Life Settlements; An Alternative Asset Class

Life Settlements have quickly been gaining popularity as an alternative asset class, especially since the recent financial disasters on Wall Street, the “great recession of 2008”, government bailouts, and the recent stock market and mortgage meltdown. Without ties to the stock market, the Life Settlement market has already grown to a $20 billion dollar industry, and Bernstein Research predicts this industry will continue to grow into an astonishing $160 billion market within the next few years.

Life Settlements have been primarily utilized at the institutional level by various entities, including, pension plans, hedge funds, institutional investors, banks, and insurance companies. Even world class investor, Warren Buffett trusts Life Settlements, investing over $400 million through his company, Berkshire Hathaway. Through fractionalizing policies, individual accredited investors can now capitalize on this alternative asset class and investment strategy at various levels of participation. Life Settlements are in essence acquiring a portion of the beneficiary rights, (death benefit) to a life insurance policy. This alternative asset class is the ultimate defensive strategy against a rogue stock market correction, as the return is not affected by the economy or stock market volatility, rather it is protected by contractual obligations of “A” rated or better, as rated by Standard & Poor’s, insurance companies.

This alternative asset class is now available to investors, both individual and institutional, by Durand Financial, Inc. and their partnership with major institutional trust companies, which also enables investors to purchase a fractional interest, or percentage of various policies. Investors have the option of using non-qualified money, or qualified retirement accounts such as a self-directed IRA, to fund their portfolio.

Durand Financial Inc.’s investment platform using Life Settlements, offers safety and security with this alternative asset class.

Although the date of payout is fairly predictable based upon projected life expectancies,(ranging from approximately 3-6 years), determined by two independent actuaries.  Life Settlements have had historical returns averaging around 12% since 2001. This is similar to the historical returns on equities, which has averaged just over 12% since 1925.

To learn how you can better protect your  portfolio, without any risk from the stock market or unknown economic factors, simply fill out the contact form on the right and learn how to protect your retirement savings from economic disaster or looming stock market correction. You’ll also receive a free report titled, Life Settlements – Predictable Profits in an Uncertain Economy. Life Settlements are an alternative asset class only available to accredited investors.