Insurance Dedicated Funds
Tax-optimized investing
Tax deferral
Investment returns within the IDF structure potentially compound on a tax-deferred basis, significantly boosting long-term, after-tax compounding through PPLI or PPVA accounts.
Aims to reduce tax drag on alpha
IDFs serve as a tax-efficient conduit for strategies that are typically tax-inefficient (e.g., real estate, alternatives), simplifying K-1 reporting and allowing for tax-free portfolio reallocations.
Wealth structuring
The IDF facilitates the use of the PPLI wrapper for estate planning, allowing capital to grow and may transfer tax-free to beneficiaries, potentially maximizing the wealth transfer value.
What are Insurance Dedicated Funds (IDFs)?
Specialized, tax-efficient investment structures
By utilizing an IDF, investors can potentially achieve efficient portfolio diversification and a more flexible, tax-efficient investment structure, while potentially reducing the overall tax burden on returns.
For Accredited and Qualified investors only.
Core Benefits
Institutional-grade investment strategies and aims for better tax efficiency
Investment growth within the IDF structure compounds free of current income tax, depending on the account structure.
The tax benefits rely on strict adherence to specific IRC provisions, and failure to meet these requirements can lead to severe adverse tax consequences.
IDFs provide a streamlined, tax-efficient way to invest in assets like real estate, private equity, credit, and venture capital, which are typically penalized in standard taxable accounts.
By placing our strategy within a PPLI or PPVA wrapper, the IDF acts as a super-efficient retirement or wealth transfer vehicle.
Note that there are significant costs associated with PPLI and PPVA policies, including insurance charges, administrative fees, potential surrender fees, and the risks inherent in the underlying investments.
Part of the SALI Platform
The largest platform for Insurance Dedicated Funds
Our Approach
The strategic integration of alternatives
A disciplined, forward-looking framework designed to optimize the tax-advantaged compounding potential of the IDF structures.
Allocation of Illiquid Alternatives
We prioritize tax-inefficient assets like Real Estate and Private Equity. The IDF wrapper mitigates tax drag, allowing these alternatives to maximize their compounding potential.
Past performance is no guarantee of future results; investments involve risk of loss.
Quantitative Risk Management
Our proprietary quantitative process actively manages risk to reduce reliance on market beta- ensuring dynamic, systematic diversification across multiple investment factors.
Filling the Marketplace Demand
Decades of relationships grant us access to elite, capacity-constrained managers that may be typically unavailable to most investors.
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