This article appears in Atlanta Business Chronicle.
In the complex world of wealth management, private placement life insurance (PPLI) stands out for many as an innovative and effective solution specifically tailored for high-net-worth individuals. If you are an investor with at least $5 million in taxable investments, strategically leveraging PPLI could transform your wealth management approach.
Wealth managers and financial advisors specializing in serving affluent clients may recommend PPLI as part of their comprehensive financial planning services. As an early adopter in the PPLI space, SignatureFD is at the forefront of this modernization.
We use PPLI to address our clients’ unique needs and objectives, providing advanced insurance solutions that integrate with broader wealth management strategies.
SignatureFD, with its human-centric approach to wealth management, has been an early champion of the power of PPLI. Our philosophy, “Net Worthwhile,” focuses on aligning your wealth to work harmoniously with your life goals and values. PPLI embodies this vision by melding investment growth, tax efficiency, wealth protection and legacy planning into one versatile tool.
Maximizing the potential of PPLI
At SignatureFD, we help ensure PPLI operates at its maximum potential for you, prioritizing four strategic pillars.
- Grow: Our PPLI policies help your investments to grow tax-free, accommodating a broad range of assets, from traditional investments to alternatives such as private equity, private real estate and private credit. Importantly, these investments are institutionally priced, removing the insurance middlemen. By stripping out all traditional insurance agent distribution costs and working directly with you, we ensure your investments are better able to grow. Furthermore, with no surrender charges or penalties, your assets can mature more efficiently, contributing to significant wealth accumulation over time.
- Protect: Beyond the investment shield, our PPLI policies offer an additional layer of protection with a death benefit. Additionally, PPLI policies are not public record, offering enhanced privacy. Crucially, PPLI protects your time, simplifying your financial life. The absence of K-1 forms to file and subscription documents to fill out leaves you with more time to focus on what truly matters to you.
- Give: With PPLI, SignatureFD works to streamline effective legacy planning. When structured appropriately, we help ensure your wealth reaches your heirs and chosen causes more efficiently, without the burden of involuntary giving (income and estate taxation).
- Live: We ensure your PPLI allows for tax-free access to your wealth through policy loans and partial withdrawals, providing a flexible, tax-efficient income stream to enhance your lifestyle.
Our extensive expertise in PPLI allows us to offer a level of customization and ongoing management that distinguishes us from others. Our clients aren’t merely investors but individuals with dreams, passions and unique life journeys. This understanding is why our approach goes beyond numbers. With our human-centric philosophy and commitment to PPLI, we strive to convert your net worth into Net Worthwhile.
Private placement life insurance is a robust tool, but we recommend careful planning, expert advice and strategic implementation for effective utilization. Partnering with SignatureFD means aligning with a knowledgeable resource in the PPLI space, one committed to making your wealth journey not only financially rewarding but also fulfilling. Take the next step with SignatureFD, and unleash the power of PPLI in your wealth management strategy.
Do you have questions about integrating private placement life insurance into your wealth management strategy? Contact us today.
SignatureFD is a financial advising firm headquartered in Atlanta, Georgia. We believe in helping our clients achieve wealth beyond money. Our team of investment, financial planning and tax experts are committed to proactively helping clients take control of their financial lives and achieve their goals.
Doug Liptak, CFP, CPA, is co-founder and chief strategy officer at SignatureFD. Liptak merges his analytical thinking and high-energy resilience to help deliver results-oriented financial designs. He holds a Master of Taxation with an emphasis in personal financial planning from Georgia State University and a Bachelor of Arts in Accounting from Furman University.