Why Whole Life Insurance Is A Great Complement To Real Estate With Jayson Lowe

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Erwin  

Hello and welcome to another episode of The Truth about real estate investing show. My name is Rohan Seto. And I was at a conference recently which showed a video of Tony Robbins has talked to you before. And he said something that really resonated with me how he was presented with a business opportunity. And basically he said he could not commit 100% of his resources including himself needed because the opportunity would not fit his personal lifestyle goals. My takeaway is that work and investments need to be designed to suit the lifestyle that you want not the other way around. Not to say I haven’t been guilty of living in times of imbalance as I’m experiencing now as I’m finally getting back into the gym weights that you’d be worn out weights for me are now my workout weights. I’m plenty sore, possibly even injured as I’m hobbling around going hard like Carrie and I are these days with the wall hacker conference. Let’s everything else we have going on for businesses to young kids, a figure portfolio, it all takes work and time. The wealth hacker conferences is only a month away. Number 12. We’ve been making our rounds on other podcasts webinars. And speaking at events I like to say thank you to Elizabeth Kelly Cornish Pearl Christian’s fistful of avorio Austin yay. And with the reporters podcast after this time an accredited Rockstar real estate salesperson Andrew Hines, Diana Lazaro coach mag Maya coach Marianne Glasby, Daniel Unsworth, John Shanker bliss goes on and on for supporting us, especially to all of you who’ve already bought tickets and our sponsors. If you haven’t bought tickets already, I highly recommend that you do. Tickets only go up in price as we get closer to the event. This recession is shaping up to be the one of our generation, fear keeps climbing and the deals are honestly you’re getting better as time goes. So you want to educate yourself on what the experts are doing in real estate stocks, insurance, private mortgages and cryptocurrency for example, the last time we had a real recession back in 2008, the properties I bought back then they’ve tripled in price or more. I’d love for everyone in the community to have to be as successful on this dip, make wise investment decisions, set yourself up for a comfortable retirement. Also, for those who are interested in sponsoring, we are down to like one, maybe three booth left. So if anyone considers still wants to wait to the last minute to sponsor don’t want to wait too long, just reach out to as investments are generally passive and don’t they take that much time, we do need to visit them from time to time and maintenance requests do come in, but they usually go directly to my handy person or my assistant, they can handle them, we just write the checks. Again, to keep this our investments as passive as possible, we have more fun things to do with our lives. My point is we’re good at this level of activity at this point. So we can spend more time with our kids before they turn into teenagers and they don’t wanna be around us anymore. Last week, Monday was our first day back at the gym. As I mentioned, the reason why I can’t walk anymore. I was having to follow my kids programming, as I’m doing the work that my kids are doing a class on their own. So I’ve been showing my kids class, because I’m too out of shape for the adult workouts, the adult classes, it was only when they parked the car at the gym that hit me, for those of you who have gym buddies, you know how you form a bond with them. And that’s what I want with Robin and Bruce. I hadn’t thought this far though. For example, during the run portion of our workout, I low fived each kid as we pass each other on the run, I’m huffing and puffing, as always, as part of the workout which included throwing a medicine ball up in the air several times hanging leg raises, and then running, the adults cheering I had to run more than budgets. So naturally, we’re gonna pass each other. So as I see the kids wandering back on the run, and they alter their path, they actually once they see me come out the door of the gym, they altered their path towards me. So that which to ensure that we can low five each other.

 

Erwin  

They see me suffer is actually a bit of as like getting a bit annoyed that the low fiving because I’m not in a good mood because I’m suffering. But it was really cute. Anyways, most importantly, with these family workouts is we saved money. On a family plan, we’re buying in bulk. So we’re getting a better deal from the gym. And we also save on time, which is really important to me is being efficient with my time getting my workout in, as this is one stop shop. So when winning on many levels, supporting a good local business, I don’t know. And you know, all the parents I’d speak to I’ve clients and friends with kids and rap hockey and competitive dance. I don’t know how you guys keep up because it’s so expensive and the drives are long. Hopefully all of you listening out there who aren’t our clients. Hopefully your successful investors as well gives them I understand that it’s like $10,000 per kid per rep hockey per per competitive dance. And so hopefully you’re successful like our real estate clients are. I’m not sure how you do it. But if you’re not sure how to be a successful real estate investor, just reach out ask happy to share with you our experience, how we are passive experienced investors in order to afford our kids like those who show if get till cheering I prefer to buy than rent. You know, we just talked about the gym, I’m happy to pay a gym membership, so I can rent the use of their equipment and the facilities. Because I don’t have the room for that in my house. I like hard assets and being control in general, I do rent other things like cottages, hotels, car law, vacation, and I choose not to own those things. Because I want my life to be simple. We used to lease our cars for tax purposes, as those are also generally depreciating assets. We only bought our minivan when it came off lease because it gone up in value turned into investment, unintended, unintended, other examples of wanting to be in control is of our real estate. When we pass on from this world, I don’t want our staff nor our kids to have to sell off our businesses or properties. Hence, we invest in insurance to cover the tax, the tax expense, as the good old government will want their pound of flesh when we pass on. As we prefer to own over rent, we prefer to have whole life insurance over term insurance. If you don’t know why. That’s because you’re among the 99% of teens who don’t know a lot about insurance because honestly, my I don’t even think my parents know. It’s a lesser known investment, partly because it’s generally for people who have who can afford it. And there’s not that many who can afford whole life insurance, I only learned to be what Jayson calls the Infinite Banking concept strategy a few years ago, at my real estate mastermind, where I’m the poor person in the room, and the poor person in the room. So I’m learning the most several members of my mastermind, we’re already implying this strategy. And we even brought in an outside expert from one of the one of the big banks educate us on the subject. Unfortunately, the subject is not the easiest to understand, until I met Jayson Lowe, founder of a centre financial co author of the bankers secret a simple guide to creating personal wealth for Canadians. Jayson is a leading financial professional in Canada, a leading expert. Also him being the client of all the whole life insurance providers in Canada gives him an experience that I don’t know of anyone else having. So we can speak from experience, again from being customer of all each of the different providers at the end of the day China’s policies, because we own them. The shop on our balance sheet, when we show our banks what we own our assets and liabilities, our balance sheet, banks love to see this love to see how life insurance because they treat it as collateral. And that’s an asset. Hence the lenders more money, we can borrow against our policies at low rates. And we can pay it back later whenever we want, much like a home equity line of credit, cheap money, flexibility and control all things I like. Hence our plans in 2023 include growing our insurance policies to explain it further in detail, and give me Jayson Lowe, our guest this week. And also if you prefer reading about the strategy, especially the accounting side, my lovely wife has written a blog post on the subject, how to grow a tax free investment and minimise your taxes. I’ve included a link to those blog posts in the show notes. Thank you, Jayson Lowe. Hey, Jayson, how you doing?

