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Whole life insurance policy policies are non-correlated assets. No matter of what takes place in the market (stock, genuine estate, or otherwise), your insurance plan maintains its worth.
Market-based investments expand wide range much faster but are exposed to market changes, making them naturally high-risk. Suppose there were a 3rd bucket that provided security however also moderate, surefire returns? Whole life insurance policy is that 3rd pail. Regardless of just how diversified you assume your portfolio might be, at the end of the day, a market-based financial investment is a market-based financial investment.
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