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Whole life insurance policies are non-correlated possessions. No matter of what happens in the market (stock, real estate, or otherwise), your insurance coverage plan retains its worth.
Market-based financial investments expand wealth much faster but are revealed to market changes, making them inherently high-risk. Suppose there were a 3rd bucket that supplied safety yet additionally modest, guaranteed returns? Entire life insurance policy is that third pail. No matter just how diversified you believe your profile may be, at the end of the day, a market-based investment is a market-based financial investment.
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