 

Jayson  

I’m terrific. Erwin, how are you?

 

Erwin  

Busy. But what’s keeping you busy these days? Oh,

 

Jayson  

gosh, what isn’t keeping me busy these days, we’ve got a number of operating businesses and our family group of companies and travel was picked up, which I like to some degree in and disliked to some degree. I think zoom has been a really powerful tool for connection and getting business done. It’s changed things forever, in my view, but busy travelling the country talking about becoming your own banker, the Infinite Banking concept and soon to be travelling the United States describing that process as well with our company launching there. And so it’s been really, really busy. I just got here just landed like few hours ago, and we did some recording and it’s just an honour to be here. I’ve seen the pictures. And now I’m in the studio with a live studio audience comprised of one, my teammate,

 

Erwin  

Peter, and other people have a reference point of how tall you are as well. Exactly. Yes. Yeah. Six, three. I weren’t six, three. Yeah. That weren’t cherry coming in. Because again, we met you. We’ve only ever known you over zoom. That’s right. Yep. Like you are our own adviser on insurance markets and insurance. That’s correct. Yep. Yeah. And then just in this world, we’re now we’re actually seeing people in person. Yeah. I’ve had a couple of times where people say like, oh, you’re taller than I expected. And then I see people as well. You’re expected. I gave Terry the heads up on the way and Jayson is tall. I should be six to six, three. Yeah. All right. Yeah, for sure.

 

Jayson  

She’s like, No way. Yeah. And I’m a small one in my family.

 

Erwin  

Like you have some like, superstar athletes, children. No, you know,

 

Jayson  

yes. Yeah. Yeah, my kids are Oh my goodness. They’re just I can’t write every parent’s so proud of their children. Right. But I just I burst with pride. They’re amazing. They love sports. We love having them enrolled in sports, hockey, dance, basketball, volleyball, like for kids. It’s a 24/7 circus ring of sport. And we love it.

 

Erwin  

I think she brings up a lot of question. First of all expensive is not? It is

 

Jayson  

yeah, but you know It’s a worthwhile investment because it’s not just the particular sport, you know that they’re that they’re involved in, and that they’re developing some skill set around hockey or basketball, or whatever it is, it’s learning how to be a great teammate. It’s learning how to be coachable. It’s learning how to really bring out your best potential. Even on the days when you don’t want to go, there are mornings where kids, they don’t want to get out of bed and go, you know, six o’clock in the morning to the hockey rink. But when they get there, they’re there. And it teams relying on Oh, exactly. And that’s the key, right? Like your teammates are expecting you to be there. And they don’t expect you to be there slouching, they expect you to be there bringing your very best. And those are usually the best games and the best performances of the team is when think about even if you like to exercise if you like that workout. I find like myself, personally, the best workout I have is the one I don’t want to do. Because once I get going, and I get into it, I feel great. And yeah, it’s good. Yeah, I’m super proud of my kids.

 

Erwin  

And they’re, you’re pretty high level. Are they not? Yeah, AAA? And

 

Jayson  

yeah, yeah, AAA hockey and provincial volleyball. And we’ve had our kids involved in sports from a very, very early age, because we wanted them to be occupied. Right, and to be busy, and to not grow into teenagers and get involved in things that might not be a productive use of their time, you know, but yeah, it’s good.

 

Erwin  

So how important is multiple streams of income to pay for these sorts of expenses?

 

Jayson  

Oh, it’s critical. It’s critical. You know, and we were talking about this before recording the show that I work a lot. You know, I’m a workaholic. I’ve been talking about this a lot on podcasts and talking about a lot because Joe Polish of the Genius Network, he helped me understand that workaholism is a publicly accepted form of addiction. So if you have those, those tendencies, and some people wear it like a badge of honour, all I do is work. And I’m being coached on how to make those changes in my life to prioritise things that don’t involve work. And to try and not find a balance. You know, I think work life balance is just really a myth and quite elusive. But really taking quality time to have more freedom of purpose and freedom of relationships, freedom of time, and money, the money piece, once you get to achieving cash confidence, it’s a very peaceful, stress free way of life, financially when you get there. But there’s a whole lot of hard work that you have to do to get there. The key is, is don’t kill yourself doing it. And don’t neglect other aspects of your life that are really important for you to be a whole person for you to really feel fulfilled, and to be fascinated and energised. And so that’s what I’m so grateful to Joe Polish to Dan Sullivan, coaching me on that. I took a six week sabbatical last year, the longest I’ve ever been away from work since I was a foetus. And this year, this year, I took eight weeks. And had you have said to me three years ago, if you and I were sitting here and you said, Jayson, I’m taking a look into your future. And next year, you’re going to be on a six week sabbatical, I would have thought you were Certifiably nuts. Like, are you kidding? Taking that much time away from work? It seemed impossible to me. And so I faced the fear, and I did it anyway, I’m eternally grateful to Joe and Dan, for inspiring me to do that. Joe took a year off for him one full calendar year. And I was like, Okay, there’s no way I’m starting there. No, Baby steps, baby steps gradual and incremental. For some people take a weekend off. Yeah, yeah. Create free days in your life and really honour them, you know, no work, no access to work, like on my sabbatical, my teammates, they turned all my technology off. So all my passwords were changed the alarm? Get in? Yeah. So imagine if this was my office, they changed the alarm code to the office building, so I couldn’t even get in. And it was just all methods of keep Jayson away. Let him really, truly honour his sabbatical. And my team went through that sabbatical with me and the businesses grew and they’re thriving. And so you almost think, Oh, my God, like, am I needed? But that’s just a self manifested, of course, the team needs me and I need them and I would recommend it to any hard working entrepreneur. Not if but when. Take a sabbatical. Take time away.

 

Erwin  

I think I’ve even challenged the listener, for example, to write it down six weeks sabbatical. Yeah. And then start figuring how you get there. Yeah, I’m sure that you have lots of I’m sure everyone has lots of injections. I have lots of objections when I’m listening to you stop speaking about it. And it started addressing them, write them all down, write them all down. sure how you’re gonna counter them all.

 

Jayson  

Yeah, right. It’s it’s fear, right? It’s the fear of, I’m going to miss out on something or will my businesses continue to operate well, without me being there? Can I get count on my teammates, right? I say that coming from a place of, and I count on them to keep the businesses afloat. And what Dan Sullivan told me, he said, you know, the truest measure of your team’s strength is when they can’t get ahold of you. So if there’s no way for them to reach you, and they’ve got to be in problem solving mode. Wow. If you’re there all the time, you’re robbing them of an opportunity to grow. And so you said, wow, that’s brilliant. Right, right. And but yeah, I would recommend it.

