This was originally published on June 3, 2013, and it continues to be one of the most-discussed topics we’ve covered during those years.
The idea continues to be teased and promoted actively by Tom Dyson and his folks at Palm Beach Letter, sometimes using different names, so we’re re-posting it for those new readers who might be interested… the idea is now sold partly as a secret strategy used by Warren Buffett, Joe Biden, Wall Street Bankers, and other notable names… but the basic idea and the type of “bank on yourself” life insurance policy they’re pitching is unchanged (yes, I expect Buffett probably has some whole life insurance, since essentially all wealthy people use life insurance as part of their estate tax planning, and Berkshire Hathaway has engaged in life settlements/secondary life insurance investments in the past).
While you’ll still sometimes see it teased as the 770 Account, or as the “World’s Most Notorious Asset,” it’s mostly now being teased as the “702(j) Account” (just another mysterious-sounding number, like 770, that refers to the part of the IRS code that deals with cash-value life insurance)…
…the story otherwise hasn’t changed much, here’s our original article…
—-from 6/3/13—-
“Imagine an account that…
“Lets you retire 100% tax-free
“Is NOT reportable to the IRS
“Pays you an average of 5% per year
“Has paid out, on average, for 121 straight years
“And which, unlike traditional retirement plans like IRAs and 401(k)s, lets you withdraw money anytime you like, for whatever reason you like, and with no penalties whatsoever.”
That’s what Tom Dyson and a few other folks who sign their promo letters are promising in the latest pitch for the Palm Beach Letter, which he publishes with Mark Ford. It’s all about an account that’s been used by the uber-wealthy for generations, and by “at least six different U.S. Presidents,” including John F. Kennedy and FDR, whose pictures grace some of the ads to provide gravitas, to generate “IRS-exempt” income for retirement.
So what’s the story? Well, Dyson calls it the “770 account” to make it seem mysterious (why else, of course, would you buy the newsletter?), but, frankly, it’s plenty mysterious on its own even if you don’t give it a sneaky name. More on that in a moment.
In fact, this kind of “Account” is already being touted by lots of skeezy-sounding infommercials and books whose promises make you very suspicious — they come with names like “Bank on Yourself” and “Infinite Banking.”
That’s not to say that any of the heavily marketed versions of these plans are skeezy, just that their promises give me that feeling, and the numbers and specifics for plans like this come usually only when you’re sitting in an office with an agent. “Skeezy”, by the way, is defined by your friendly neighborhood Gumshoe as a combination of “sketchy” and “sleazy.”
But what they’re talking about with those plans, and what Tom Dyson is pitching for his newsletter, is life insurance.
Not just ordinary term life insurance like most people under 60 carry, though — we’ll get to that in a minute. First, a bit more of his tantalizing teasing:
“Manhattan’s Secret Vault: Why Wall St. has kept this powerful secret hidden from you
“There’s a very good reason you’ve never heard about the “770” account before:
“That’s because Wall Street doesn’t want you to know about it!
“And neither do the big banks too, for that matter. (More on this in a minute.)
“Now, even though this is the investment account The Wall Street Journal is on record as saying is better than 401(k)s and IRAs… the majority of Americans don’t know it exists.
Are you getting our free Daily Update
"reveal" emails? If not,
just click here...“Why?
“Well here’s a clue…
“I just got off the phone with an insider who works in the 770 industry. This person has worked first-hand with one of America’s biggest financial gurus (a name you’d instantly recognize), as well as several employees from Goldman Sachs and other big investment banks.
“And this is what this person said to me: NO ONE in Wall Street has their money in stocks—many of them are invested instead in ‘770’ accounts!
“Now, consider what this means…
“Here are the same investment professionals who’ve been telling us for years to “buy stocks”… and meanwhile… they’re all putting their money somewhere else!
“Ridiculous.
“Can you imagine the outrage this would create if most people found out about this?
“That’s why you’ll never hear your broker mention this investment to you, no matter how much money he (or she) has parked into it.”
We get a lot more in Dyson’s ad about the safety of these plans, and about how the big banks have tons of their own capital tied up in these plans (that’s true, by the way — banks have massive life insurance assets called “bank owned life insurance” or BOLI, they take it out on their top employees and it’s a large portion of their core capital), and Dyson’s reiteration that he has been putting increasing amounts of his own family’s money (20% of his net worth) into these accounts and getting a safe 5.5% yield … and it’s money that he can take out whenever he wants to by borrowing against it without penalties.
So what he’s talking about is not just life insurance, but probably a specific class of permanent life insurance that’s called “whole life.”
And it’s not really life insurance, not in the way those of us with term life insurance policies think of it (making sure your family’s not destitute if you die when your kids are young, or your mortgage has 20 years to go), it’s more of a wealth protection and tax-avoidance savings policy.
Whole life insurance is an agreement between you and an insurance company that they will pay out a certain amount of money when you die, and the agreement never expires as long as you keep paying the premium. That obviously means the premium is far larger than with a term life insurance policy, since a term policy expires at some point — term life insurance almost never pays out, so it’s cheap. You can pay $25 a month for $500,000 of 20-year term life insurance if you’re 35 years old, which is obviously cheap, but that’s because you’re young and healthy and the insurance expires when you’re 55, well before you reach the highest mortality risk years.
Whole life insurance does have that insurance portion, in that if you die in the early years of the policy there’s a death benefit that probably exceeds the money you’ve put in. But it’s not really for that — it’s set up to accumulate your death benefit over time. So if you want a $500,000 policy and the actuaries think you’ll die in 35 years, your premiums plus whatever returns the insurance company can earn on those premiums will have to add up to $500,000 in that length of time, plus whatever the insurance company wants to make as a profit. Life insurance companies do not generally do crazy investing or earn great returns in times of low interest rates, and they know pretty precisely when their insured people will die (for a large group, on average) so your premiums would likely be pretty stiff.
But that’s if you’re thinking about it as insurance — much of your premium goes into building a cash value for the insurance policy, and if you buy your policy through a mutual insurance company (like State Farm, or many others) that’s owned by the policyholders, and you get a “participating” or dividend-paying policy (meaning you get a dividend from the insurance company when they make money), then your cash balance can compound nicely and provide what are effectively decent investment returns that are indeed tax-advantaged. I don’t know whether the 5.5% gain that Dyson is expecting is typical or not.
