Is that legal minimum requirement really 'many multiples of your total contribution'?

Charges fees far lower (.75-1.20%) than mutual funds, 401(k) and IRA (3-4%).

My mutual fund, 401(k) and IRA fees are all at or below 1%, with most in the 0.2% range. My average fees on all my investments is about 0.3% That's significantly lower than 0.75% - 1.20%

Ensures that ALL gains are protected.

But doesn't include dividends in the gains, which, as Ray pointed out, is a significant part of the potential 'gain'

Compare the above against trading naked in the S&P500. No contest, in my opinion, albeit we don't seem to be able to arrive at a simple comparison of percentage gains via back testing.

If the figures RayVT posted are correct, I don't think I need a simple comparison of percentage gains via back testing. Looks to me like the S&P wins hands down.

And, for someone who advocates risk-taking when taking on debt (ARM vs. FRM), it does seem odd that you are so averse to taking on risk when you are trying to grow assets. On the other hand, you do sell these IULs, along with mortgages, right? So, every time that someone refinances their ARM with you (to lengthen their term to try to get the payment back down after rates eventually increase), you get a commission, and every time someone buys an IUL through you, you get a commission. Maybe not so odd why you are such a strong advocate for your strategies, then.

AJ
Print the post  

Announcements

The Retirement Investing Board
This is the board for all discussions related to Investing for and during retirement. To keep the board relevant and Foolish to everyone, please avoid making any posts pertaining to political partisanship. Fool on and Retire on!
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.
Advertisement