PPLI, EWP and Trust Substitute – Introduction

Introduction to the sixth principle of Expanded Worldwide Planning:

Trust Substitute

PPLI, EWP and Trust Substitute – Introduction

EWP Financial is a company that specializes in Expanded Worldwide Planning (EWP), which includes Private Placement Life Insurance (PPLI), asset protection, and international tax planning.

PPLI is a sophisticated financial tool used to provide wealthy individuals and families with enhanced privacy, asset protection, and tax efficiency. The asset structure of a PPLI is often used as a substitute for a trust structure in some civil law jurisdictions, providing clients with greater control over their assets and better compliance with the world’s tax authorities.

One of the key principles of EWP is the use of Trust Substitute, which involves the replacement of traditional trust structures with PPLI structures. While trusts have been used for centuries to protect assets and transfer wealth, they have several limitations that make them less attractive for sophisticated planning. For example, trusts often require significant reporting and administrative requirements, are subject to stricter regulations, and may not provide adequate asset protection or tax efficiency for clients.

By contrast, PPLI structures offer greater flexibility, privacy, and tax efficiency for clients. They provide simplified or limited reporting requirements, tax deferral, and no capital gains taxes. Additionally, PPLI structures offer better asset protection, since the insurance company is the beneficial owner of the assets, providing a layer of protection against creditors and legal disputes. For these reasons, PPLI is becoming an increasingly popular alternative to trusts for wealthy clients.

Despite the benefits of PPLI, many advisors and professionals in the financial industry are not familiar with the product, and may not fully understand its uses and benefits. This lack of knowledge can lead to suboptimal planning and missed opportunities for clients. At EWP Financial, we work to educate our clients and advisors about the advantages of PPLI and other sophisticated planning tools, and help them create customized solutions that meet their unique needs and goals.

In conclusion, PPLI is a powerful tool for wealth management and asset protection, offering enhanced privacy, tax efficiency, and asset protection for clients. By using PPLI structures as a substitute for traditional trust structures, clients can achieve greater control over their assets and compliance with tax authorities, while reducing administrative burdens and enhancing their overall planning strategy. At EWP Financial, we are committed to providing our clients with the most innovative and effective planning solutions available, and we are proud to offer PPLI and other sophisticated planning tools to help them achieve their financial goals.

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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