Life insurance is often used by families who have some wealth to pass some of that wealth down to the next generation without taxes, and it doesn’t have accumulation limits that I’m aware of, like tax-advantaged retirement plans that restrict the amount you can put in every year — for most people contribution limits are a theoretical concept, but for the upper middle class and the wealthy the cap of 25-50 thousand a year across various retirement accounts is a bother.
So the key aspects of this, from what I can tell, are that you would want to buy whole life insurance, that you would want to have a participating or dividend-paying policy, and maybe even, if Dyson is following the same track as folks like the “Bank on Yourself” people, that you want to maximize the amount of savings you put into the plan (these are often called “paid up additions”) to increase your potential dividends from the mutual company and the growth of the account over time. The maximizing and “be your own bank” stuff is all about putting so much of your net worth into these policies that you do all of your big purchases (like buying cars, etc.) by borrowing from your policy. But of course, to do that you have to be the kind of person who can put a substantial amount of money aside for these large premiums as your “forced savings” plan.
And the reason it’s confusing, even if you don’t call it a “770 Plan”, is that these are complex contracts, they’re not standardized across different insurance companies, and from what I can tell you can only really buy them through an agent, whose commission structure may drive him in a different direction than you want to go. There are many, many variations and riders on these policies that I have only seen briefly mentioned, and I don’t know how most of them work — I suspect that they’re difficult to compare across providers, which is a hallmark of most commission-driven, hidden fee businesses.
Life insurance has a reputation for being riddled with fees, and for permanent life insurance and whole life insurance like this, the articles I’ve read suggest that most of the policies start to make sense after 10-15 years, but they suck up substantial costs and fees that mean you might lose out if you needed to try to pull your money out before that. This is a small segment of the insurance business that’s focused mostly on the wealthy, and the stuff that Dyson seems to be talking about is probably better handled with agents who are specialists in this … preferably those who don’t also happen to market a skeezy “secret plan.”
That is an extremely non-expert view. I don’t have a policy like this and I have not researched them fully, I’m sure there are people with whole life plans and probably agents who sell these plans out there in the great Gumshoe readership who could probably explain it better (feel free to use our friendly little comment box below) — all I can tell you is that Dyson seems to be teasing participating/dividend-paying whole life plans as his “770 plans” (and no, I don’t know what the 770 refers to), and they are real, and I don’t know whether they’re a good idea for you or not.
P.S. As of November 2013 this is now also being teased as “The ‘Underground Wealth’ Account: How to Fund Your Own Worry-Free, 100% Tax-Free Retirement” — these “accounts” were pitched in a different Palm Beach Letter teaser ad that was mostly about silver, I covered that one here on November 7.
Universal Indexed Life Insurance. They pay interest on your policy based upon an index. Mine uses S&P 500, it has min and max caps at 3% and 14% respectively. They do not invest your money in the market (at least my contract says that is not happening) they merely use a specified index (many, many diff ines avail) to pay interest on account. Once you retire and take disbursements of all monies that you supplied as principal, they then “borrow” money from your earned interest and then “loan” you money at a slightly higher interest rate than what they pay you on the money they “borrowed” from you. The gov’t does not tax “loans” so you get access to the accrued interest on your acct tax-free.. take THAT IRS_S !! My plan also allows me to “borrow” against the death benefit and whatever is left when I do die goes to beneficiary…take THAT Kids lol
PBL calls this “Income for Life” and yes, it is a method of using whole life insurance from a mutual life insurance company as an investment vehicle. The key is the ‘paid up additions’ as noted. The IRS allows a policy owner to add to the investment portion of the policy up to a point (depending on the size of the life benefit portion of the policy). If you put too much into the investment portion of the policy, the whole thing becomes a “Modified Endowment Contract” and thus, taxable. As noted earlier, this is a long term investment, as are most of PBLs recommendations. Not many mutual insurance companies do these type of contracts and PBL supplies a list of several agents they have vetted. It takes a while to understand the concept, but once the light bulb goes on in your head you’ll realize what a solid investment this is.
As a life insurance agent active for about 18 years, I sold whole life as my bread and butter product. I believed in it.
I bought the book Infinite Banking and even went to a 3 day workshop by the author mentioned in the comments.
In the final analysis, I do NOT recommend this approach. The commissions and fees you pay in the first year often result in ZERO cash value in the account and it takes at least ten years to start making a profit. I used the cash value in my account to buy some gold and found out that the loan interest of 8% was not really like that, it really ate into the returns of the account.
Plus if you invest the money using a loan, you are essentially using margin. The loan has to be paid back, or you must pay taxes on the ‘forgiven loan’. Lots of insurance policy owners have been caught with huge loans that were used to buy assets that went down in value, but they still had to pay the loan back.
I saw policies that were 50 years old that had earned about 5% over time. Not bad, if you are willing to wait 50 years. But the main problem with these policies is that they are debt based. Over time, people have gotten really screwed when inflation corrodes your purchasing power.
In my opinion, a better bet is a dividend reinvestment plan with one of the huge consumer nondurable companies like Johnson and Johnson or Colgate or Proctor and Gamble, that have increased dividends for decades on end. As long as people buy toothpaste bandaids and soap, these companies, with little debt and long dividend histories will exponentially outperform any life insurance policy.
That is my conclusion.
Once you reach a certain amount of equity, above, say, $100,000, you could also set up trusts like a Charitable remainder or Charitable lead trust that have tax advantages.
Whatever taxes you don’t pay in a life insurance policy will be more than met by the fees that the broker, his manager, his manager and the rest of the Home Office parasites make.
Eric Arnow
Eric, thank you so much for posting. I’ve been reading dozens of replies trying to assess whether this would be of benefit to me. I now understand that in my particular situation, (age 60, few assets outside retirement accounts), it would almost certainly not be.
Well I didn’t know this was called a 770 account but I do know you can be your own banker through Bank On Yourself sponsored by Pam Yellen. This is where I found the info. Then from there I got in touch with Peter Garcia. He is with “The Legacy Group” which is an advisor for Lafayette Life Insurance Company. Here is some contact info and feel free to let him know I sent you. No I do not get any kick backs…. I believe it is one of the best ways of protecting your wealth or retirement.