 

Erwin  

I’ll share a quick tip, what I do for real estate investors, for example, yeah, one tip I have one thing that I do, for example, is my handyman. We’ve given him $1,000 Cash float. Right. So if he has something under $300, needs to take care of. Yep. He already knows. It makes a tenant happy. Yeah, he already knows to not even ask me. Right. But also, he has the cash available to be able to draw it down for a couple properties. Until he can get back to me on like, when everything you know, yeah, really don’t care. Yeah, just let me know, at the end of the month, because if needed done anyway, attendant care, my name my tenant, more important than your property taking care of.

 

Jayson  

Yeah, and it’s one or more less things for you to be thinking about and expending energy on. Right. And you’re empowering someone to do something great for a tenant, which is great for you as the property,

 

Erwin  

my customer and paid me $10,000 a year, you go right, and then just bring it up, because I brought it up, I’m brought up in a while. The tenant landlord relationship is often I think, well, the way I frame it for my clients is, if you spend $10,000 a year at a restaurant, how do you expect to be treated?

 

Jayson  

Very well? Very well. Very well. Yeah.

 

Erwin  

And so that’s how I frame my my tenant relationship with my my everyone who’s on my team. Yeah. Right. I expect him to be taken care of. Absolutely. Right. They have an issue. You need to deal with it. Yeah. And of course, you should deal with it. Because somebody has paid hourly. And there’s more money for to be made. Exactly. Exactly. And then yeah, it’s just instructing them to like, look around while you’re there. Look around for stuff that need to be fixed. Exactly. Right. me not to do it, then. Like add it to the springing schedule, for sure. Right. So Jayson, I don’t know if I told you the story. But how you ended up in our world is because the friends of mine Yep. Lots of friends of mine have sizable real estate portfolios. Yep. And it was like, no, no, no, no, no, no, from like, every lender until one of our friends shared how and one of my real estate masterminds like a high end mastermind was sharing how they were able to they were approved for three more mortgages, plus a refinance on their own principal home. Because they purchased a whole life insurance plan.

 

Jayson  

Yeah. Dividend paying participating whole life insurance. Yeah.

 

Erwin  

And then I was like, Okay, I’ve heard about this whole life insurance thing a couple times. Now that now you get paid by interest. Because any investor like almost everyone, every investor runs into a wall on financing. Yep. And then here, we have a totally legal way that opens up the door. That’s right. So but also, before we were recording, you explained to me that so my understanding, sorry, my understand is not complete. That’s why I have you on Yeah, I only generally see rich people doing this, right. But you’re telling me that anyone should be doing investing in whole life insurance?

 

Jayson  

Most definitely. Right? You know, if you if you think about dividend paying, participating whole life insurance is just a tool. And it just so happens to be the best tool to get the job done of becoming your own banker. And so when you walk into a commercial bank, and commercial bank doesn’t indicate that you have to be wealthy to be a depositor at the bank. And so it doesn’t care. Yeah, the bank, they want that capital coming in, and they want that money flowing. And so going back to your earlier point about what happened with you know, this person in your high level real estate mastermind, here’s something that so many people just don’t know, to operate as a commercial bank, you have to maintain what’s called tier one assets. And tier one assets can be comprised of gold bullion cash, and something that is aptly named Boley bank owned life insurance, and commercial banks by dividend paying participating whole life insurance contracts by the truckload. And it’s one of their best tier one performing assets because of how stable predictable reliable and all of the underlying contractual guarantees.

 

Erwin  

So pinstripe distance depositor, so this is something actually appreciates versus cash and gold big time

 

Jayson  

and it but it’s contractually guaranteed to appreciate all right, and it can’t go backwards nor

 

Erwin  

guarantees scares me and it can’t go backward.

 

Jayson  

So I was sharing with Terry earlier, the the economy recedes, cash value goes up, the stock market falls cash value goes up. The real estate cycle turns against you. cash values go up. So if you’re sitting down with a lender, and you take participating dividend paying whole life out of the equation, and the lender says Listen, you’ve hit a brick wall. Yeah, right. You’ve, you’re leveraged

 

Erwin  

to the max. Yeah, we’ve already accounted for all your gold. We’re not enough. Exactly. We’ve

 

Jayson  

looked at all of your assets. We’ve looked at your all of the ratios that we need to, to determine whether or not we can lend you another dime. Think like the banker for a second here, if the lender understands, because this is a tier one asset on their own balance sheet, right? And you sit down now as a prospective borrower, and you say, well, listen, I’ve accumulated some dividend paying, participating whole life insurance. I’ve got cash value, I’ve got a guaranteed death benefit. Well, the lender, if they’re halfway smart, which they are, the lender is going to go wait a second, you’ve got an asset on your balance sheet that’s contractually guaranteed to grow. We’re quite familiar with it, because we buy it by the truckload. God forbid if the unthinkable happened to you, there’s a tax free windfall of money, that’s gonna show up exactly when it’s needed the most, does that make you a better prospect for lending? Or worse?

 

Erwin  

Well, if people understand the probate process, then it’s gonna say something’s you’re way better, right? And but the lender,

 

Jayson  

the lender wants to find every reason to get the deal approved, right. That’s why they’re in the lending business. So if you give them another tool from your toolkit that says, Listen, this makes me a better qualified borrower. But that that really that secondary, it’s secondary to you have a policy or you have a system of policies in place, you’ve got the best tool to get the job done. But if you don’t know how to use the tool, right, you’re likely not going to turn out any good work with the tool. And in fact, you may end up breaking the tool. So you got to work with a good coach who can lead you through how to implement this process, the dividend paying participating whole life insurance contracts are just a product, becoming your own banker, the Infinite Banking concept is a process and we’re going to touch on this at the wealth hacker conference fabric to really pull that together for people where they’re gonna go, Oh, my goodness, I grasp it, I get it. I know that, fundamentally, someone, some organisation must perform the banking function as it relates to my needs. And it’s not just temporary, it’s for the rest of my lifetime. So if you’re a real estate investor, and you’re active, what you’re doing is you’re making the wheels of the banking business and the real estate business turn in that order. You’re not controlling the financing function. The process of becoming your own banker has nothing to do with rates. It has nothing to do with interest rates, rates, or return any of that. It has everything to do with how you go about financing the things that you need in life. Think of all the things that you need to finance throughout your lifetime.

 

Erwin  

Right real estate investing.

