PPLI & PPVA
Private Placement Annuities and Insurance
What are PPLI and PPVA?
- They are cost-effective Variable Universal Life insurance or Annuity policies that enable ultra-affluent investors to own a tailored solution, minimizing insurance while securing tax-free earnings in hedge funds and sophisticated investments.
- Through proper planning, cash value growth and insurance coverage can be shielded from gift and estate taxes.
- Private placement life insurance is tax-efficient, providing owners with tax-free access to policy cash values.
- When structured appropriately, PPLI can provide protection against creditors and predators.
- Given these advantages, the affluent, including family offices, are increasingly adopting private placement life insurance.
What sets PPLI apart and why does it attract the Wealthy?
- Strategic use of PPLI can mitigate or eliminate adverse tax impacts and related filings associated with some investment products.
- No surrender charges.
- Elimination of K-1s from underlying investment issuers.
- Exposure to multiple investment advisors, strategies, and asset classes.
- Transparent pricing structure.
- Flexible design options.
What Else?
PPLI and PPVA can be valuable components of intricate tax plans. For instance, imagine a client receives a significant windfall resulting in substantial ordinary income in a year, such as a bonus or property sale. Utilizing a private placement product in combination with a charitable lead annuity trust can offset the tax burden while supporting charities, including private foundations.
Lastly, private placement products can also be funded through Section 1035 from existing annuities or life insurance products, offering lower pricing, liquidity, and a wide range of investment choices.
Private Placement Life Insurance is an unregistered securities product and is not subject to the same regulatory requirements as registered variable products. As such, Private Placement Life Insurance (or Annuities) should only be presented to accredited investors or qualified purchasers as described by the Securities Act of 1933.
Services
How can we help you?
Our goal is to help you reach your lifelong objectives. We offer access to exclusive products and services tailored to the needs of affluent individuals, executives and business owners – providing value and excellence for over 20 years.