CONTACT: pgarcia@mylegacygroup.com
PHONE: 954-446-6696
FAX: 954-252-2076
I hope this helps….
Sincerely,
William Cosgrave
On top stock insights sign up page they talk about a stock to rise ’cause Apple is releasing a new iphone 5s this company has something to do with data transfer or thru put any clue which company they are talking about thanks for the insights Daryl.
APPLIED knowledge is power. I found the book How Privatized Banking Really Works by L. Carlos Lara & Robert P. Murphy an essential resource regarding the banking system and Infinite Banking. You can download the PDF version for free here:
http://consultingbyrpm.com/how-privatized-banking-really-works
EricK@AcceleratedWealth.com
I have a $500,000 policy in a irrevocable trust which will expire worthless when I reach 85. I would like to take the cash value but I understand I would have to pay taxes on the difference at full rates. Any suggestions? I am now 73 years old and in fair condition for my age but don’t want to take a chance on living to 85.
D
Whole Life policies don’t expire worthless; they are worth their face value at death and also have a cash value before death (both values minus unpaid loans and accrued interest). Regardless, you have a trust, so you need to consult an attorney who specializes in trusts.
Giles, Do a 1035 exchange into an annuity and you can let it accrue or you can take monthly payments up to 10% annually. i would pesonally only take 5% if you need the income. If not let it grow. Choose one that goes to your spouse 1st then to you heirs. I would love to speak to you about this. Thx
Giles,
I would suggest checking out some of the discussions on LinkedIn’s Infinite Banking Forum.
http://www.linkedin.com/groups?gid=2058883&trk=myg_ugrp_ovr
Our company Accelerated Wealth has many solutions that apply to all stages of life planning. We do not charge any fees and zero of our clients have ever lost money.
http://www.foxbusiness.com/personal-finance/2013/01/01/does-your-retirement-strategy-match-your-life-stage/
EricK@AcceleratedWealth.com
Versions of universal life–typically indexed or variable from a seasoned and good carrier-combined in a combo approach with a whole life policy from a good mutual carrier (and where most of the premium is going into the paid-up additions rider instead of into the base policy), is the best way to accomplish this. The hold pattern is at least 12 years (especially in this low-interest rate environment), and will require a lot more management attention than your insurance/securities sales guy will mention (80% of they themselves will be at a loss to help you). Buy from the right carrier(s), in the right combo, and funded properly, with maintenance, and you have a good chance of being successful, as are many of my clients. As with much in life, 80% of the carriers, 80% of the products, and especially 80% of the advisors are useless in this strategy.
I have been in this business for 54 years an have a plan that pay between 3 to7% per year and guarantees you your principal back after the first year with no penalty.
Mr. White A LONG
I have been in this business for 54 years and have a program of this nature, it pays 3 to 7% per year and you can get after the first year with out any fees. so Mr. White as long as you can put in $50,000 per year you can get in this program. It will grow tax free and it can not be attached by creditors.
Ray
Why $50K/year? How is that magic number arrived at?
Randy, that is the number that makes it work. As mentioned by Mr. Johnson these policies are designed not so much for the insurance as they are for the saving. And you take the person that is in a high tax bracket that will be like making 8 to 9%.
The term used is institutional investing, larger returns.
Ray
Hi Travis et al,
Long time reader though I don’t comment typically. Just wanted to clarify the conversation above on life insurance dividends. And this is coming from someone who likes the product and think the benefits are good. For full disclosure, I am an independent, comprehensive financial planner who runs an MA-based Registered Investment Advisor firm (RIA) and insurance agency.
6.5% “dividend” mentioned above needs clarification. What a life insurance dividend is, is not a straight 6.5% yield on the money you put in the contract nor is it 6.5% on the cash value. It’s a rather convoluted insurance company formula that explains what the company earns net of insurance costs (there are multiple inputs into the equation). FYI: Here is Ny Life describing what a “dividend” is:
http://www.newyorklife.com/learn-and-plan/life-insurance-dividends (disclosure – I have no affiliation with NY Life; their products are sold by their own agents)
So even though I like the product, we need to clarify what we are talking about because some of the people replying answered as if their understanding was that this meant 6.5% on their money. Over a long period of time (less if you go with no load insurance or low load), you will realize decent earnings (the low rate environment affecting bonds has affected insurance company dividends too).
Furthermore, in this environment, with very high interest rate risk, and with many of these insurers having a majority of their general account in bonds, it may make sense to go with the safest insurers. By that I would personally prefer highly rated mutual insurers (stock insurance companies serve 2 masters, mutual companies are theoretically “owned” by the policy owners – that’s why many policy owners in Met and Hancock got stock in their IPO’s).
To keep costs down and returns higher, go with low cost policies if you can find one in conjunction with the above-mentioned attributes. Or find agents who don’t want to gouge you, or hire an insurance advisor and get fee-based insurance advice. In fairness to full service agents, some of the best companies will still pay out fairly well over a long period of time even if the upfront costs are higher on policies sold. The best policy and suitability of the product really depends on the situation of the person looking.
If you want follow up info, hit up my email in the link.
Warmly,
Chris Grande
Chris,
Thank you for the clarification. I am new to the industry, and I couldn’t articulate it as well as you did. When people contacted me for information, I provided them with the internal rate of return for PUA and for premiums. I give clients the amount of PUA that works for them, regardless of the effect on my commission.
Believe me Harold, I don’t understand everything either – these products take a specialized team which is why you (as well as I) likely use a team of experts either at the insurance company or through an insurance agency (or both).
Keep up the honest work,
Chris
THANKS FOR POSTING THAT INFO CHRIS. YOU SOUND LIKE AN ADVISOR THAT TAKES YOUR CLIENTS FINANCIAL INTEREST FIRST. HOWEVER, FROM WHAT HAS BEEN WRITTEN HERE, IT SEEMS THAT THERE IS A DEBATE AS TO THE ADVANTAGES OF GETTING A TERM POLICY AS OPPOSED TO GETTING A POLICY CALLED “WHOLE LIFE”, OR SOME FORM OF IT.
