How to build your portfolio Global Hedge ETF

With more than 10,000 hedge funds in the market hold 1.5 trillion U.S. dollars in business if you do not have the money in a hedge fund can be asked if they are not in the big game. Yale University Endowment 25% invested in hedge funds, absolute returns.

But with the advent of Exchange Traded Funds or ETFs, you have at hand the possibility of building a global portfolio ETF hedge that is the envy of your friends - and do not need to give away 20% ofTheir profits in a Hedge Fund Manager.

What is a hedge fund?

Before us, as you build your portfolio of ETFs Hedge, look at the historical record of hedge funds and their evolution. Hedging means to reduce risk, while speculation is more looking back, focusing on more risks. A hedge fund is a private equity firm that invests with the objective of higher investment returns as a risk for every dollar. The first hedge fund was started by a former Fortune magazine journalist AlfredWinslow Jones in 1949 and he also set the standard for fees which continues to this day: a fee equal to 2% of assets and a performance fee of 20% of gains.
There are an infinite variety of hedge funds but they can be broken down into two categories. Non-directional funds seek absolute returns by using a long/short approach and tend to generate steady but unspectacular returns. Directional funds allocate assets using only limited hedging. Both seek alpha – return over a benchmark from The investment process, the ability of fund managers and let's face it, just lucky.

Hedge mediocre

Since hedge funds do? In 2005, the CS / Tremont index, average global macro fund returned 7.6% versus 10% for the MSCI EAFE Index - and in 2006, 13.5% versus 18% for the MSCI World Index. According to Henry Kat London Business School, only 17.7% of hedge fund investors are not the study has been produced. Why?
Most attempt to exploit anomalies within markets and asset classes rather than between markets and asset classes. Many hedge funds try to do too much and look at too many markets but still lack global diversification. The result? Hedge funds have become commodities competing for opportunities in the same markets.

ETF Advantages

You can build a diversified global ETF hedge portfolio by tactically allocating ETFs with the goal of exploiting anomalies between global markets rather in the markets. instruments that are certainly more than 400 ETFs now on hand from 20 different countries, ETFs, sectors and subsectors of the United States, international transport sectors worldwide, commodities, precious metals, currencies, Regional, inverse ETF, different classes of assets and growth / value decisions.

Investors now have a choice in terms of how companies selected and weighted ETF baskets. Corporate weighted basket of ETF is made on the basis of market value, sales,Fundamentals, technical factors are only some of the possibilities cash dividend record.

In addition to diversity, there are other reasons to use ETFs as tax efficiency, flexibility, transparency to go, and the increasing availability of risk management, such as inverse ETFs, put options, to stop the losses and sell the capacity short.

Despite these advantages, ETFs, you'll still need a disciplined process with clear action and active risk management tools to lock in profits, minimizeEffects of errors and a level of comfort with a regular high levels of cash.

Cash, cash and profits come first

We must also think about how it fits into your overall investment portfolio plan. Effective September ample liquidity with cash or money market funds. You also need a strong comfort in terms of income to meet your current needs and long term. A consultant can perform a good model for you so that even in the worst cases, you will be safe and secure. Thissecurity plan in place, you can then look confidently and at more creative and higher potential for growth portfolios such as a global ETF hedge portfolio.

Set Global Asset Allocations

But what should be the investment process for selecting and removing ETFs from your global hedge portfolio? Here is how Chartwell approaches it.

Before jumping ahead to select a basket of ETFs, we first use a top down approach by allocating assets among different equity markets such as the U.S., Europe, Asia-Pacific and emerging markets as well as some foreign currencies.

Then we set a target allocation for fixed income and inverse ETFs which move opposite of markets and serve as a hedge or portfolio buffer for down markets. Next, we address real assets by making allocations for precious metals, real estate, timber, oil and other commodities.

The Yale Model

This is close to how large endowments are managed at universities across America. For example, below is the asset allocation for Yale University which was described in a recent New York Times article. Yale’s endowment has grown at an annual compound rate of 16% from $1.3 billion in 1986 to $14 billion in 2006.

