The Power of Opportunity Cost

Most people focus only on the interest rate they pay a bank, but the real killer of wealth is Opportunity Cost. When the Cash Payer spends their own money to avoid interest, they stop that money from ever earning for them again.

The Strategist understands that every dollar spent is a dollar that can no longer compound. By using a policy loan, the Strategist keeps their principal in the "tank" performing at the Policy Growth Rate uninterrupted. You don't just recapture the interest; you recapture the compounding power of the capital itself.

Note: The Strategist's growth starts with the principal balance of the liabilities plus 20% more to account for the fact that a policy loan needs to be taken from the cash value. This growth is compounding annually based on the policy growth rate only and does not include the growth that would come from the base, paid up additions or any other monies parallel to this snapshot of the policy.