THE IDEA WAS TO USE THE CASH VALUE AND BORROW AGAINST THAT WHICH WOULD RESULT IN TAX SAVINGS. PERSONALLY, I CANNOT SEE THE BENEFIT. MAYBE SOMEONE WILL EXPLAIN IT TO US NON-BELIEVERS.
In addition to what has been discussed here I am interested to know more about the process involved in borrowing from the cash value of one of these policies. I understand the loan will look like a typical loan (auto, home, etc…) with a term, interest rate, and so forth. I have been told that if the insurance company is non direct recognition when there is a loan out against the cash value the company will stilll pay dividends based on the original cash value. I believe this means the cash value remains the same as a capital basis and for calculations while the loan is a separate thing. And I can gather that the interest paid on the loan on your cash value goes to offset and/or pay with profit the difference between the cash value of the policy and the amount of the loan outstanding. Please shed some light those who are in the know. Thanks.
Hi Randy,
You got it pretty close. Often the interest on the loan is a tad higher than the interest earned on the CV. Have an agent run an illustration for you and make sure you look at the “guaranteed” numbers as well as the “current” numbers. Since final illustrations are considered part of the contract, they will give you an excellent picture of what to expect.
Warmly,
Chris
I have a whole life policy form State Farm Ins., and I receive a 1099int each year around Jan.5.
I my case this interest is taxible. Prior to the Clinton administration I received a 1099div on this same whole life policy.
Statefarmer, You’re receiving 1099’s on interest accumulated on dividends held by the company. If you just let the company send you your dividends, there would be nothing taxable.
My husband and I have been married for almost 24years. My husband’s father purchased a couple of these “whole life” policies when he was a child. When we got married, my husband purchased a policy for me and more insurance for himself. When our grandkids were born, we purchased policies for them as college funds. (My kids were a bit older when we married so we didn’t purchase policies for them.)
Our oldest grandchild is 12 and her $25,000 policy is already worth about $4,000. We’ll pay for these policies as long as we live. We’re not rich. We’re very middle income. The cash value of mine and my husband’s policies is over $100,000. We’ve borrowed from the policies to build one home while we waited for the other home to sell and done other things.
The trick is that you have your premiums automatically deducted from your checking account AND that you always have the discipline to pay yourselves back when you borrow from the policies.
This is not just for the super rich. Start early with a company that has been around a long time.
Don’t be fooled by obtuse and cryptic ad copy designed to excite and beguile.
There is NO SUCH THING AS A 770 ACCOUNT in the Internal Revenue Code.
SECTION 7702 of the IRC defines what life insurance is and how it is defined and regulated and taxed.
Likely this promoter simply left of the “2” in order to make his claims have more curb appeal.
Yes, banks, buy large amounts of life insurance for tier one capital in order to fund executive benefits. Those products are specifically designed products for a specific market niche and they are typically not whole life products. When life insurance is purchased for this reason it is not as an “alternative investment” — life insurance is purchased in these instances as a HEDGE — the life insurance DEATH BENEFIT allows the corporation to RECOVER post-retirement and post-employment health and welfare benefits paid to retired executives at their death. In this way the institution funds the aforementioned payments made to executives according to their employment contracts.
Life insurance is an extremely efficient hedge because when an institution or an individual buys the RIGHT type of life insurance they are buying a portion of the scale of the insurance carrier as well as playing the mortality curves to their advantage.
Don’t think of life insurance or annuities as “investments” — they are not. They are a HEDGE against risk, illiquidity, prolonged life and premature death. Consider life insurance to be a ‘put” and an annuity to be a “call”. When you own both as an overall component of asset allocation you are playing BOTH sides of the mortality curve and capturing the delta for yourself.
Always read the fine print when you purchase any long term “investment”. I’ve never heard of whole life insurance called a “770 account” until a couple of days ago when I read an article on one of the blogs to which I subscribe.
If you are careful and you are working with a reputable company and a reputable agent, whole life is a good investment. The policy that my father-in-law purchased for my husband when my husband was 4 or 5 years old had a death benefit of $3000.00 and today it is worth about $12,000.00. The payment was very small ( back in the 50’s ) and now it simply accrues value.
When deciding on whether this type of “investment” is right for you, the key word is REPUTABLE. Any company that tries to tell you that in 10 or 15 years the policy pays for itself is NOT being honest. And always consider the death benefit vs. cash value. You are buying insurance. Whole Life is good for as long as you live (and pay the premiums).
There’s really no mystery. Calling it a “770” account and creating a sense of secrecy is just a way for the “blogger” to sell more subscriptions to his blog.
You are right that purchasing an annuity is advisable if you can get an interest rate that outpaces inflation but today’s interest rates do not encourage me to do that. I had an annuity that was purchased at 4.5% 5 years ago and when it matured, the Life Insurance company that held it only offered me three tenths of one percent to renew it for another five years.
So TIMING is critical when deciding on any investment purchase.
And always research “hooks” independently before paying for access to a blog.
SHEILA, LOOKS AS IF YOU’VE DONE THE RIGHT THING. HOWEVER, MY GUESS IS THAT YOU COULD HAVE BOUGHT TERM INSURANCE POLICIES, PUT THE DIFFERENCE IN A SAVINGS ACCOUNT, AND YOU WOULD HAVE GOTTEN A BETTER RETURN.
OF COURSE THE INSURANCE COMPANY WILL CLAIM THAT YOU WOULD NOT HAVE THE DISCIPLINE TO PUT THAT “DIFFERENCE” IN THE SAVINGS ACCOUNT. THAT IS WHERE THEY MAKE THEIR MONEY. JUST SAYIN.
Come to your own conclusion: upon graduation from high school, my parents could not afford to help me much with tuition (farmers) for college. My mother had a grade school thru H.S. friend who sold insurance. He suggested a whole life policy for me as a graduation gift. Not much to initiate the policy and the bi annual premiums were affordable for me as I held 2 jobs while in college. True to form, this very reputable company sent me a letter 24 yrs. later stating that if I did not increase the amount of my premium payments..ie- buy more insurance, my policy would be cancelled as it had no cash value remaining that would continue to finance earnings on the account or maintain the death benefit. (Income was guaranteed at initiation and we were told that at some point I would’nt even have to pay a premium as the cash value would even take care of that!). We were told that this policy was a great start to a DIVERSIFIED RETIREMENT PORTFOLIO. I’m a realist. I know if it sounds and walks like a duck, well it must be a duck. I NEVER missed a premium or was late with one, EVER! I did without to make sure the months the premiums were due, that I could pay them. NEEDLESS to say, always be wary. The outcome of my situation: after threatening to file suit, as I had amortization tables and all paperwork provided me at initiation, they gave me their best AAA/secret/super TERM life policy which expires when I turn 62! Now isn’t that just the cat’s rearend. Think twice people!!