Real Assets 7.8%

Hedge Funds 23.3%

Private Equity 16.4%

Foreign Equity 14.6%

Domestic Equity 11.6%

Fixed Income 3.8%

Cash 2.5%

At this stage in the cycle and accepting that most investors will have less access to hedge funds and private equity, my preference would be to allocate more to U.S. and foreign equities and to have a larger cash position than the Yale model.

A Process to Filling Your Allocations

The next step is to fill your allocations with appropriate ETFs. Here is the selection process we use that might serve as a model.

First, you need to look at the fundamentals of the top 5-10 companies in the ETF you are considering. These include the composite price to book, p/e ratio relative to other companies and countries. We call this the ETF XRAY.

Next, consider price momentum looking at 50 and 200 day moving averages. Then consider where top global managers are putting their cash to work and where in the world net cash inflows and country and sector allocations are increasing.

You also need to look at the big picture macro economic factors such as interest rates, currency, fiscal discipline and economic growth rates. The direction and pace of this
Variables is more important where you sit. Political developments and events such as elections and market reforms are also crucial.

Finally, consider technical factors such as Point & Figure charts as the ultimate test, times, and to determine where their support could be levels.

Introduction of a risk management system

In order to manage risk and to decide when to sell a position with a clear and disciplined.
Have a maximum 10% position in any one ETF with a 5% cap for emerging markets.
Sell an ETF position if it falls below 200 day moving average or if it falls 8% below its trailing high. Purchase put options on ETFs when available and appropriate. Use modest levels of inverse, sector, precious metal, currency ETFs to buffer your overall portfolio. Rebalance annually to take some gains off the table.

Finally, use the discipline of limiting your portfolio to no more than twenty ETFs. Fifteen ETFs is probably a pretty good number with five 10% positions and ten 5% positions. This avoids the problem of having too many positions in your portfolio since this dilutes the contribution of your best performing ETFs. Having a limit also forces you to sell an ETF before adding an ETF.

Case Study: Brazil

How does this whole process work? Here are two examples for the Brazil (EWZ) and Sweden (EWD) ETFs during 2006.

For Brazil in early 2006 the international fund flows were positive with global equity managers moving to overweight positions and nice net cash inflows. The macro fundamentals were also positive with 3% inflation, foreign exchange reserves $100 billion, $46 billion trade surplus and interest rates high but beginning to fall. The Brazilian companies in the ETF were trading at just over 10 times earnings and the technical chart was also promising. The re-election of President Lula and continued market reforms was anticipated with a fair amount of Trust. ETF Brazil was 45.4% in 2006

Case study: Sweden

In the Swedish case, the flows of international funds have been positive and the macro. Fundamentals impressive: strong fiscal discipline, inflation of 2%, slowly rising interest rates leads to a rising currency. The top ten holdings of the ETF Ericsson (21% guided) has shared a good balance between capital, technology and banking. The relative valuation of investments was only 12 times earnings.

Technical factorsEWD fixed price listings were positive momentum. Politically, introduced in the upcoming elections, the coalition of Mr Reinfeldt's center-right platform of tax cuts and privatization East seems a good chance of victory. The Ishara Sweden was 25% in 2006 and is still strong.

You can see that ETFs give as one of the most important investment vehicles for individual investors the opportunity to build world-class global portfolio that until recently were the responsibility of only the largestand most sophisticated institutional investors. For example, there is a team of 100 money managers that oversea the Yale University endowment and a sizable staff that oversees the investment process.

Getting Some Help

If you think you might need some help in putting together your ETF portfolio, I encourage you to go to [http://www.ETFarchitect.com] for Chartwell portfolio consulting options. Or you may just wish to have us manage your ETF portfolio and will find at this website some preliminary information on this option as well. Please don’t hesitate to call me directly at 719-264-1503 to discuss your personal situation.