 

Jayson  

More than we’re worth, yeah, but no, but think about even as a real estate investor. It’s not just the property. It’s everything that goes on with the property, it’s unplanned vacancy, it’s bad debt, it’s new appliances, new floors, it’s our loans, well currently be its new roof, new shingles, whatever it is, the money must come from somewhere to take care of all those things. So if you can control not only how you’re financing your real estate investment portfolio, but you also have total and absolute control, over ready access to a growing pool of financial value called cash value, that increases every day and it cannot go backward. And you’re paying no tax on the daily accrual of that cash value. How much of your capital Do you not want in that entity? It’s just a logical question. And you mentioned earlier Well, you don’t The only time I ever heard about this was from wealthy people. Yeah, that should tell you everything you need to know that wealthy people

 

Erwin  

are doing. So if just to add, like my friends, Tom, and my mentors of mine, Tom in Nicaragua, they also brought this they also there you go this as well, like, okay, they’re pretty smart, too. They’re gonna keep digging into this. How long?

 

Jayson  

Here’s a question that my late mentor are Nelson Nash, who wrote the book, titled, becoming your own banker. It’s 92. page read. It’s a great book. If you haven’t read it, you have an opportunity. And Nelson asked me a question. I’ll never forget it. So we were standing inside of the the meeting room at the annual Infinite Banking Think Tank conference. And I’ve been privileged to speak there, this 2023 will be my, I think, my 11th or my 12th consecutive speaking appearance there. And Nelson said to me, he said, Jayson, I have a question for you. So we’re standing at the back of the room. There’s a speaker on the platform delivering a great talk. And he says, Jayson, I have a question for you since you’re Nelson. He said, How long do you think a skyscraper would stand on a weak foundation

 

Erwin  

with Coping With Climate Change? And I said,

 

Jayson  

No, not very long at all right? So he said, Listen, you can have all the tools, the calculators, you can have all the knowledge. But if you do not understand the ridiculous simplicity of what becoming your own banker really is, and the foundation that that represents in your financial life, you can stack as many things you’ll see investment, crypto, stocks, mutual funds, gold, you can stack all of that really high and build a really tall skyscraper but if you don’t have that strong foundation, And it’s gonna topple over. And how many people have you met in your lifetime who haven’t experienced some kind of financial setback as it relates to any of those things that I just described? Yeah. Dividend paying, participating whole life insurance. Never has been, never will be an investment. It’s a unilateral binding contract, you become a co owner of the life insurance company. And in Canada, interesting law trivia has never failed to produce a divisible profit in any year of operations since inception. And in Canada, that year is 1847. So I want you to think about all of the calamity that’s occurred the past 176 years in this country,

 

Erwin  

and to come political turmoil, the Great Depression,

 

Jayson  

COVID-19, h one n one, SARS, 34, recessions, the tech bubble bursting in early 2000. World Wars, oh, 809, world wars, you name it. And these life insurance companies continue to be the most financially solvent institutions on planet Earth, the wealthy understand as everyone, regardless of how much money you’re making, as everyone should understand, is that your money must reside somewhere. So what better place to have it reside than here? And then from that very place, you can set about achieving all of the financial objectives that you have in your life? I’ll tell you, in our family banking system, we’re going to be talking about family banking at the wealth hacker conference, plug for the conference. Have you ever heard the expression, that one decision, one decision can change the course of your life? I’m gonna have a conference come to the conference. And so being at the conference, you’re going to hear all about family banking, as a way to think about this. Oh, people should bring their significant others. Oh, yeah. Be there be there with your spouse? It’s better to hear from you than here.

 

Erwin  

I do it all the time. I can’t explain this. Cherry. I need it in the same room. Yeah. Right to be there. Yeah. And we’re going to talk about the whole get your whole team on board. Yeah. Right. So your significant other, maybe your adult children? Yeah.

 

Jayson  

Yeah. Because money, the Think about it and in simplicity, your viewers, your listeners, they’re earning income, rental income, g4 income, interest, income, dividends, whatever source of income? Is it not true that at present, all of that money is flowing through the books of someone else’s bank, I say that, again, someone else’s bank, how much of that flow of money do you want, flowing through your system versus someone else’s logic would say all of it, but it cannot be achieved overnight, is meant to be achieved gradually and incrementally over a period of years. I’m 15 years into my journey. I don’t rely upon a commercial bank for anything other than the convenience of debit, that to a real estate investor is like heaven on earth. Like that is my beliefs. That is what I can want. Like, if I don’t have to rely upon a commercial bank for anything other than the convenience of debit, I feel peaceful. I feel stress free, my net worth goes up every day, no matter what. And it can’t go in the opposite direction. It cannot go backward. From that foundation. I build my skyscraper, I buy businesses, I invest in real estate, I lend capital, all of these things that I’m able to do, because I know that that foundation, it only cures stronger every day, every single day. And so how much capital do I not want flowing to that foundation?

 

Erwin  

No sweetness all the conference? Absolutely. It’s not the easiest to understand. And I don’t fault anyone for not understanding this. Yeah. Because I read the psychology of money not long ago. And we just haven’t been that financially well off, like forever. And many Canadians, for example, if they’re a real estate investor and listening to this very often they’re the first generation ever, of their line to be successful financially. Right? So the whole idea of savings of buying large quantities of gold, or insurance is like they’re the first generation where that was ever available to right so I don’t I don’t fault anyone for not understanding this. I didn’t learn this from my parents that we had to go to and I had to learn this ourselves. Right? Our parents were poor immigrants. Right so and then my understanding that helped me with the understanding where and also there’s more than one type of of whole life insurance like Peters clarify for me for that, because I actually have a friend that bought the wrong one. Yeah, and didn’t have all these nice things available to them because he had the wrong product and it’s right there restructured incorrectly so they didn’t get all the Bankston love them, like

 

Jayson  

money and they didn’t get that maximised, rapid accumulation of cash value and so on. There’s ways to engineer a policy that would not be ideal to implement this process. It doesn’t mean that the policy is no good. It just means that it is not optimised for this process. Right? So that’s where we come in,

 

Erwin  

right? And then also, whole life insurance ever sees the short term for this. It sounds very much like insurance. As in like I see, for example, I’ve used gold. Yep. And holding cash as insurance, right? They’re not investments, right? I think like, for example, the average Canadian understands why you have a little bit of US dollars, right? It’s not an investment is for you to have available to you. Should you ever go to the states and use it? Yeah, yeah. Right. It’s insurance. So then you don’t have to be exposed? You know, what the exchange of money all the time? Right. Okay. So I have some sort of understanding. Now, you mentioned that you funnel all your money through the strategy. That’s correct. And you use it to actually buy other assets and investment. That’s right. So you use it to you mentioned lending? Yep. So can you kind of touch on that? Like, how do you how do you flow that through? So then you’re like, you’re running your own mortgages, for example.