What you described cannot be a whole life policy. Likely you had a hybrid of term and WL or a UL — another species of duck entirely.
YEAH, SURE JOHN, GOTTA BE SOMETHING ELSE.
GLAD YOU WROTE THIS. PEOPLE DO NOT SEEM TO REALIZE THAT THESE LIFE INSURANCE COMPANIES MAKE A LOT OF MONEY. CANNOT IMAGINE WHERE IT COMES FROM (HOPE YOU REALIZE I AM BEING SARCASTIC). KINDA LIKE OUR FEDERAL GOVERNMENT. THEY LIKE TO SPEND OTHER PEOPLE’S MONEY.
Please send me info on this and how to proceed. Thanks Jack
Do you know what these guys are talking about???
Which are the 3 3d printing companies?
Are they “Keepers” ??
Many experts believe this new technology will trigger a rebirth in U.S. manufacturing and put an end to the “Made in China” era.
And two cutting-edge companies are at the forefront of this revolutionary “portable factory” that could make you extraordinarily rich starting today.
Here’s how…
“3D Printing Spurs a Manufacturing Revolution” — New York Times
Dear Reader,
It’s all over the news.
A breakthrough 3D printing technology is about to forever change manufacturing as you know it… putting to an end to the globalized supply chain — and the “Made in China” era.
This cutting-edge technology is so powerful, it could trigger an American Rebirth…
With many experts proclaiming 3D printers will make it possible for many American companies to mass produce products right here at home. Cargo ships could become a distant relic.
New research by The Boston Consulting Group found:
3dprinting.tearsheet.bostongroup
A new report by John Manners-Bell, CEO of Transport Intelligence, and Ken Lyon, CEO of Virtual Partners, found that with 3D printing, “Goods which were previously produced in China or other Asia markets could be ‘near-sourced’ to North America,” vastly reducing transportation and labor costs for American companies.
Even The Economist agrees, noting: “The old rules of manufacturing, such as ‘you must seek economies of scale’ and ‘you must reduce unit-labour costs’ are being cast aside. New machines can print every item differently… ”
With Forbes adding: “3D printing holds the potential to revolutionize how, where and when goods are manufactured.”
Now, let me stop before I go any further and and say I know this sounds like some futuristic device you’d see in a sci-fi movie. But remarkably, 3D printing technology is real. And it’s being used right now to create a variety of customized products.
For instance, 3D printing is being utilized to create stronger and lighter parts for the aerospace sector, and to reinvent medical devices that are custom tailored for each patient — like hearing aids, dental applications, and implantable devices. I even saw one patient recently who had 75% of his skull replaced with a 3D-printed implant.
The technology is even being used to “print” edible meals — including chocolate, cheese, scallops, turkey, and celery.
There’s just no end to what 3D printing can create…
“Imagine entire supply chains powered by 3D printing, where customized products are made on-demand, anywhere in the world,” says Forbes.
And Wired Magazine noted in a recent issue:
ea-3d-printing-tearout
It’s been estimated that up to 30% of finished products manufactured last year involved some kind of 3D printing.
By 2016, this is expected to rise to 50%… and by 2020, potentially up to 80%.
Imagine getting in now on this transformational technology that will forever change the way products are manufactured.
It could be the catalyst for America’s manufacturing rebirth — by bringing local economies back to life and restoring middle-class jobs — and the catalyst for future riches for investors who get in on this trend now.
That’s why I’m so excited to be here with you today…
I’m just finishing up an urgent new report that fully details two cutting-edge companies that are at the forefront of this revolutionary “portable factory” — two companies that could make early investors extraordinarily rich.
In just a moment, I’ll show you to secure your FREE copy of this timely report. But first, let me explain in a bit more detail what this new technology is capable of…
I Just Saw the World’s First “Printed” Car Rolling Off the Printing Press
Yes, I said “printing press.”
Using a new kind of printer, a little-known Minnesota company has “printed” an entire car. It gets 200 MPG, goes 70 mph, and is built to last for 30 years.
I wouldn’t have believed it if I hadn’t seen it with my own eyes…
All the exterior components of the car — including the windows — were created using 3D printers.
If it wants to make another car, the company simply hits the “print” button again.
This new technology is similar to clicking the print button on a computer and sending a document to an inkjet printer. The only difference is that the “ink” in a 3D printer is a material that is deposited in layers until a solid object emerges…
It can print plastic, metal, glass, and even concrete.
This is one of those rare transformational technologies — like the Internet or the printing press — that could change the way we live, work, and play.
According to the Market Oracle, this is the 21st century’s laser printer — with the power to forever alter industries in the same manner that desktop publishing changed the print industry during the 1980s.
Business Insider calls it:3dprinting.tearsheet.bizinsider
And for those wealthbuilders who jump in early on this emerging trillion-dollar industry, the rewards could be extraordinary…
Because the list of possible uses for this transformational breakthrough is already long — and growing.
While recently reading The Economist, I came across a story about a Ph.D. student at MIT named Peter Schmitt, who has been 3D printing a grandfather clock…
3dprinting.tearsheet.economist
And right after that, I learned from Popular Mechanics that TV personality Jay Leno uses a 3D printer to make custom hard-to-find parts from scratch for his collection of classic cars…
3dprinting.tearsheet.popmechanics
The New York Times reports a California start-up is building houses with its 3D printer:
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And even more remarkable, a tiny biotech company is exploring using 3D printing to create entire human organs. The printing device would lay down layers of living cells that could be molded into a bladder, kidney, or heart.
Incredible, isn’t it?
But the tastiest use of 3D technology goes to the University of Exeter, where scientists have developed a 3D printer that prints not ink, plastic, metal, or concrete — but layers of delicious chocolate!
