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Entire life insurance policy plans are non-correlated assets - Infinite Banking vs traditional banking. This is why they work so well as the economic foundation of Infinite Financial. No matter of what happens out there (stock, realty, or otherwise), your insurance coverage keeps its worth. Way too many individuals are missing out on this important volatility barrier that assists protect and grow wealth, rather splitting their cash into two containers: checking account and investments.
Market-based financial investments expand wealth much faster but are subjected to market fluctuations, making them naturally risky. What if there were a third pail that used safety and security but also modest, guaranteed returns? Whole life insurance policy is that 3rd bucket. No matter exactly how diversified you think your portfolio might be, at the end of the day, a market-based investment is a market-based investment.
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