 

Jayson  

Yeah. So we, we do a lot of bridge financing. We do a lot of private lending for

 

Erwin  

you. So you’re like a mortgage broker? That brokers these deals for you? That’s a part of it. Yeah, like we, I’m trying to think the easier model for sure. I used to Yeah, late and we,

 

Jayson  

you know, did a deal here recently where a fellow was renovating a cottage and needed some some capital and was a, you know, a great candidate for borrowing based on all of our criteria. And so we put up the capital we’re earning interest in the flow of the money is really simple. So we contact the life insurance company, and we request what’s called the policy loan, and that policy loan is unstructured. So what that means is that there’s no repayment schedule. The policy owner, in this case, me, I control the repayment schedule, the frequency of payments, the amortisation timeframe, I control that. So that puts me in a position of comfort, and it makes me feel peaceful about the whole deal. My total cash value in the policy continues rising uninterrupted by the loan. So if I look inside the policy, and the policy has $100,000, of total cash value, and I’ve got a million dollar death benefit, and I need 50,000. To lend to a borrower, I contact the life insurance company, I borrow against that 100,000 Without withdrawing anything from the policy, because cash value is not really money, it’s a value attributed to the contract. So I’m borrowing

 

Erwin  

against that, to start Jayson has that contract valued, it’s determined,

 

Jayson  

the value is determined by the guarantee that the cash value must match the total death benefit by age 100. So it all begins with the death benefit. And then the cash value follows the leader, basically. So the money comes from the insurance company by way of a phone call or submitting a loan request document, the insurance company asks two questions. Would you like us to mail you a check for? Can we electronically deposit that money into your account? I want your real estate community to just hit the pause button and rewind and listen to that again. Can you bring in all of your financials for the last 322 years and show us every penny that flows in and out of your life? And there’s none of that? Right? No lengthy nosy credit applications?

 

Erwin  

Nothing. But because the the insurance company knows what the underlying asset is, while the

 

Jayson  

insurance company that’s a good point, the insurance company itself is guaranteeing the collateral for the loan. Yeah, right. So the moment that I get that 50,000, from the insurance company in my hands, they place a lien on my death benefit for the loan balance

 

Erwin  

because they understand exactly what the underlying asset is, which is their own versus like versus typical loan is based on your ability to repay whatever collateral you’re putting out of the house, your car, you got your Bitcoin, whatever,

 

Jayson  

you got it. And so the insurance company says, Listen, we’re gonna lend you the money. It’s unstructured. So just pay it back on your terms. God forbid, if you pass away, and there’s loan balance outstanding, don’t worry about it, the death benefits can extinguish the loan balance and the remaining death benefit insurance policy pays them back. There you go. And so look, think about it from this vantage point. If you went into a lender to finance a deal, and the lender said, or when we’re happy to lend you this money, repay it on your terms never happens. And God forbid, if you pass away, don’t worry, there won’t be any indebtedness left behind, right. Oh, and by the way, we’re going to contractually guarantee that the property will increase in value every day, and I can’t go backward. You and I wouldn’t even be recording right now. You would have never even had a conversation with me. So this enables you to become the banker in your life. What does that mean? It means that you’re taking control of that function as it relates to your needs. The money flows into my hands. It’s the life insurance company’s money. It’s not Jayson’s money. Jayson’s money is growing in the policy uninterrupted. The money flows to the borrower. The borrower is repaying the loan on my terms, who’s the banker? Now? You’re the lender, the lender in both transactions, the policy loan and the lending deal. Money comes back with babies Right called interest greater than the interest rate you’re paying greater than my cost to capital, right? Because capital has to flow at a cost. What I’m doing is I’m taking capital and then putting it right back into my aquarium. So that when the next high calibre opportunity tracks me down, I have ready access capital to pounce on that opportunity, right? We’re in skyrocketing inflation, interest rate uncertainty outside of the fact that it just keeps climbing political turmoil, we know the government’s going to need more money in the future than what they need now. So we definitely know there’s going to be changes from a tax perspective. And if you look at all of those elements of uncertainty, that creates stress and pressure for people

 

Erwin  

learn lessons as part of their Yeah, because we all a lot of us think there’s gonna be more the tax rates are going to increase. Yeah, like capital gains, exemption is currently 50%, it may go up, we should all be looking for alternative investments that doesn’t have a tax liability. So

 

Jayson  

you beat me to it, the participating dividend paying whole life insurance contract, which is not an investment, it’s a unilateral binding contract. The only party that I contract that’s required to make and fulfil promises is the insurance company. And guess how often they failed to fulfil those guarantees. It’s never happened. And so if you know that, the fundamental truth that your money must reside somewhere, and you store capital inside of this entity, and you co own the life insurance company, and you know that in these economic uncertain times, opportunities of high calibre are going to present themselves. So if you need to go to a commercial bank to take advantage of that opportunity, or slower the odds change in this climate, versus somebody calls me and says, we have a distressed business or could be property, property, they need cash, and I have ready access to a growing pool of financial value on demand. And on my terms, I say that, again, I have ready access to a growing pool of financial value on demand. And on my terms, should we give it your cell phone number now I, I can take advantage of that opportunity. Immediately. I don’t have to go through the strain, right, that someone’s standing next to me does, right, who’s not practising this process in their lives?

 

Erwin  

Because most people think they just have to be holding cash, right? In order to take advantage of these

 

Jayson  

right, but where are they storing it in someone else’s caches. And so if you think about it, Nelson, and again, I can’t express the amount of gratitude that I have for my late mentor, or Nelson Nash, who, again, wrote the book titled becoming your own banker, it’s an amazing read, he would often say, when you have ready access to capital opportunities of high calibre will track you down,

 

Erwin  

through giving your cell phone number, email address.

 

Jayson  

Or when I would say to folks get in line, I get contacted daily with opportunity. And I’m blessed. And I’m very, I feel grateful for that. So Jayson,

 

Erwin  

let me pause you there. Yeah. Because beginner investors are always asking, like, where do I find deals, right? And a good way to find deals is to let your network know like your realtor, your lawyer mortgage person, if you let them know you have capital ready access, but you don’t need approvals for yet. Right? You better believe you’re on the top of their list when they when they got something good all day, every day, right versus the person that has so Oh, I gotta go gotta pre qualified. Yeah, submit all my stuff for the bank hoping for a pre approval in two weeks?