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Presentation Skill number 1 - Enthusiasm

Do a quick Google search for "Presentation Skills" (without quotation marks) and were compared with over 18 million results. A little 'more detailed ("Presentation Skills Training), and the results - rather odd for me - Go to 30.7 million. I would reduce it to one.

Enthusiasm.

Here, instead we had a detailed presentation skills training, for the things I absolutely critical to look like a really exciting and effective presentation. Thisa lot of body language, tone, texture to say, look, visual aids, delivery style, eye contact, repetition, narrative and so on, can Provide to the enormous value, But I think, without enthusiasm, MEANS nothing.

I recently had the opportunity to go with a class at Harewood House, north of Leeds, and there visit the Yorkshire Planetarium. The lady who presented the lecture (MoJo - quite a memorable name) very well, and gave an age4-50 + active throughout ... a pretty tough call. So how do they do?

Well, it was great visual aids (the projection of stars and planets), but the presentation was virtually handed over to the dark, so that their body language, appearance, eye contact and so on were completely irrelevant. What he did, and what makes me believe it would be good before they had even begun, had bags of enthusiasm, who willingly shared. Astronomy is a passion, and every part of it - theirTone, body language and words they used pressed - in this spades. He could not help but notice that she was happy to be there, and it was contagious.

How can we ensure that we, in our presentations so that they prevail? The main thing is to be very, very excited about your material. If you think that the presentation is boring, chances are everyone else will as well. The first step before any preparation or planning, ask yourself: "Why areit? "It could be a fantastic new product or an upgrade, a series of extraordinary performance and an exciting strategic plan or an opportunity to innovate. If so, great, because these are the (relatively) easy.

The real challenge lies in the things that we as a trivial or, worse, think that's bad news for viewers, perhaps. Addressing these in turn:

Presentation of the profane

The big questions that arise here are (1) if it is trivial, because it isbe presented to all, and (2) assume, is commonplace and then share that feeling with others.

This area came to see my attention recently when Steve Jobs introduced the iPhone last update. When I saw him starting to do, I was very surprised and wanted one immediately. Although some non-traditional presentation, here was a man so excited, so passionate about a product, which is almost impossible not to be taken along for the ride. I wasskeptical about what the latest update ... if on paper the changes seemed so much less important than the introduction, I was changing in terms of a new perfume soap powder or a recipe for a chocolate bar made. However, he believed in its importance, and put it in the context of a tremendous journey, and this is what brings me back involved.

Presentation of "bad news"

"Bad news" has sometimes proven - poor financial results, layoffs, closures andmany other things. You may be tempted to exaggerate "the positive and lead to distrust and cynicism, but it is still possible during this type will prevent your audience a reason to listen and buy what you say.

The real key is to understand the past, recognize this, but look to the future, and how these can be better than this. In a later article (released soon) will be similar to the power of good for the failure, because in times likethis is more important than ever.

The basis of the possibility of having a "secular" and "bad news" is also a confidence in the future, which says something, and a passion that things work better and better every day. As a presenter, has an enthusiasm beyond to make sure you have enough to share with the public more than anything. No, that is all the tips, tricks and techniques in the world do not help.

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How to easily create wealth with long-term investments

Saving for retirement is not the only objective should plan for your long-term financial security. There is also the question of how you intend to create wealth for themselves and their family members, is one day leave behind. So what are the best strategies for creating wealth. Well, the best strategy for most investors their money to invest in blue chip shares or offer a pool of investment funds, buying easy and instant diversification. OnlyIf you're wondering, investment in the Securities Exchange cost an arm and a leg.

A commercial bank as soon as the following slogan to be used to understand this point: "You do not need much money to make money." A minimum of one hundred dollars monthly contribution of funds is a steal for those who know. Ask your financial adviser or broker for details. Want to know how smart people are investing their money to create real wealth? There are severalMethods you can use to invest in stocks or mutual funds. For example, you can start trading with mutual funds taking advantage of your company stop keeping order, and direct deduction for debt used by most companies fund, which attracts a certain amount of money automatically from your monthly salary or bank account .