It’s no wonder SmartPlanet calls 3D printing the:
3dprinting.tearsheet.smartplanet
Because with this brilliant innovation you can “print” your own car, your own drugs, your own food… even your own house.
Need a piece of jewelry? Or a spare part for your car or lawnmower? Soon you will be able to fire up the 3D printer and make one from composite materials.
This groundbreaking technology isn’t just limited to big corporations or university research departments with deep pockets…
In fact, the little-known Minnesota company that “printed” the car I mentioned has recently released a home version of the 3D printer for under $1,300.
It allows every one of us to be a designer, inventor, factory owner — and maybe even millionaire — inspiring grand visions of a future where everyone prints out their own children’s toys, replacement car parts, household objects, or musical instruments.
And as prices continue to drop, the 3D printer could soon be as common as a screwdriver in Henry Homeowner’s garage…
The Economist says:
3dprinting.tearsheet.economist2
Wired Magazine says this new printing technology could trigger:
3dprinting.tearsheet.wired
And yet, most people are still unfamiliar with the concept.
Which means you have a massive wealth-building opportunity to get an early advantage on this market before the average investor gets a clue.
And if history is any indication, you could turn a mere $10,000 into over $3.7 million off two explosive American companies that are at the forefront of this incredible 3D technology.
Here’s how…
It’s Happened Before with Transformational Technological Innovations…
According to a University of Chicago study, investors early to the game made massive gains off these cutting-edge innovators:
37,199% on Container Corp. of America
37,170% on Truax Coal
30,503% on International Paper
23,586% on Douglas Aircraft
24,146% on Zenith Radio
21,608% on Minneapolis Honeywell
Any one of these companies could have turned a mere $10,000 into over $2 million!
Why did these firms succeed in times of economic hardship? Simple: The founders recognized a market need and filled it.
Consider Zenith Radio…
It was a cutting-edge technology back in the 1930s. Zenith was the Apple of its day with radio breakthroughs.
By the end of the 1920s, one-third of U.S. households owned a radio. By 1933, that number climbed close to 60%.
Early-in wealth builders who were savvy enough to invest in Zenith back in 1932 could have made as much as 24,000%. That turns $10,000 into over $2.4 million!
If history’s any clue, as we pull out of this current economic slump, huge tech advances will abound…
Like this amazing 3D printer that could transform our world — and your pocketbook.
And that’s why I’m so excited to share this with you today…
Nick Hodge
Nick Hodge is managing editor of Energy & Capital and investment director for the advisory Early Advantage.
He’s been in the investment publishing business since graduating Loyola University in 2006.
Known for a “call it like you see it” approach to money and policy, his insights have led to numerous appearances on television and in various outlets on the Web — including the Business News Network and Yahoo!’s Daily Ticker.
Co-author of a bestselling book on energy investing, Nick has led tens of thousands of investors to ten triple-digit wins and over 220 double-digit wins in the space.
He’s also passionate about public policy, population, agriculture, water, and raw materials.
His expertise ranges far beyond stocks…
In Early Advantage, Nick shows readers how to make money as well as protect and spend it.
When he’s not writing, investing, or flying around the world to meet with company executives, Nick can usually be found either in a boat on the Eastern Seaboard or on a Maryland farm pursuing the outdoor activities he grew up with and continues to love.
I’ve uncovered two future giants of 3D printing, each capable of bringing you a boatload of money as this emerging technology turns into a trillion-dollar industry.
In just a moment, I’ll tell you how to secure your FREE copy of a timely new report I’ve put together on this new breakthrough.
It’s called “3D Printing: Gains Up to 37,000%,” and it will give you the full details on this revolutionary new technology — and the two companies set for explosive gains.
But first, let me introduce myself and share a bit of my background covering little-known breakthroughs and disruptive technologies that could change our world… and make you tax-shelter rich.
Hi. I’m Nick Hodge.
I’m an analyst at Angel Publishing in Baltimore, Maryland, and editor of Early Advantage — the resource for big profits from little-known breakthroughs and disruptive technologies in energy, resources, electronics, technology, agriculture, and more.
Known for a “call it like you see it” approach to money and policy, my insights have led to numerous appearances on television and in various outlets on the Web — including the Business News Network and Yahoo! Finance’s Daily Ticker…
Perhaps you’ve read my bestselling book on energy investing, or seen me speak at numerous investment conferences around North America…
My goal at any appearance is always the same: to bring you the latest information, ideas, and companies that could change your life… and bring you enormous gains.
Like it did for these readers:
ea.testimonial1
ea.testimonal2
My goal is to get you in on the ground floor of emerging technologies — like the 3D printer — so you can maximize your gains before the Wall Street fat cats jump on board.
What I’ve been telling you about today is such a monster technological breakthrough, even NASA has jumped on the 3D printing express…
Awarding a grant to Behrokh Khoshnevis, a University of Southern California professor of engineering, to find a way to build a moon base using 3D printing technology:
3dprintin.tearsheets.khoshnevis
At that rate, you can put together a whole room in just an hour.
How amazing is that?!
As we head into the future, this technology is what will allow major advancements to be made in multiple industries. It’s pure picks and shovels for the modern age.
It’s no wonder, then, that some of the world’s biggest players are taking notice…
3dprinting.tearsheets.atlantic
According to Bloomberg Businessweek:
3dprinting.tearsheet.bloomberg
And that’s just the beginning of what could be the “Next Industrial Revolution.”
This is one of those rare technologies — like the steam engine, the light bulb, atomic energy, or the microchip — that could change the way we view the world…
And early investors will make the most tremendous returns.
Right now, only a handful of savvy investors understand how incredibly huge the 3D printing industry will be — giving you the opportunity of a lifetime to be among the first to invest and make a killing from what many experts are calling the next trillion-dollar industry…
An industry that could trigger America’s next manufacturing revolution.
3D Printing: America’s Next Manufacturing Revolution Has Begun
The prestigious Atlantic Council recently released a Strategic Foresight Report that details how 3D printing could change our world.
It called 3D printing:
3dprinting.tearsheet.atlanticcouncil
It also noted the United States could experience a renaissance in innovation, design, IP exports, and manufacturing as a result.
The bottom line: America is BACK!