 

Jayson  

Yeah. Would you rather be in a position of total and absolute control? Of course, anyone? Anyone who possesses logic would say, Yeah, of course I want to be. But we live in an instant gratification, everything. instant food, instant coffee, you could order a parcel from Amazon, and we’ll be here before you shut the office down today. This is meant to be achieved gradually and incrementally over a period of time, right? Part of the gibberish slow process is right. I am 15 years into my journey. And if you would have told me 15 years and one day ago, that I was going to be where I am today as a result of implementing this process. I didn’t see it. I didn’t see it. It took executing it took simulating it took a commitment it took first and foremost it began with the desire the desire to change. And then going through that period of introspection where you look at all of your financial resources and you say okay, 100% of my existing financial resources are already prioritised for some thing. I’m already prioritising every penny that’s flowing through my life. If I want to begin to implement this process of becoming your own banker, the Infinite Banking concept, the financial resources are already there. It just requires a reallocation of priority. It’s not going out and creating new money where no money existed before. It’s taking existing financial resources and reallocating reprioritize and I began to do that gradually and a incrementally over a period of time. And fast forward to today we’ve got 6767 participating dividend paying whole life contracts in our family banking system. And at the the wealth hacker conference, I’m going to explain why I’m going to unpack that. And I’m going to talk about the advantages that that represents, and that how people in attendance at the conference, they can do this too. They just need to realise this isn’t something that’s going to be achieved the day of the conference. It’s going to be a period of years, years. But again, I gotta give credit to Nelson, he said, You need to be thinking three generations past your own. Because the generations that come after you are going to need the use of money as well. And not if but when you die. If you do not have this foundation in place, you’re going to trigger a pretty significant terminal tax bill. where’s the money going to come from to pay it? It’s called, it’s called liquidation. Yeah, selling off assets, right. Whereas if you want to talk about the term investment, in my humble view, the best definition of an investment is one that pays you the most, when it’s needed the most. The moment you dye those unilateral binding contracts, those insurance contracts are going to pay, it’s called a promise to pay. It’s a contractually binding, promise to pay, and that money shows up and there’s no tax bill attached to it. So now you’ve got all the capital necessary your family to take care of any terminal tax obligation, and they still get to own all of the assets, you work so hard to accumulate over your lifetime. So when you speak to someone wealthy, and you ask the question, is there anything stupid about doing that? Any wealthy individuals gonna say? No, of course not. Like, generally wealthy people have I want to buy as much of the these unilateral binding contracts as I can get my hands on.

 

Erwin  

No chair wants, I should grow bigger makeup policy bigger next year. That’s great. So actually, you mentioned 6767 policies within your own family. And we were talking before recording, I’ve been at many parties and whatnot. And people people know, I like to make money. So I don’t know. I mean, that’s why this comes up. They say to me, like, you know, you can get poppin you take out a policy and so on. And that’s how you make money. And I’ve always been like, I don’t understand. confused mind says no, right. Well, and then you tell me, you have 67 of these. This is some crazy idea. No, it’s, there’s nothing crazy about it. And this is basically what people are talking about at these dinner parties. Like did you know you can buy insurance on people? Like I can go buy insurance on them if I wanted to?

 

Jayson  

Yeah, I mean, you need to have a beneficial interest in the person that you’re insuring. But it brings up a point that we mentioned before recording around diversification. I’m hearing that all the time, especially now you need to be diversified. Okay, well, what is the root? What is the root of the philosophy behind diversification? Well, the root is you diversify, so that you don’t lose it all. And hopefully, that gives you mental peace. Is that would that be fair? You’re not gonna lose it all would give you bouquets, I’m diversifying so that I reduce the odds of losing it all. Okay, I get it. Yeah. Well, I’m diversified in lives insured. That’s my diversification. I have policies on my nieces and nephews, kids in law’s business partners, to name a few. So I’m diversified. All right. And there’s no risk of me losing it all.

 

Erwin  

Sorry, why would you take a policy on someone else? Why can you just add to your own policy?

 

Jayson  

Oh, well, you’re limited to the extent of the maximum death benefits that the underwriters

 

Erwin  

hat on the individual? Yeah, right. Exactly. Any more individuals? Yeah, just scale.

 

Jayson  

And that’s how you diversify. And I respect and I just say that in good humour. I respect people’s financial objectives. And they’ve got money scattered in a number of different things. And you’ve heard the saying, Don’t put all your eggs in one basket. I disagree with that wholeheartedly. If I control the basket, where else do I want my eggs? Like, honestly,

 

Erwin  

the only good part of that point and not putting all your eggs in one basket is most people don’t understand all the baskets,

 

Jayson  

right? And so if you if you have total and absolute control over that basket and understand everything about it, how many eggs do you have yours? Do you not want residing in there? Think about any period of time Jeff Bezos did okay with this one, but oh, you sure did. And think about points in your life where maybe you’ve lost money. And I can promise you and I’m not a gambler. But if I was to if I was to bet, I would say that it had something to do with you handing control of that money over to someone else, more often than not. And this foundation of becoming your own banker, the process. It helps you to understand that regardless of what’s happening in the economy, with interest rates, with inflation, etc. The process of banking goes on no matter what. So who is the banker in your life? It can and it should be you so that through periods of time, like we’re experiencing right now You can rest easy knowing that your net worth is going to be larger tomorrow morning than it was when you went to bed. Not because you’ve got some, you know, secret code to crack there and share with people and hey, you know, come by my my stuff, and I’ll teach you how to do all this. It’s because you’ve taken control of this financing function as it relates to your needs. That’s the essence of becoming your own banker. The insurance contracts are just a tool. They’re just a tool. But I’ll tell you, it’s been the best tool I’ve ever owned. I’m not really like, I don’t do handiwork and things like that. It’s not part of my unique ability. But this is the best tool I’ve ever I’ve ever owned.

 

Erwin  

And your your experience isn’t alone, especially right now. Oh, gosh, we were chatting earlier this week. And you’re telling me all these clients, here’s their balance sheet. This is the only thing that’s green.

 

Jayson  

Exactly. Yeah, clients are contacting us literally daily. And they’re saying listen, like, we heard you shouting from the rooftops, when we were in the lowest interest rate environment we’ve ever experienced when gaining access to capital was no more difficult than it would have been getting a gumball out of a gumball machine.

 

Erwin  

And everything. Yeah,

 

Jayson  

everything. sunshine and roses. Yeah. And we heard you screaming from the rooftops? Not if but when we start experiencing what we’re experiencing right now. Your policy values can only continue to go up, and people are contacting us and saying, Look, I’m taking a look at the balance sheet. And this is the only thing on my balance sheet that keeps increasing in value outside of the fact that I may have some pennies put away in a savings account somewhere. It’s what a peaceful, stress free way of life it is. When you get the bankers out of your life.

 

Erwin  

Speaking of stress, there’s people out there including some of our clients who are who have no more access to lenders are saying no. Yep, is not getting a whole life policy going to help them

 

Jayson  

all day long, all day long. And the longer you wait, the more you penalise yourself.

