- Are you asking yourself the question,
"Does IUL really work? Does a laser fund really work?"
Well, I'm excited to be able to come back here today
and show you again yet more evidence
and another policy that shows an actual result
of a client and how IUL is working for him.
(upbeat music)
Hi, my name is Emron Andrew.
Well, I'm excited to be back with you here again today
for part two of this client feature
where we want to show you how IUL, how a laser fund,
has worked for this client.
Now, this is part two because this is his second policy.
So he started his first policy, this is my client,
is a 30 year old, started his very first IUL.
He is a day trader and after he started his first policy,
he wanted to go, two years later,
he wanted to start a second IUL.
Now, why would you need to start a second IUL
or second laser fund?
Well, again, when you set up a laser fund
and you structure these properly, when you set a limit
of how much you can put in there,
you get to choose the limit, but you're limited
on how much you can put in based on that original amount
that you decided on.
Now, he was doing well, his income was going up,
he was making more money, he wanted to open up
yet another laser fund IUL to sock away even more
of his serious cash, so as his income goes up,
he wanted to open up yet another policy.
This is very common with many of our clients,
especially many of our younger clients,
because as they get going in them,
they love it and their maximum funding in them
is you have more money, you need to open up
yet another bucket or another bucket in order to accommodate
those new funds in that new money here.
So let me dive into this policy with you here.
He pulled out this policy back in 2015
and I wanna pull up his original projection here.
So when I pull up his original projection,
you can see on the screen right here,
that we were showing him under the original projection here,
starting at age 32, sorry, excuse me.
Let me go ahead and pull that up.
At age 32 right here, he was gonna put in $30,000
and then $24,000, $24,000, $18,000 and $24,000 here.
So about, you know, a hundred and, you know, 140,
just not quite $150,000, but 130 to $140,000 right here.
His accumulation value here, of course, once again,
your accumulation value is how much money you have
in your account earning interest.
His cash value or surrender value is how much money
he has in the account that is liquid.
Okay? And then of course we have the death benefit.
Now this time, because he was putting in more money here,
you can see his death benefit,
his minimum death benefit was $1,079,713.
That's the minimum death benefit he had to have
in order to allow him under the law to be able to put
in those kind of premiums, so those are the maximum premiums
for that death benefit right here.
Now, as we see here in the accumulation value,
this is what we're projecting as it runs
down through the next 10 years, the surrender values,
it runs down through the next 10 years as well.
So let's look and see where we're currently at.
So this projection right here would've been
where we were supposed to be in 2016.
So if you pulled out the policy in 2015,
by the end of the year in 2016, a year later in 2016,
this is what we were projecting that he would have.
In 2015, oh sorry, '17, 2018, '19, '20, '21
and now right here, we are now in 2022.
Okay, so this is what we were projecting he's supposed
to have is $132,227.
Now, unlike his very first policy, his very first policy,
we're actually a year, we actually ended up
almost being two years ahead of schedule,
even with a 0% year this last year.
We're still one year ahead of schedule.
Well, let's see what's going on with this current policy.
So with this current policy right here,
we're gonna jump into his statement.
And as I jump into his statement right here,
you're gonna see this is the statement ending
in March of 2022, he has a ending balance right here,
so his accumulation value at the end
of this reporting period is $126,210.
So on that IUL right here, we're actually a little bit
behind schedule 'cause we're supposed to be at $132,000
and he's at $126,000.
So over here, above here, we're a little bit,
we're almost one year behind on this particular IUL.
And why is that, well again, as we look at the market,
as we look at the market returns for the last six,
seven years, you know, we've got some 0% returns in there
and lower returns with that, so am I worried about this?
No, I'm not worried about this at all
because I believe this this policy,
especially this next year as the market rebounds, okay,
as the market rebounds we should be able
to get some terrific double digit returns
and jump right back on schedule here.
So, we're very much likely able to jump right back here
where next year we could easily be at $139,000
or even $146,000, in fact, we can maybe even look and see
how much would we need in order to get there
because if we're at $126,000, by next year,
I'd like to be at 129, so I need to make about $13,000
in interest net above fees, so that means I probably need
to make, if his fees are $2,000 and $700, so he's got $3000.
So I need to make about $16,000,
which is gonna be about 13%, 13, 14 to 15%
in interest this next year.
Now we have done that many, many, many times on this policy.
And so, we're looking at that saying, "Yeah,
we're able to go ahead and get close to
or get caught back up," and I'm not worried
about getting caught back up, this client is very familiar
with how his IUL works and he's very excited,
knows that he will get caught back up here
because you can see this last year right here,
he only made $4,789 in interest this last year,
that was divided up between a couple different accounts.
You can see he's got 25% of his money right here, $31,000,
in an account that did 2%, okay?
The market actually was negative
but he had a 2% guaranteed floor on that particular money.
So he got 2% on that.
Over here he's got $31,000 in the S and P monthly sum.
And the S and P was up just a little bit in March to March.
So we got 4.42%, okay, and then we come down here
to some other ones where you had 25%
in this account right here, this only did 0.35% and 25%,
$31,000 did 8.82%.
And you know what, not a terrible year,
not a great year, but not a terrible year either.
And that is again, the value and the strength of IUL,
is that even in years like we're having right now,
where the market is very volatile, it's very tumultuous,
a lot of people are actually losing money.
This client right here is not losing money.
And even with a very mediocre the last couple years
and what we're looking forward to here,
he knows that he is way ahead of most of his friends.
I mean, he's even looking at his day trading here
and as he day trades, he's like, "I can lose money,
I lose actually quite a bit of money each and every day
or I make quite a bit of money each and every day."
He knows exactly how volatile the market is,
and that is one reason why he loves putting his serious cash
into his laser funds, into his IUL,
because he knows better, that's all he does for a living,
is watch the market each and every day.
And so his serious cash goes here,
he's not afraid, he's ahead on his verse policy,
he's a year ahead, in this one, he's a year behind,
and he knows it's going to even itself out.
He's gonna catch right back up over the course
of the next several years here and we're gonna be
still hitting every single one of his financial goals.
So I hope you can see as well how an IUL
can create liquidity, safety, rates of return.
And not only that, these are tax free.
So if you're afraid of what's going on politically
or economically and you want to protect your money,
consider an IUL today. (upbeat music)