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Whole life insurance policy plans are non-correlated assets - Infinite Banking concept. This is why they work so well as the financial structure of Infinite Banking. Despite what takes place in the market (stock, genuine estate, or otherwise), your insurance plan preserves its worth. Way too many people are missing this necessary volatility barrier that assists protect and expand wide range, rather dividing their cash right into two containers: bank accounts and financial investments.
Market-based investments grow wealth much faster however are subjected to market variations, making them inherently dangerous. Suppose there were a third pail that provided safety but additionally moderate, surefire returns? Whole life insurance policy is that 3rd bucket. No matter how varied you think your profile may be, at the end of the day, a market-based investment is a market-based financial investment.
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