 

Erwin  

It’s kind of crazy, because for example, part of the reasons why a lot of us invest in real estate is well the bank would give us cheap money on it. Yep, the cheapest money for this. So there must be something good about owning real estate. Oh, for sure. You’re talking about that this is categorised, this is grouped in the same category as gold. In terms of all water all value?

 

Jayson  

Well, hey, let me let me share it to let’s talk about collateral value, sir, when I’ll put you in the driver’s seat as a policy owner, okay, so you’ve got a policy, and it’s got a million dollars of total cash value, it’s got a death benefit of $2 million. I’m just picking arbitrary numbers. And I’m putting myself in the position, the driver’s seat of owning a piece of property. So I own a piece of property free and clear. It’s unencumbered. And it just got appraised that wouldn’t you know it a million bucks. Now you and I decided to go to lunch together, but our lunch break is going to go to the bank. So we go to the commercial bank, and you and I sit down and the commercial banker says Irwin, we’d be more than happy to give you an operating line of credit or just an advanced loan. And we’re going to lend to you a million dollars. You can capitalise the interest and just wipe out the balance when you die. Or you can make repayments at your convenience, and Irwin’s going Wow. Thank you, fantasyland area. And then I say, Well, what about me, I have a property that’s unencumbered, it just here’s the appraisal, it’s been appraised at a million bucks. Well, we’re gonna have you sit down with a Loan Manager. And if you can clear your schedule for the afternoon, we’ve got documents for you to fill out and a process for you to go through called qualifying. And presuming that you do qualify will extend to you a home equity line of credit for 650,000. Now, if you want to bump this up to 80% loan to value, it’s going to be a principal and interest mortgage for the balance. So you’re going to do things on our terms. What does that tell you about the strength of the asset in the eyes of the lender very different, night and day, night and day.

 

Erwin  

And if you don’t have a job, you’re you don’t know how to get in that mortgage? Not a chance.

 

Jayson  

And so I guess in simplicity,

 

Erwin  

sorry, I don’t have to have a job either. You’re telling me the commercial, commercial bank and what just give it to me.

 

Jayson  

If you don’t have a job, the commercial lender will likely get you to about 75% loan to value all right, no qualifying. above that. You can’t be insolvent or pending insolvent. You can’t have derogatory credit. There’s still criteria you’re borrowing from someone else’s bank, the VA, the flexibility and the control. Just how would it make I’m speaking to you now the viewer, the listener, how would you feel being in a position of total and absolute control financially as it relates to opportunities that are tracking you down whatever financial objectives you have, that you want to set about to achieve? If you’re in a position of total control? It’s very peaceful. very peaceful. Isn’t that good?

 

Erwin  

And the folks who say who say they have life insurance?

 

Jayson  

Do they have the same benefit? If they only have temporary insurance like term life insurance, they would not have that same benefit, because you’re only renting the benefit.

 

Erwin  

In term insurance. Life insurance is generally mean term insurance. Yeah, people purchase, I would say like 95% of people who say they have life insurance, it made it really determined.

 

Jayson  

Yeah, yeah, I would say it’s so common, and

 

Erwin  

especially if it’s via their company benefits. Oh, yeah, that always isn’t.

 

Jayson  

Yeah, it’s group employment benefit, which is, which is different. But if you look at it from this perspective, here’s another interesting bit of trivia, if you take out term life insurance, which has a purpose, it’s it, obviously, but if you’re renting the benefit. So if I could get you a million dollars a death benefit for 35 bucks a month, and you were life insured for the next 10 years? What do you think the odds are of you dying in the next 10 years, hopefully not good. The insurance company, if they thought you were gonna die during that 10 year window, then they’re making a really lousy bet by only collecting 35 bucks a month in exchange for a promise to pay a million. That’s why less than 2% of Term Life policies ever pay out a death benefit? Oh, so three, four returns? Well, but think about it. It’s a great return for the life insurance for them. So if you if you’re a dividend paying participating whole life insurance policy owner, you co own the life insurance company. So that’s a great return for you as a co owner of the business, isn’t it? At least you benefit off of? It creates an enormous cash float. And what do you do with cash float?

 

Erwin  

Right? You multiply it? So instead of renting, you’re getting some equity. Old from day one? Yeah. Yeah. Isn’t that good?

 

Jayson  

So real estate investors. I love equity. Right? It’s a match made in heaven. And

 

Erwin  

the analogy often I often make is like, if you don’t like but the price you’re paying for gas at the gas pump. We got a Tesla, but you know, buy some shares in the gas company. Buy some Suncor? Yeah, exactly your pay, the more you’re making. Yeah, exactly.

 

Jayson  

And, you know, as it relates to, if you just think about investing in stocks, my own personal experience is, and this may sound a little corny, but it’s the honest to goodness truth is I took a look inside my pantry, I took a look inside the fridge, I took a look inside the medicine cabinet. And I just literally looked at all the products that I consumed, no matter what’s happening in the economy, or with inflation or anything. So am I going to keep shaving as inflation skyrockets? Yeah. Am I going to, you know, continue eating cereal yet? Am I going to and so on? Do I keep powering on this device? Yeah, well, I wonder who makes the components that puts us together your iPhone, right. And so that was just my ridiculously simple approach to it. And it’s worked out incredibly well. And not because I knew how to time a market. But because I knew that I was thinking long range as it related to the consumption of these goods and services, and then take all the dividends from owning those stocks and reinvesting it in more stock, and it just grows and grows and grows. where I’m going with that. I do not know on any given day, what the value of that stock portfolio is gonna be what I promise you, I know on any given day with the value of all my participating dividend paying whole life contracts are today and what they’re going to be tomorrow. And the day after that. And the day after that. And so on. diversification, yeah, well, for me, it’s it wasn’t an either or.

 

Erwin  

Oh, no, it should be it was and yeah, yeah, yeah. I think the both the wealthier you get, and the more education one gets, the more diversified they are.

 

Jayson  

I think so. Yeah. For me, I try to stick to what I know,

 

Erwin  

will add to that something we were talking about before is you and I were discussing. So to give some context, statistically, we’re living longer than ever. That’s right. Yep. COVID-19 was the first time that we actually regressed in our increasing life expectancy. That’s right. We’re wealthier than ever. Yeah. Even with this correction we’re having we are still Yeah, we are. We have a blip right now. But still, generally, we are wealthier than we were in 2019. Yep. Yeah, I would argue mental health is probably one of the worst it’s ever been.

 

Jayson  

Yeah. Yeah. People are really, really suffering. And one of the

 

Erwin  

lessons I’ve seen a lot of real estate investors take is they understand most of them are active. Yep. Many of them have exited. And now they’re not now they’re looking where to put that money. Right? Not only where they’re looking to where they put that money, but generally I find they’re looking for more passive. Yep. more peace of mind. Yeah. less wear and tear on their mental health. Oh, God. So where would this fit on the spectrum?

