• Why would a senior sell their policy?

  • Premiums paid have become unaffordable or no longer want to continue.

  • Estate planning needs for payment of estate tax may have changed.

  • Funds may be needed for long term care.

  • Desire to provide for charities now while living.

  • Previous policy was from key man insurance or buy/sell agreements

  • May want a better coverage to purchase.  

 

 

 

 

 

 

 

 

 

 

 

 

 

 

• What’s in it for me?

  • Historical High Returns

    • Potential for early maturities.

    • Alternative to traditional assets such as bonds or annuities.

  • Better Diversification

    • Non-correlated asset to stocks, bonds, commodities or real estate and not subject to such fluctuations and losses.

    • New and unique asset class.

  • Strong Safety

    • Backed by A-rated or better life insurance policies.

    • Guaranteed Death Benefits.

  • Unique Characteristics

    • Low Maintenance.

    • Easy Management.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

• A Growing Market 

  • Life Settlements is a new asset class that is thriving both domestically and internationally.

  • The market includes insitutional investors as hedge funds, private equity groups and banks in the U.S., Asia, and Europe.

  • As indicated in the graph, the life settlement industry has shown a positive growth year after year for the last 10 years *Estimates project transactions to exceed $160 billion in the year 2030.

 

 

 *1. Life Insurance Long View – Life Settlements Need Not Be Unsettling; Bernstein Research Call; Kamath, Suneet and Timothy Sledge, March 4,2005; page 8.