Not only is the system will help you build a nest egg and your real attempt to create real wealth, is never the money in your greedy hands. On the other handSingle source, some investors prefer to invest to acquire a single lump sum to fund or shares and get offers from companies to enable services to capital investment. Aspects, however, while some investors prefer, can their dividends (which is the money your investment earns while invested in stocks or mutual funds) will be paid in cash, the fun parts fund's can unfortunately reinvest back online Your Dividends in the round.

Reinvestment of dividends yourallows the opportunity to buy more shares to keep every age are dividends paid by the company so that money can grow faster through the power of compound interest. It 'so simple. It is not known to what extent your investment grow! Another word of caution: Unlike long-term investments such as annuities and endowment insurance plans, money is always available when you need it. But the best choice would be to leave it to grow untilwithdraw in order to realize your dreams of life. And the longer you leave it intact, most will grow and build wealth you have always dreamed of you and your family to enjoy for as long as you live.

Andrew Molobetsi 2010. All rights reserved

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Life Settlement - Lead Life Gracefully After Retirement

Life is unpredictable and it is not always a bed of roses, often one will have to face the ugly site and see the harsher realities of life. When a person is young and earning money, in other words having a steady flow of money every month, life seems to be running smoothly and everything in life seems to be fine. However, all of us must realize that nothing in life remains constant and so we must be prepared for all changes and eventualities that life throws in for us. So what we can do for all this is make sure that we are prepared to deal with any situation. Life settlement is a financial scheme through which a retired senior citizen can keep a steady flow of income even after he is no longer working. Dafter retirement one may need to take care of different types of financial needs and opting for a life settlement is the best way through which this can be fulfilled.

Life settlement is a financial transaction in which a life insurance policy can be sold off to a third party. Selling off the life insurance to the third party is beneficial to both the person who buys the life insurance policy as well as the broker to whom the policy is sold off. The broker who buys the insurance policy becomes responsible for paying off the premium or any other payment that is due for the policy. The broker can go on paying the insurance money till the time all the payments are finished and he can get the insurance money once the policy matures. While selling the life insurance policy, one can get duped by fraudulent buyers so they must be very careful in this regard. The senior citizens must make sure that they are dealing with the proper broker for this.

The policy holder is the person who gets befitted the most from this insurance policy. They can get a huge sum of money either in lump sum or in installment as required by the senior citizen who is selling the life insurance policy. The money which once gets through selling the life insurance policy can be sued for taking care of all the financial need that the senior citizen may be facing. After retirement senior citizens do not life to be financially or otherwise burdened or anyone and that is why opting for a life settlement policy is one of the smartest and wisest choices you can make.

If a senior citizen owns money to anyone getting a life settlement is the best way through which he can take care of this. They just need to make sure that before they approach a broker for selling their life insurance they know exactly the benefits they can get by doing this. Once they know all that is to be knows about the life settlement policy they can take a call on if they wish to do this financial transaction or nor. Life settlement has come as a boon to all those senior citizens who are worried about their monthly flow of money after their retirement.

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Problems selling mortgage insurance protection not My Fault

Problems with Mortgage Insurance Sales

If you have never sold insurance traditional guides, you know how difficult it can be. You need a lot of miles on your car, drive around with customers in their living rooms to do. You also need to be available when at home, you spend a lot of evenings working tool. Many times you will have time to spend out of town, because there will be guidance and dates, and this maybulky and expensive!

Moreover, some of your views on mortgage insurance because the piece of direct mail received were tightened. But direct mail can provide some people the wrong expectations. You can view the card or letter and see a number of insurance without medical examination, and then proceed from the fact that pre-existing conditions will be ignored. You can find that a certain percentage of the company that has worked so hard to do,refused. People with very common occupations for Disability Insurance may be dismissed only for what they do for a living!

