Structured Settlements involve the sales and purchase of various different types of settlements from court orders of cases involving a monetary settlement to lottery winnings. Structured settlements in your self directed 401k are a great way to provide for a higher and safer rate of return than may be available through regular investment channels such as stock market or bond investing.
Purchasing structured settlements is very much in the news nowadays with many offers and companies singing and barraging you with the news that they will buy your annuity or structured settlement if you need money now.
It is not hard to understand and see that the profits generated in this industry supports many people who are in the market for the higher profit margin and guaranteed stream of income that these types of settlements can provide.
These types of settlements will typically have a much better rate of return than simply buying and holding or trying to beat the markets. They may also be better than the purchase of an annuity at today's weaker rates.
Annuities that are semi matured or a structured type settlement are a guaranteed stream of income which you can purchase. A structured settlement is simply buying the annuity or right to the annuity stream from someone who wants to receive cash immediately. The seller will settle for less than the contracted value in order to receive their early cash out.
There are many different forms of safe income investments and structured settlements besides the court ordered settlement which is one of the more common available.
Whole and Universal Life insurance cash value settlements are another form of structured settlement investment pool which also involves settlements. Different than a structured settlement a life settlement involves buying a unwanted cash value whole life policy from the policyholder named on the policy. The policy holder sells the policy for the cash value locked in. Sellers then no longer pay the premium while the contract or policy awaits the death of the named policyholder who has utilized his cash value through the sale to the buyer.
There are many people and organizations seeking to purchase these for there income potential. These are usually purchased by a investment organization who will pay the monthly premiums until the policy named holder passes then cash in the policy to recieve there profits.There are also investment organizations that may allow you to join for a fee and participate in their investment pool which will typically have a guaranteed form of return.
Fixing your 401K and setting up a successful retirement plan can take many directions, paths and tools to accomplish. If you would like to learn more about the many benefits a self directed IRA can provide you please subscribe to our YouTube Channel at YouTube 401K FIxes This will allow you to receive more information through our posts.
If you would like more information on how to invest your 401(K) safely with low or no risk through self direction or if you have further questions, call the experts toll free at 877-775-0812 Remember all investments contain some level of risk, all information provided here is educational in nature and not a substitute for speaking with a registered investment adviser.