Originally posted by @Brian Nordman:
Sebastien Hitier not really sure what you're trying to get at? My comment about there being benefits is not a false statement. I have done enough research to understand that's a fact. I'm simply asking for others who have used it personally to show numbers or facts as to why I should or shouldn't use it.
For your comparison of renting vs owning, renting is indeed a waste of money. You likely pay the same or sometimes even more than you would for a mortgage and you get nothing out out it.
No worry Brian, I was asking if you could share the facts your research uncovered. By now, there are very informative posts in this thread that were made concerning this product. If I may summarize what I read:
+ money earns a long term yield around 5% to 8% in the past (that's with recent equity return tailwind)
+ private banks let you borrow libor secured against it if you are HNWI, therefore allowing to leverage the return
+ possibility of estate planning
+ asset is protected from creditors
- no transparency on fees, and on the investments made
- locked in contract, so if the insurance company management changes its view on this product in 10 years and starts to remunerate them poorly, you can never walk away.
I'd be interested in other people's view too.
