Welcome to InsuranceForums.info!   

Advertisments:


Sponsor Links

Affordable Pet Insurance
Travel Insurance Comparison


Which Is Better Way To Start Investments In Us , Life Insurance Or Mutual Funds?

Term Life Insurance & Whole Life Insurance Discussion

Which Is Better Way To Start Investments In Us , Life Insurance Or Mutual Funds?

Postby Duck-Young » Tue Oct 10, 2017 10:37 am

Its definitely not life insurance. In life insurance, none of the money belongs to you. Life insurance is a tool to provide income to your family in case you die, not as a savings tool to save for long term goals. If you ever needed to take money out, you have to borrow it and pay loan interest of 6-8%. If you die someday, the insurance company keeps your savings and pay only the death benefit to your beneficiary.

In mutual funds, you have professional money managers to manage your money. They take your investment and they decide what companies to invest in. If you ever want to take money out, you just need to make a call (or do it online) and within 7 days, you will get your money. You don't need to put this money back because its your own money. Mutual funds has historically earn an average rate of return of 10% in the past 80 years.

In summary, life insurance provides no profit to you. Everything is paid at a loss because the premiums you pay is higher than what you earn in your savings. And this loss is not tax-deductible. In mutual funds, the money is yours and there is various mutual funds out there that can fit your investment objectivies.
Duck-Young
 
Posts: 51
Joined: Tue Jan 07, 2014 7:03 am

Which Is Better Way To Start Investments In Us , Life Insurance Or Mutual Funds?

Postby langley » Tue Oct 10, 2017 11:09 am

Life insurance companies make money off your money, any way you go with them, Mutual funds have a history you can guess they will continue doing what they have been doing, but why don't you just look at what good US Companies have been paying in dividends and then there price of there stock, i can show you some that paid 10-15%, you can contact me thru

[email protected]

Here is my ad in Canada:

Trying to plan Retirement - soon or later - help walk thru it

Let me help you : walk you through the difficult questions

and help you make those tricky decisions.

Now! Sooner the better.

Lets discus it for 15-20 minutes for free,

on the phone or on messenger MSN or Yahoo

and see where you?re at, or how well you?re doing.

Then there is a small fee for the next discussion for 20-30 minutes.

Have no affiliations: no commissions from sale of stock, bonds, or funds.
langley
 
Posts: 423
Joined: Thu Mar 31, 2011 4:00 pm

Which Is Better Way To Start Investments In Us , Life Insurance Or Mutual Funds?

Postby Fernleigh » Wed Oct 11, 2017 12:02 pm

Mutual funds, especially when a company offers a match. Life insurance is a scam, specifically when it is called an investment.
Fernleigh
 
Posts: 45
Joined: Wed Jan 01, 2014 2:54 pm

Which Is Better Way To Start Investments In Us , Life Insurance Or Mutual Funds?

Postby Adlai » Wed Oct 11, 2017 2:39 pm

I can tell you right now, life insurance products make horrible investments.

The only exception might be fixed income annuities, when you are ready to retire and want to be guaranteed a fixed income.

Otherwise, they are loaded with high costs and high commissions that the insurance agent gets, and tons of restrictions and penalties about when and how you can access your money.


You are far better off investing in no load (no sales commission) and low expense mutual funds, like those from Vanguard, Fidelity, T. Rowe Price and TIA-CREFF.
Let more of your money work for you + less restrictions.
Adlai
 
Posts: 50
Joined: Fri Jan 10, 2014 5:43 am

Which Is Better Way To Start Investments In Us , Life Insurance Or Mutual Funds?

Postby enock » Thu Oct 12, 2017 5:09 am

My financial advisor always says this:

1) Insurance first

2) Savings second

3) Investment third

So, if you have no insurance and you want to invest, that's not too safe.
enock
 
Posts: 486
Joined: Thu Mar 31, 2011 10:22 pm


Return to Life Insurance

 


  • Related topics
    Replies
    Views
    Last post