Saturday, December 27, 2008

Universal life policy - risk free investment

This year has been like a hurricane for all investors. Financial sharks, looking for the high profit on the stock markets, suffered heavy losses (or at least most of them).

On the other hand, also conservative investors have lost big part of their portfolios' value. High quality blue chips, real estate - all these sectors have reported declines. As a small investor, looking for simple, risk-free solution, what should you do?

The simplest answer is - nothing. But be aware the inflation in Canada is around 2% and with possible increased government spending next year (due to car industry bailouts) and
possible commodities (especially oil) prices growth may go even higher. So the value of your money is slowly disappearing.

Another solution is to use services of a traditional bank. Unfortunately (for savers), Bank of Canada cut interest rate down to 1.5% (50 years low) and since its big brother FED is holding the key indicator near zero, it's not probable the rate will go up soon. This means your money are in negative real growth even in bank.

But there is one solution, with tool not bounded to the financial market. It's life insurance Canada universal life policy. You can find this product in most offers of Canadian life insurance companies. Base is tax sheltered, so you have guaranteed, risk-free minimal growth of 4%!

You can hardly find similar simple, safe opportunity in these days. Check our site for the offers.

Saturday, December 6, 2008

What about Primerica?

This multi level marketing based company is active on Canadian market for some 20 years. Loved by somebody, hated by somebody else. If you want to start your successful(???) career there,I recommend you to read some articles from (ex)agents of Primerica.

I am here to present you some disadvantages of their PRODUCTS. And since I am insurance broker, it will be about their life insurance.

I have some experience in business (16 years are enough I think) to stress some points

1. Primerica is expensive. Their MLM structure causes additional costs, paid by - you. Your premiums will carry the weight of pyramid of advisers. So before you apply for their policy, check some online quotes, for example at life insurance Canada

2.Term life fits all - at least when talking about Primerica. But not in the real world. Term life is good, often the best, but sometimes permanent policy fits your needs better!

3.Captive agents. They are not going to offer you the complete market range of products. They know what their company offers and you will get no other option.

4.Part time advisers. Do you want your surgeon to be just part time worker? No, I think you would like him to be dedicated to his job. And the same with insurance - financial markets often need precision of a brain surgeon!

5. Non-convertible policies. Primerica is not going to give you the option of turning your policy into permanent. So if anything happens to your health, you have a big problem with your policy's renewal.