IUL and sequence of returns question

[BDC5]

Even though you have a 0% floor with IUL, doesn't sequence of returns affect IUL performance just like it's stock market counterpart?

If so, does it make more sense to recommend properly structured WL over max funded IUL?

 

[DHK]

Let me help you: sequence of returns risk affect withdrawals from retirement assets... not loans.

 

[Allen Trent]

Let me help you: sequence of returns risk affect withdrawals from retirement assets... not loans.

Agree. It seems that the only time sequence of returns might impact IUL performance would be if an abnormal number of consecutive years (like 15 straight yrs)returned low rates of 0-2% & the only up years were single years of huge index returns that were way, way over the caps.

 

[DHK]

Which, in the history of the stock market... has never happened. We've always had volatility.