Hello,
What would be the argument for investing in the Target Date Index Fund, which I understand why this is a great option, and against investing in Whole Life Cash Value Life Insurance, which also seems to be a promising option? From what I have read I understand that you only invest in the latter.
Thank you in advance.
I assume an insurance salesperson has espoused to you the benefit of the Whole Life Cash Value Life Insurance? I know that, becaused commissioned insurance salespeople are the only people who ever espouse the benefits of a whole life insurance policy.
One of PFC’s principles is to avoid mixing investing and insurance. That’s exactly what whole life is. Whole life is also a crappy product. It is laden with fees, locks your money up, costs a ton, provides coverage you probably don’t need and only exists for the benefit of the insurance company. I’m sure they talked to you about the tax benefits, maybe even “being your own bank” one day?! It’s all nonsense. Don’t invest in insurance products. IF you need life insurance (because you have other people depending on your income to live) then buy term insurance. If you don’t need life insurance, don’t buy it and you’ve really found yourself a crappy insurance salesman.
Follow the investing checklist. Read The Simple Path to Wealth. Don’t count on an insurance salesperson to give you wise financial advice.
I appreciate you responding to my question.