In addition, customers can see an insurance quote disability or critical illness insurance and think they can this type of reporting, without obtaining a large life insurance. The customer can feel as if they have enough life insurance. Some customers may be read on the premium waiver rider, while the unemployed and to confuse that with a furtherUnemployment, which do not offer more mortgage insurance.

You are not the problem!

The problem with the sale of mortgage insurance is not true, as the insurance agent, but a product for sale that do not meet customer expectations. If you choose a product which gives view the security they are currently trying to sell, it's so simple! In fact, many homeowners are concerned about protecting their financesnow, where they live. If a major bank has asked its customers what preoccupies the majority said they are worried about paying the bills, if they have lost their jobs or been disabled. Many homeowners, especially young people, not the large death benefits in question. They're worried about layoffs, injury or disability.

Offer your customers who want Mortgage Protection!

Here is a mortgage insurance protection that addresses many of these problems.You will not need to ask the customer questions and almost all health professionals is accepted for the disabled. There are certain vesting and waiting periods, but we believe that this type of insurance for many customers who do not or can not properly be Considered a traditional mortgage life insurance. You can also use the new clients mortgage insurance until age 70!

Provide our customers with unemployment, disability and hospital insurance,along with a death, and everything on the table, no questions asked health! You can sell this insurance can be completed through the Internet from your home office as forms. Move your protection mortgage insurance business in the twenty-first century.

And no, the customer does not even qualify, the mortgage is to!

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Life Settlement - Lead Life Gracefully After Retirement

Life is unpredictable and it is not always a bed of roses, often one will have to face the ugly site and see the harsher realities of life. When a person is young and earning money, in other words having a steady flow of money every month, life seems to be running smoothly and everything in life seems to be fine. However, all of us must realize that nothing in life remains constant and so we must be prepared for all changes and eventualities that life throws in for us. So what we can do for all this is make sure that we are prepared to deal with any situation. Life settlement is a financial scheme through which a retired senior citizen can keep a steady flow of income even after he is no longer working. Dafter retirement one may need to take care of different types of financial needs and opting for a life settlement is the best way through which this can be fulfilled.

Life settlement is a financial transaction in which a life insurance policy can be sold off to a third party. Selling off the life insurance to the third party is beneficial to both the person who buys the life insurance policy as well as the broker to whom the policy is sold off. The broker who buys the insurance policy becomes responsible for paying off the premium or any other payment that is due for the policy. The broker can go on paying the insurance money till the time all the payments are finished and he can get the insurance money once the policy matures. While selling the life insurance policy, one can get duped by fraudulent buyers so they must be very careful in this regard. The senior citizens must make sure that they are dealing with the proper broker for this.

The policy holder is the person who gets befitted the most from this insurance policy. They can get a huge sum of money either in lump sum or in installment as required by the senior citizen who is selling the life insurance policy. The money which once gets through selling the life insurance policy can be sued for taking care of all the financial need that the senior citizen may be facing. After retirement senior citizens do not life to be financially or otherwise burdened or anyone and that is why opting for a life settlement policy is one of the smartest and wisest choices you can make.

If a senior citizen owns money to anyone getting a life settlement is the best way through which he can take care of this. They just need to make sure that before they approach a broker for selling their life insurance they know exactly the benefits they can get by doing this. Once they know all that is to be knows about the life settlement policy they can take a call on if they wish to do this financial transaction or nor. Life settlement has come as a boon to all those senior citizens who are worried about their monthly flow of money after their retirement.

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How to sell annuities with life insurance?

This is a natural because you can transfer (1035 exchange) from a life insurance policy to an annuity without tax issues. The original basis on the life insurance policy now becomes the basis of the annuity which means that there are situations where an annuity could grow without occurring tax liability.
Here are some situation and general information about life insurance.

