Financial advisors across Canada will tell you that risk is a necessary evil of growing your investments. But is the risk worth the return?
- The typical equity investor has only earned 3.49% annually for the past 20 years, beating inflation for that period by less than 1% a year! Asset allocation and fixed income investors actually lost ground when factoring in inflation.
- For the past forty years, ordinary long-term treasury bonds have outpaced investing in the stock market, which means the only “rewards” investors have received for taking the extra risk of stocks and equity mutual funds are sleepless nights and broken retirement dreams.
- The annual returns touted in mutual fund prospectuses are nothing more than hopeful estimates. It’s possible to invest $50,000, for example, and get a 25% “average annual return” on your money every year for ten or twenty years… and end up with only the $50,000 you started with.
The truth is that risk is a big part of traditional saving and investing, but with the Infinite Banking Concept, you can grow your wealth in a predictable and guaranteed way, ensuring a secure financial future for you and your family.