By Olivia McGraw, Unbridled Wealth

Diversity is healthy for any environment or situation. Eat too much of the same thing, even if it’s nutritious, and your body will lack other essential vitamins and minerals. Our gardens flourish the most when we plant a variety of fruit, veggies, plants, and flowers. And of course, diversifying our assets is common knowledge. However, how many of us actually act on that wisdom? 

In the last two weeks, I’ve talked to multiple people who are nervous about the stock market, world events, and the projected impact on real estate. But what actions can we take today to hedge against unknown changes? To start, diversify with an asset that is arguably the most secure and functional product available. I’m not saying to lock away money in a CD for a rainy day. I’m saying that today is the best time to look at utilizing the primary tool used to establish the wealthiest families in our country – a properly structured, dividend-paying whole life insurance policy. 

By using a properly structured policy, you are investing in an asset that will grow regardless of what happens in the future. You’ll also be able to use the money you place in a policy by accessing an unstructured policy loan. In addition, you’ll have cash ready when the market drops, and properties become available. You’ll be a lender, not just a borrower. And unlike borrowing from a traditional retirement plan, if you end up in a difficult situation, you’re not committed to monthly payments that can strain your finances. The greatest secret of this asset is that it is an AND asset. Your money will make money in a policy AND outside. It is called multitasking your money. 

For instance, this is how Colorado entrepreneur and real estate investor Stan Bullis was able to move quickly on opportunities in Cañon City, CO. Within eight days of him learning about an auction of the historic St. Cloud Hotel on Main Street – cash was in hand to bid on the property and won at only $80,000! To help protect that investment and diversify, he was then able to purchase other cash-flowing properties in the area and is now working to revitalize the gem of a city in Colorado. Most of all, he made money by investing in real estate AND by letting the cash value of his policy grow despite taking out a policy loan.

If this process of using a policy sounds unfamiliar, it may be one of the best-kept secrets for how the wealthy become and stay wealthy. It’s how the Rockefellers remain a financial powerhouse after 150-plus years.  It’s also how Walt Disney started Disney Land and McDonald’s became a household name. Maybe most importantly, it’s where banks place the money that we deposit. For example, take a look at page 170 of the Wells Fargo 2020 Annual Report (just google) at the first line asset class that states “Corporate/Bank-owned Life Insurance.” 

There are two simple steps you can take today to diversify. First, email our team to see how this structure applies to your situation. Second, begin educating yourself on the infinite banking concept and how to multitask your money. 

For further information, please feel free to reach us at the following:  

Jack Carlson: jcalrson@unbridledwealth.com; Jason K. Powers: jpowers@unbridledwealth.com ;Olivia McGraw: omcgraw@unbridledwealth.com