Types of Life Insurance

Term Life Insurance, insurance for a specific time period or term. 10 years as an example
Whole Life, insurance for your whole life. Guaranteed premium, death benefit and cash value. Whole life is guaranteed

Universal Life, Limited guarantees and the premium presented to the prospect is usually set by the agent. Funds accumulate in contract based on insurance companies declared rate. Very few UL policies have guarantees other than the good name of the company. Most UL I have seen are under funded.

Variable Universal Life, same as universal life except the funds are invested in separate accounts (like a variable annuity). Once again limited guarantees.

Single premium products. It is possible to buy single premium whole life, universal life and variable universal life. The value to this concept is with the correct policy you can give your prospects a fully guaranteed contract that will never require funding in the future. There are some variations that will not fully guarantee future results so always do the correct due diligence.

Life Insurance Sales Opportunities

1. Exchange: Life insurance cash value will transfer to an annuity without any tax liability. 1035 exchange

2. Remix: Sometimes you can use the cash value in an old policy to purchase a new life insurance contract. The purpose would be to have a paid up policy (no more premiums), remove any loans (forgiven) or to increase the ultimate death benefit to the beneficiary.

3. Policy loans: If You are lucky to find a loan for a life insurance policy, is free money. Here's how it works, you can tell the customer that you get the loan forgiven. Most are bigger than life insurance for long on reason and need for life insurance now less. If the insurance company to adjust the cost base and the premium loan. This changes the amount of tax dollars, but if a claim is not like the death tax is paid. If the need for life insurance is no longerexists, the life of the loan in 1035 and the new base for the company pension. Sell this concept on two levels, loans go away and use the money for their payment except in case of need represented income. Just go and sell will make the loan, the client will love you and hate their insurance agent.

4th income change: if you find them, a pension, whose current goal is to transfer to the recipients of income tested. The taxpart of the deferred pension will be taxable as ordinary income to the recipient. Determining the share of taxable pension money (to keep the tax liability for clients) means to send a policy paid the present value yet. If these proceeds are paid to beneficiaries will be paid tax free. Just compare the future value of life insurance with the tax on retirement.

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How About Selling Annuities Using Life Insurance?

This is a natural because you can transfer (1035 exchange) from a life insurance policy to an annuity without tax issues. The original basis on the life insurance policy now becomes the basis of the annuity which means that there are situations where an annuity could grow without occurring tax liability.
Here are some situation and general information about life insurance.

Types of Life Insurance

Term Life Insurance, insurance for a specific time period or term. 10 years as an example
Whole Life, insurance for your whole life. Guaranteed premium, death benefit and cash value. Whole life is guaranteed

Universal Life, Limited guarantees and the premium presented to the prospect is usually set by the agent. Funds accumulate in contract based on insurance companies declared rate. Very few UL policies have guarantees other than the good name of the company. Most UL I have seen are under funded.

Variable Universal Life, same as universal life except the funds are invested in separate accounts (like a variable annuity). Once again limited guarantees.

Single premium products. It is possible to buy single premium whole life, universal life and variable universal life. The value to this concept is with the correct policy you can give your prospects a fully guaranteed contract that will never require funding in the future. There are some variations that will not fully guarantee future results so always do the correct due diligence.

Life Insurance Sales Opportunities

1. Exchange: Life insurance cash value will transfer to an annuity without any tax liability. 1035 exchange

2. Remix: Sometimes you can use the cash value in an old policy to purchase a new life insurance contract. The purpose would be to have a paid up policy (no more premiums), remove any loans (forgiven) or to increase the ultimate death benefit to the beneficiary.

3. Policy loans: If you are lucky to find a policy loan on a life insurance policy, it is free money. Here is how that works, you can tell the client that you will get the loan forgiven. Most larger life policies are there for a long gone reason and the need for life insurance at this stage is less. Have the insurance company readjust the cost basis and forgive the loan. This changes the amount of non-taxable dollars but if it is paid out as a death claim it is tax free. If the need for life insurance no longer exists, have the life insurance company forgive the loan and 1035 the new basis to the annuity company. You sell this concept on two levels, loans go away and you use the exclusion ratio for their illustrated payout when the need arises for income. Easy sale and the loan going away will make the client love you and hate their insurance agent.

