Income Alternatives You Cannot Outlive

It's no secret that rates in the US are at historic lows since Freddie Mac began keeping records in 1971. Unfortunately that translates into low savings, CD rates, and bond yields. So do you chase equities for higher returns?

In April of 2011, one of our favorite columnists Tom Petruno of the LA Times wrote "Cash misery fuels rush to risk" illustrating that near zero yields from cash accounts are tempting more investors to chase higher returns in stocks, bonds, and other riskier assets. Wall street will get some of the dough, just as the Fed hoped the article continues.

New research shows a startling fact that bond yields match stock yields for the first time in history. Historically, bonds yields were much higher then stock dividend yields. Even Warren Buffett says bonds should come with a warning label and not be purchased. Either way you slice it, it's bad news for investors as both bond yields and stock dividend yields are around 2% as of Q4 2011. So with stocks, bonds, CDs, money market, savings all around 2% or lower, where does one turn to maintain lifestyle?

The answer for you might be Structured Settlements. Pension Income Structured Settlements offer both higher yield and a diversified flavor from traditional markets. As an experienced independent firm we are able to access institutional quality "structured settlements" as an alternative option to traditional asset classes. This market is multi-billion in size and prudent investors are taking full advantage of this opportunity with yields from 6% to 9%. 

For example, for years annuity stream investors or lottery winners have been able to monetize their income streams and sell them on a secondary market in exchange for a lump sum today. Especially because of the economy and upside down mortgages and higher credit card rates, those "income stream sellers" are coming to the market in droves. As they take a substantial discount on the income stream in exchange for a lump sum check, our investors capture a nice yield from 6% to 9%. This is not a home run but much more attractive than bank yields and less risky than bond or stock markets.

To learn more, watch the video below and have 3 Pointe provide you with a custom quote.