Forget all the doom-and-gloom stories you’ve been hearing about America’s demise lately. Yes, we’ve had our share of bumps and bruises over the last few years… but with this ONE new technology, we could reclaim our title as the world’s leading manufacturer.
Skeptical?
Just look at how Apple has completely overtaken Japanese dominance of the gadget industry… or how Google took the lead in organizing the world’s data… or how Facebook is the leading innovator in organizing the world’s people…
The fact is when it comes to life-changing technological innovations, America is still a global powerhouse. And with its strong leadership in 3D printing technology, America could reclaim its title as the world’s largest manufacturer — taking manufacturing jobs from China and bringing them back to America where the products are consumed.
Fact is higher production costs, shipping costs, time delays, and social unrest are leading many American companies to rethink moving jobs overseas.
3D printing solves all of those problems.
The final result: a sizable reduction of our global economic imbalance with China as our reliance on imports shrinks.
It makes sense… Why would an American company ship a critically needed product or spare part from China when it could “print” one immediately at home?
tearsheet_academic
Do You See the Incredible Opportunity Here?
This is the technology that will transform the way we manufacture just about every single product.
This is the breakthrough that can bring an end to the “Made in China” era and bring America back to its feet.
3D printers aren’t just going to revitalize America… They’re going to revitalize American spirit and ingenuity:
Designs — not products — would be moved around the world as digital files to be printed anywhere… by any 3D printer.
Manufacturing facilities would print wide range of products without retooling… and each printing could be customized without added cost.
Products could be printed on demand… without the need to build up inventories.
And that’s going to bring early wealth builders a mountain of cash…
Turning a tiny $10,000 investment in 3D printing into a possible windfall over $3 million.
Imagine what you could do with that kind of money… pay off your mortgage, pad your retirement account, pay for your kid’s college education — never rely on anyone for anything.
The time for that is now, because…
3D Printing Technology is Advancing at a Rapid Pace
It’s only once or twice a lifetime that you witness the emergence of a technology that is capable of generating TRILLIONS of dollars worldwide.
And that’s why I’m excited to share with you the two companies that are at the forefront of this industry.
Each company is capable of bringing you phenomenal gains — as much as 37,000% — as the demand for 3D printing technology explodes worldwide… demand that could continue to skyrocket as this technology becomes more mainstream, just as it did for computers and cell phones.
That will push 3D printer prices down, which will send demand even higher.
Already, the price of 3D printers is coming down from $125,000 five years ago to under $1,500 today. Just imagine what will happen when the price drops to under $400, putting them well within the affordable price range of most consumers…
Like Apple and Dell computers in the 1990s, everyone will have a 3D printer at home. And when that happens, 3D printing will trigger a whole new wave of innovation.
The Atlantic explains the process like this:
3dprinting.tearsheet.atlantic2
Right now, we’re at the very beginning of the transition from the “tinkerers” stage to the “mass market” stage.
That’s the time you want to get in to maximize your gains.
Because when the fat cats on Wall Street finally discover the explosive moneymaking opportunities within 3D printing, the growth in this industry is going to be enormous.
This could be your Apple, your Microsoft.
If you had invested in either of these transformational technology giants in the early 1980s, you’d be sitting on a mountain of cash right now… able to retire when you want to, not dictated by someone else… able to travel the world, pay off your kids’, even your grandkids’, college education…
Well, this is your second chance at incredible wealth… a rare opportunity to get in on a jaw-dropping technology that is set to revolutionize the way we do things in business, at home, and in schools.
Or as The Economist says, it’s the dawn of the:
3dprinting.tearsheet.economist3
Almost everywhere you look, an article about 3D printing is surfacing — from The Economist to Forbes to the Wall Street Journal.
Forbes has exclaimed:
3dprinting.tearsheet.forbes.bold
The Wall Street Journal noted we’re in the:
3dprinting.tearsheet.wsj
But the problem for wealth builders is that none of these articles talk about where in the 3D printing industry you need to put your money right now — i.e. which cutting-edge companies could lead you to monster gains…
That’s why I’m eager for you to get your hands on my FREE new report, “3D Printing: Gains Of Up to 37,000%.”
In it, you’ll get full details on the two companies that are set for enormous gains as the 3D printing industry explodes.
It’s your blueprint to great wealth — and it’s yours FREE.
Over the next few minutes, I’ll give you step-by-step details on how to secure your copy.
Right now, let’s take a look at the two companies you’ll learn more about in the report…
3D Printing Wealth-Builder #1:
This Global 3D Printing Powerhouse Could Trigger the REBIRTH of America’s Manufacturing… Here’s How to Profit
This U.S.-based company is an emerging leader of the 3D printing industry.
The company develops, manufactures, and sells a line of 3D printers and related materials that create parts from computer-aided design (CAD).
Its products are used in the aerospace, defense, automotive, medical, and architecture industries… and until recently, it focused on the upper end of the market — selling its 3D printers to customers like 3M, Medtronic, BMW, Chipotle, and Xerox.
Its average mid-range price was $60,000 per unit, with some units costing more than $350,000. But realizing the monster sales potential in the fast-growing lower-end professional market, it recently released a 3D printer geared toward educators, engineers, entrepreneurs, and independent designers…
It’s the market’s lowest-priced professional-grade complete 3D printing system priced under $10,000. And the patented 3D printer package contains everything needed — including the printer and support materials.
Its technology is so revolutionary that it could trigger America’s manufacturing REBIRTH…
And response has been explosive.
Its latest quarterly report showed record-breaking revenue up nearly 25% and 3D system sales soaring by over 50% since last year.
And unlike most fast-moving technology companies, it has NO debt — just tens of millions of dollars to pour back into R&D.
I’ll give you the full details on this emerging powerhouse in my blockbuster new report — yours FREE just by clicking below.
Before you do, though, you might want to hear about the other 3D printing company, which has the medical community buzzing with excitement…
3D Printing Wealth-Builder #2:
Make Millions Off This Tiny California Company that’s Pioneering the Organic Printing Boom
Reuters calls 3D printing:
3dprinting.tearsheet.reuters
And I’ve just uncovered a tiny start-up in California — priced under $10.00 a share — that’s taking regenerative medicine to the next level.
