PPLI and Asset Structuring

Unlocking Wealth: The Power of PPLI
Private Placement Life Insurance and Asset Structuring

PPLI and Asset Structuring

Welcome to another insightful video brought to you by EWP Financial. Today, we’re diving into the world of Private Placement Life Insurance, or PPLI, and how it can transform your approach to asset structuring.

I’m your host, Michael Malloy, and we have an intriguing journey ahead, so let’s get started.
The Power of ‘Two Sides of the Same Coin’
In the world of asset structuring for wealthy international families, there’s a delicate balance between thoroughness and open-mindedness. It’s like embracing ‘two sides of the same coin.’
EWP Financial, takes on this challenge with finesse.
Leveraging Past Cases
Every new case at EWP Financial begins with a look into similar PPLI cases from their extensive experience. But they don’t stop there. If they lack specific knowledge, they tap into a global network of expert advisors, ensuring success in creating the perfect PPLI structure for their clients.
Surprising Analogies
Let’s draw inspiration from unlikely places – U.S. tax planning and high fashion. Sometimes, the ‘two sides of the same coin’ reveal themselves as identical, like a coin losing its luster because it’s merely a copy. This analogy even extends to social media, which brings transparency to haute couture.
PPLI Overview
Before we delve deeper, let’s define PPLI. According to David D Whelehan, JD, in “International Life Insurance:
An Overview,” PPLI is for accredited investors. It’s an institutional product offering low charges and fees. Investors enjoy flexibility, even investing in hedge funds and private equity.
Premiums and benefits can be paid in kind, and you have control over your Investment Manager and Custodian.
U.S. Tax Changes
Now, let’s switch gears to U.S. tax changes. The Tax Cuts and Jobs Act of 2017 brought significant shifts. Melvin A Warshaw and Lawrence M Lipoff discuss how it affects trustees of foreign grantor trusts. They conclude that PPLI provides an excellent solution for U.S. beneficiaries of these trusts.
The Evolving Tax Landscape
Under the new law, the 30-day retroactive election is gone. Trustees need to reconsider their strategies. Some suggest multi-tier foreign corporations, but EWP Financial proposes a simpler, safer approach – offshore Private Placement Life Insurance.
The Single FC vs. Multi-Tier FC
The single foreign corporation structure can work for preventing U.S. estate tax, but it may trigger income tax for U.S. beneficiaries. Multi-tier structures are complex, but they aim to maintain prior law results.
The Offshore PPLI Solution
The offshore PPLI solution offers a simpler, tax-efficient path. It ensures no U.S. income tax on policy growth and allows a basis step-up at death. It’s a strategic move for clients with U.S. portfolio assets and U.S. beneficiaries.
The Offshore Carrier Advantage
By using an offshore carrier with a special U.S. tax code election, you avoid CFC status, reduce tax compliance costs, and protect your investments. It’s a seamless, tax-free solution.
Social Media and Fashion
Shifting gears again, we explore how social media has transformed the fashion industry. Instagram has become a hub for exposing copycat designs, causing back-and-forth exchanges and lawsuits. It’s a reminder that transparency is key.
In conclusion, whether it’s asset structuring or fashion, embracing ‘two sides of the same coin’ is essential. At EWP Financial they offer bespoke solutions that simplify complex financial matters. Contact them today to experience the power of PPLI and unlock your wealth.
Remember, it’s all about seeing ‘two sides of the same coin.’

by Michael Malloy, CLU TEP RFC.
CEO, Founder @EWP Financial

~ Your best source for PPLI and EWP

Michael Malloy-CLU-TEP






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