4. Annuity Change: If you find an annuity whose current purpose is to transfer the proceeds to a beneficiary, consider this. The tax deferred portion of an annuity is taxable as ordinary income to the beneficiary. So determine the taxable portion of the annuity, cash it in (withhold the tax liability for client) send the funds to a paid up policy with the cash value still available. When these proceeds are paid to the beneficiary they will be paid tax free. Just compare the future value of the life insurance with the after tax benefit of the annuity.

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How About Selling Annuities Using Life Insurance?

This is a natural because you can transfer (1035 exchange) from a life insurance policy to an annuity without tax issues. The original basis on the life insurance policy now becomes the basis of the annuity which means that there are situations where an annuity could grow without occurring tax liability.
Here are some situation and general information about life insurance.

Types of Life Insurance

Term Life Insurance, insurance for a specific time period or term. 10 years as an example
Whole Life, insurance for your whole life. Guaranteed premium, death benefit and cash value. Whole life is guaranteed

Universal Life, Limited guarantees and the premium presented to the prospect is usually set by the agent. Funds accumulate in contract based on insurance companies declared rate. Very few UL policies have guarantees other than the good name of the company. Most UL I have seen are under funded.

Variable Universal Life, same as universal life except the funds are invested in separate accounts (like a variable annuity). Once again limited guarantees.

Single premium products. It is possible to buy single premium whole life, universal life and variable universal life. The value to this concept is with the correct policy you can give your prospects a fully guaranteed contract that will never require funding in the future. There are some variations that will not fully guarantee future results so always do the correct due diligence.

Life Insurance Sales Opportunities

1. Exchange: Life insurance cash value will transfer to an annuity without any tax liability. 1035 exchange

2. Remix: Sometimes you can use the cash value in an old policy to purchase a new life insurance contract. The purpose would be to have a paid up policy (no more premiums), remove any loans (forgiven) or to increase the ultimate death benefit to the beneficiary.

3. Policy loans: If you are lucky to find a policy loan on a life insurance policy, it is free money. Here is how that works, you can tell the client that you will get the loan forgiven. Most larger life policies are there for a long gone reason and the need for life insurance at this stage is less. Have the insurance company readjust the cost basis and forgive the loan. This changes the amount of non-taxable dollars but if it is paid out as a death claim it is tax free. If the need for life insurance no longer exists, have the life insurance company forgive the loan and 1035 the new basis to the annuity company. You sell this concept on two levels, loans go away and you use the exclusion ratio for their illustrated payout when the need arises for income. Easy sale and the loan going away will make the client love you and hate their insurance agent.

4. Annuity Change: If you find an annuity whose current purpose is to transfer the proceeds to a beneficiary, consider this. The tax deferred portion of an annuity is taxable as ordinary income to the beneficiary. So determine the taxable portion of the annuity, cash it in (withhold the tax liability for client) send the funds to a paid up policy with the cash value still available. When these proceeds are paid to the beneficiary they will be paid tax free. Just compare the future value of the life insurance with the after tax benefit of the annuity.

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Problems Selling Mortgage Protection Insurance Are Not Your Fault

Problems with Mortgage Insurance Sales

If you have ever sold traditional mortgage protection insurance, you know how hard it can be. You must put a lot of miles on your car, driving around to meet with clients in their living rooms. You also have to be available for them when they are home, which means you spend a lot of evenings working. Many times you will have to spend time out of town, because that's where you have leads and appointments, and this can be inconvenient and expensive!

Furthermore, some of your prospects may have been attracted to mortgage protection insurance because of the direct mail piece they received. But these direct mail pieces can give some people the wrong expectations. They may glance at the card or letter, and see an offer of insurance with no medical exam, and then assume that pre-existing conditions will be ignored. You may find that some percentage of the business that you have worked so hard to submit gets declined. People with very common professions can declined for disability insurance, just because of what they do for a living!

