Coronavirus & Portfolio Insurance
Based on what we saw in the last week of February, the coronavirus had many investors in a panic, but generally just over the value of their investment portfolio. While it’s easy for us to look at the virus and it’s impacts on the financial markets, we also need to ask ourselves how an illness might impact us if we get sick. We should also consider how both our health and the health of our investment portfolios can often be intertwined. Critical Illness insurance can act like portfolio insurance. If you get sick and you need money for treatment, without a safety net, you may need to access money from your portfolio. If the markets have a week like the last week in February, and you need money from your portfolio, you may be forced to sell good investments at the wrong time. With a Critical Illness insurance safety net, you can receive a tax-free lump sum cheque from the insurance company upon diagnosis. This will ensure that you won’t have to dip into your investment portfolio (when the stock market is down) if you need money for treatment(s). Now is as good a time as any to ensure that you and your portfolio are well taken care of.
This information has been prepared by Luft Financial. Opinions expressed in this article are those of Luft Financial only and do not necessarily reflect those of HollisWealth®. Furthermore, this does not constitute an offer or solicitation to buy or sell any of the securities mentioned. The information contained herein may not apply to all types of investors.
How do we elevate your wealth?
It begins with understanding your needs and creating a comprehensive and tailored financial plan to help reduce tax, manage risk and grow your portfolio over the long term. Learn more about how we help you achieve financial security and peace of mind.