INDEXING

Hey guys, I wanted to get on here again because I had some more questions on indexing. Indexing is a way in which insurance companies grow your money not only tax-free but they grow your money by investing in the stock market but at the same time they’re able to give you or promise you guarantees on your money and they’re able to promise you that you have a 0% floor which means that whatever you invest you are not going to lose that money in the market. So this is pretty much again how indexing works.

The premiums that you pay to an insurance company are leveraged with their own money. They invest that money in the stock market. Let’s just say they get back a 20% rate of return right at the end at the end of this year because guys if you didn’t know the index is already up 19% already for 2024.

So let’s just say that you were in the index this year and it closed at just 20 you know it closed up 20% and they gave you right they gave you 10% of that 20%. So now the insurance company has made a spread of 10% that they’re keeping. They got a million people you know they got a million people that they’re doing this with right.

So don’t feel sorry for the insurance company. The insurance company is making money. The thing about this that you need to understand is that all of your income is protected.

That’s why the 1% indexes a certain portion of their wealth right. Another thing that I wanted to say is that there are hundreds of indexes right. A person asked me well Leonard well how do I know which index to invest in? First of all it’s hundreds of indexes but the but it’s three. It’s three popular indexes in the US, which is the S&P index the Dow index and the Nasdaq index.

Those are the those are the three popular ones. Now what I do right I’m an index watcher right. So I’ll watch the index for my clients and I’ll put them in the indexes that are making the most money for that particular year.

So for example right now if you were to be my client I have two or three indexes or indices that are uncapped. What does that mean for you? Unlimited gains in your retirement. So call me so I can explain to you how indexing works and if you don’t get in this year next year you can get locked in to unlimited growth in your retirement.