In addition, clients may see an offer of disability insurance or critical illness insurance and think they can obtain that sort of coverage without obtaining a large life insurance policy. The client may feel as if they already have enough life insurance. Some clients may read about waiver of premium riders while unemployed and confuse that with a supplemental unemployment benefit which most mortgage protection insurance does not offer.

You are Not The Problem!

The problem with selling mortgage protection insurance is not you, as the insurance agent, but the product you are selling which does not meet the client's expectations. When you present a product that gives a prospect the security they are looking for, selling is easy! In fact, many homeowners are concerned about protecting their finances now, when they are alive. When a large bank asked their customers what they worried about, a majority said they worried about paying their bills if they lost their job or became disabled. Many homeowners, especially younger ones, are not concerned about large death benefits. They are concerned about layoffs, accidents, or disability.

Offer Your Clients Mortgage Protection They Want!

You can find a mortgage protection insurance plan that solves many of these issues. You will not need to ask your clients health questions and almost every professions is accepted for disability payments. There are some vesting periods and waiting periods, but we feel that this type of insurance appropriate for many clients who do not want, or cannot qualify for, a traditional mortgage life insurance policy. You can also offer the new mortgage protection insurance to clients up to the age of 70!

Offer clients unemployment, disability, and hospital indemnity insurance, along with a death benefit, and all without asking health questions! You can sell this insurance from your home office as the forms can be completed over the internet. Move your mortgage protection insurance business into the twenty-first century.

And no, your client does not even need to have a mortgage to qualify!

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Problems Selling Mortgage Protection Insurance Are Not Your Fault

Problems with Mortgage Insurance Sales

If you have ever sold traditional mortgage protection insurance, you know how hard it can be. You must put a lot of miles on your car, driving around to meet with clients in their living rooms. You also have to be available for them when they are home, which means you spend a lot of evenings working. Many times you will have to spend time out of town, because that's where you have leads and appointments, and this can be inconvenient and expensive!

Furthermore, some of your prospects may have been attracted to mortgage protection insurance because of the direct mail piece they received. But these direct mail pieces can give some people the wrong expectations. They may glance at the card or letter, and see an offer of insurance with no medical exam, and then assume that pre-existing conditions will be ignored. You may find that some percentage of the business that you have worked so hard to submit gets declined. People with very common professions can declined for disability insurance, just because of what they do for a living!

In addition, clients may see an offer of disability insurance or critical illness insurance and think they can obtain that sort of coverage without obtaining a large life insurance policy. The client may feel as if they already have enough life insurance. Some clients may read about waiver of premium riders while unemployed and confuse that with a supplemental unemployment benefit which most mortgage protection insurance does not offer.

You are Not The Problem!

The problem with selling mortgage protection insurance is not you, as the insurance agent, but the product you are selling which does not meet the client's expectations. When you present a product that gives a prospect the security they are looking for, selling is easy! In fact, many homeowners are concerned about protecting their finances now, when they are alive. When a large bank asked their customers what they worried about, a majority said they worried about paying their bills if they lost their job or became disabled. Many homeowners, especially younger ones, are not concerned about large death benefits. They are concerned about layoffs, accidents, or disability.

Offer Your Clients Mortgage Protection They Want!

You can find a mortgage protection insurance plan that solves many of these issues. You will not need to ask your clients health questions and almost every professions is accepted for disability payments. There are some vesting periods and waiting periods, but we feel that this type of insurance appropriate for many clients who do not want, or cannot qualify for, a traditional mortgage life insurance policy. You can also offer the new mortgage protection insurance to clients up to the age of 70!

Offer clients unemployment, disability, and hospital indemnity insurance, along with a death benefit, and all without asking health questions! You can sell this insurance from your home office as the forms can be completed over the internet. Move your mortgage protection insurance business into the twenty-first century.

And no, your client does not even need to have a mortgage to qualify!

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