Unlike most 3D printers, which use plastics and metals, this printer uses biological material — in other words: living cells. And the products these printers create are living organs.
The specific technology is known as bio-printing. To date, the company has used it to create several tissue types including lung, cardiac muscle, and blood vessels.
The biggest advantage of using this technology is that because the tissue is grown from the patient’s own cells, there is little or no danger of rejection.
With near-zero chance of rejection, this amazing 3D printing technology will eliminate the need to have patients wait for donor organs on long waiting lists.
Imagine going to the hospital and watching your new kidney or heart being “printed” out…
Not surprisingly, the company was named one of 2012’s Most Innovative Companies.
Its incredible 3D bio-printing technology could shave billions off the $5 trillion spent on health care annually.
And that opens up an incredible opportunity for you to get in on an emerging technology that could bring you gains of as much as 37,199%… like the gains emerging technology innovators Container Corp. of America and Truax Gold brought to some of its early-investors in the past.
This company has doubled in size since 2011… and because of its massive potential, it has received millions in private funds to continue its groundbreaking research.
In addition, it has signed an agreement with its first major pharmaceutical partner, Pfizer. This is a huge win for this relatively unknown company.
This tiny company’s revolutionary bio-printing technology is set to change medicine forever — and could make investors an astronomical amount of money in the process.
Why shouldn’t that be you?
It all starts with you securing your own FREE copy my blockbuster new report, “3D Printing: Gains Of Up to 37,000%.”
I want to give you access to it today, with my compliments, entirely FREE.
And all I ask in return is that you accept my personal invitation to sample everything my research service Early Advantage has to offer… with NO risk or obligation whatsoever.
In Early Advantage, I Show Readers How to Make Money — as Well as How to Protect and Spend It
In just the past few years, my top-level research and market insights have led wealth builders to massive triple-digit gains like:
119% on Cree (3-4 months)
159% on Xethanol Inc. (2-3 months)
316% on Akeena Solar (15 months)
101% on JA Solar (14 months)
391% on BYD Company (3 months)
426% on Alternate Energy Holdings (3 months)
110% on Solarfun Power (5 months)
Of course, those are just some of my biggest gains.
“Smaller” ones include:
33% on GS Agrifuels (1 day)
28% on Arise Technologies (1 day)
73% on World Energy Solutions (2 days)
41% on Ener1, Inc. (1 day)
82% on Capstone Turbine (7 months)
30% on JA Solar (2 days)
47% on SunPower (6 weeks)
43% on GT Solar (1 month)
54% on Yingli Green Energy (2 months)
40% on A-Power Energy (1 month)
62% on Maxwell Technologies (3 months)
52% on Nevada Geothermal (6 months)
42% on First Trust Global (8 months)
35% on Ultra DJ-AIG (3 weeks)
78% on PowerSave Energy (3 months)
There are hundreds of double-digit wins I could list from my performance over the past five years, some of the worst years in market history.
As you can imagine, spotting winners like these time and again isn’t easy…
Hours and hours of research go into making sure that every single play has what it takes to put money in your hands.
Very often, it means taking long treks to desolate patches of land no one in their right mind would set foot in to grill CEOs and take a close, hard look at the true promise of every project… from chatting with 3D printing start-ups based in Minnesota and California… to meeting and working with farmers… to inspecting mines in Alberta and Ontario…
You’ll get the real boots-on-the-ground research most analysts just don’t feel like doing: obscure conferences and trade shows, site visits, private one-on-one interviews — all in the name of getting the early advantage on any money-making opportunity out there.
Sometimes, of course, the promise doesn’t jive with the fundamentals, and so a company ends up being left out of Early Advantage…
But whenever a company or fund does make the grade, you can be certain that readers of Early Advantage will be the first to know.
And the early advantage doesn’t only apply to stocks: You’ll get my musings on productivity, taxes, saving money, leisure, and more. I share the same strategies, techniques, and habits I employ successfully in my own life.
And that’s why I keep receiving letters like these:
testimonial
testimonial
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You can join them today without risking a single penny.
Your Ultimate Resource for Transformational Technology Breakthroughs
When you test-drive Early Advantage for 30 days, you’ll have exclusive access to the same kinds of little-known plays that have already delivered double- and triple-digit gains time and again — often in just a few days, weeks, or months.
I will work hard to get you an early-in on disruptive and future technologies before they enter the mainstream — when the gains are greatest on looming advances, like 3D printing.
Remember, 3D printing is about to usher in the rebirth of American manufacturing and could trigger the end of the “Made in China” era…
SmartPlanet notes:
3dprinting.tearsheet.smartplanet2
Emerging technologies, particularly 3D printing, are making production in the U.S. viable and cost-effective once again. Incredibly, the United States is now seen as the next low-cost production region — replacing China.
That’s why I’m so excited for you to get your hands on my newest report about 3D printing…
So you can quickly capitalize on two of the hottest 3D printing companies set to explode as the rebirth of American manufacturing begins.
But that’s not all you’ll get…
Just to make sure this service is right for you, I’ll also send you three additional BONUS reports about the hottest new technology and energy breakthroughs…
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These reports are worth hundreds of dollars apiece…
But you’ll get them ALL — absolutely FREE — the minute you sign up for a trial subscription to my exciting research service, Early Advantage.
3D printing,,,where do you get the free trial subscrition???
There are two points that I don’t see mentioned in the comments;
First, the plan is to purchase the minimum coverage with maximum premium through the use of Paid Up Riders. You are not buyinf the death benefit but rather the tax free accumulation and use of your own money. Yes there are fees but there are fees to EVERY investment be it commissions, spreads, or taxes.
Second, as it was explained to me, the plan works best for those with incomes in excess of their expenses. One idea within the concept is to build a protfolio of these policies (yours, your spouse, children, grandchildren, etc.) and place as much of your income into the plan as possible. Then you pay out your monthly expenses and purchases through the policy loans. The monthly “premiums” pay for the policies and the loans so long as again you have more income than expenses.
This way you are the bank and you are collecting the interest you would otherwise be paying to a commercial bank which when all is said and done is a HUGH percentage of one’s lifetime income.
By way of example, even a person making $35,000 per year will cash flow $1,400,000. How much of that you keep is the key to wealth and financial freedom.