 

Jayson  

Okay, well, let’s just check a few boxes. Okay. We have contractually guaranteed daily cash value accumulation checkbox. We attract no tax on that daily accrual. Oh, that’s big saving. Check the box. The policy is exempt from the passive investment income tax rules. Check the box. We have an ever increase Seeing total death benefit of which the total cash value must grow to match, check the box, we have ready access to capital on demand on our terms, check the box. When we borrow against that accumulation, we’re not interrupting it. So now the real estate investor in that example, who has liquidated and they have this enormous stockpile of cash. The truth is, is that the money must reside somewhere. If you store it on the books of someone else’s bank, then you’re enriching someone else’s stockholder. If you store it on the books of your own system, you’re building your own warehouse of wealth, and it’s indestructible. So you pour this strong foundation to go build your next skyscraper that’s actually going to stand and can’t fall over. And from that very place, you can do all those things financially that you set about to do. And we find, at least in our experience, and we deal with real estate investors coast to coast, is that once they catch this, they know exactly what to do. They want to get as much capital flowing through this tool as possible, understandably so.

 

Erwin  

And then Jayson, something kind of unsettling the same lines. Part of my own education in this area was I had questions for you. Yeah. Because there’s a couple of vendors that offer similar products, right. And you told me that you actually have money with all of them. That’s right. So you’ve sampled everyone’s services and products? Absolutely. Because what I found is when people find out what which one I which company I went with, they always have like negative things to say about some positives and negative, often negative. But I found the same shoe with my choice of cars. Yeah, like I used to drive. I drove a BMW for 10 years. Yeah, lots of people didn’t like BMWs. Now Tesla, and like, even more polarising. Yeah, totally cool. Tell me, how would have been a terrible choice it is and how bad for the environment? That is? Yeah. But again, you’ve sampled everything. That’s right. Because we weren’t me. I imagined we weren’t everyone out there. Yeah. And

 

Jayson  

the only reason I did it is because I wanted to speak from a place of authenticity, right? Not from opinion, you’ve put your money in everything precisely. And I wanted to go through that journey, as a customer. Because at ascendant financial, we want to be continually developing a deeper understanding of what exactly it is the clients we have, and the clients we want to have truly value. And then we will not put them in any situation where they’re not getting what they truly value, right. And there’s a lot of great companies without running an advertisement for any one particular life insurance carrier in the country. There’s a lot of great carriers in the country, not all of which are suitable for a great client experience as it relates to what we’re talking about. And so it’s okay, it’s okay that people have different service offerings. Oh, yeah, for sure. And for me, it was just, I want to be able to speak to this from a place of authenticity. It’s like, I’m a customer of all these carriers. So I can speak firsthand, and share fact. Right, right. There’s everybody has an opinion, which you’re entitled to, that’s fine. But I will say that many years ago, I’m speaking to 2011 To be precise. Nelson Nash said to me, my very first Infinite Banking Think Tank conference. He said, Let me ask you a question. If you’re dealing with a Mutual Life Insurance Company, that means that they’re not publicly traded, there’s no stockholders. Is that private? Yeah. Technically, yeah. Yeah. Because you’re not on the government’s public. Right. The government doesn’t know that you have those contracts in place. You’re it’s private, private contract, check, check the box. When you request a policy loan, is that a private loan arrangement between you and the insurance company that you call? Yeah. If you have a board that looks after the day to day operation of this insurance company, and they have no one else to be responsive to except for you, and every other participating policy owner, right?

 

Erwin  

Because you are the owners? Right? Right. Is that an event customers are the owner you got it. Somebody you care about? The owners, they tend to be the customers? Exactly. He said,

 

Jayson  

Now let’s contrast that with a stock company very different. You have a board that is responsible, primarily, first and foremost, before any other human being on the planet,

 

Erwin  

the stockholder. So examine themselves to

 

Jayson  

immediately you’re dealing with a distinction that needs to be well understood. It’s not that one company is bad and the other one is good, and all the noise that you can hear out there, which is just all a bunch of nonsense. All I know, is that if I’m dealing with a company, I have a private contract, my dealings are private. The board is only responsible to fulfil the mandates to me and to every other participating policy owner. When a divisible profit is to be distributed. The sole beneficiaries of that divisible surplus are the owners. 100% of the owner owner’s equity belongs to the owners, not stockholders. There’s a reason why Nelson said in his book, ideally, you want your contracts to be placed with a mutual company. That’s what he meant by it as a mutual beneficial. Mutual meaning no stockholders. Yeah. Private. They truly our customer first big time. And there’s no

 

Erwin  

other button there shouldn’t be any the bias. Exactly. Motivation. Exactly.

 

Jayson  

And so in Canada, we only have one option. And that so you have your contracts. And again, other people, like other ones is totally cool. Oh, that’s fine. Yeah, people can write, they can store their money wherever they choose. But the advantages of being a mutual, co owner of a Mutual Life Insurance Company, are incalculable. Interesting, really,

 

Erwin  

Christians have been hurt. Is that my policy that they say it’s expensive, but I’m the equity owner compared to what I don’t know. They seemed like Commission’s are high or something but whatever, compared to what I don’t know.

 

Jayson  

Yeah, you know, that that’s just have you ever flown in an aeroplane with noise cancellation headset? My own and you know how beneficial that

 

Erwin  

is? There’s kids chrome three, my kids, you gotta you have to

 

Jayson  

have the ability to to note that noise, I pay no attention to it whatsoever. Equitable, being the company that we’re talking about, again, without running an advertisement on any particular life insurance company. All the carriers in Canada that provide dividend paying participating whole life insurance have a great track record. They really do. From a mutual perspective. There’s only one. And so if there was more than one choice, then I would be evaluating an alternative choice. But presently, there’s only one. And so far, so great. And so far, so great meaning since 1936. I mean, it’s just, it’s been a little while.

 

Erwin  

Jayson, we’re running out of time. Why thank you so much for coming in. Or looking forward to your talk. Thank you. I think more than ever, people are looking for boring. It’s funny, because for the longest time, everyone was in real estate for boring. Yeah. And then when it got easy to make money, people got adventurous. Yeah. And now we’ve come back to the way boring is winning these days. Yeah. And it sounds like doesn’t get more boring than this. If you’re lumped in with gold.

 

Jayson  

God, it’s I shared with you before we hit the record button. It’s it’s like right up there with watching paint dry and grass grow.

 

Erwin  

I think people would love right now. Oh, for sure. Like,

 

Jayson  

I rest easy knowing that my pool of financial value continues growing daily, and it cannot go backward. Right. And I’m attracting no tax on that daily accrual. What more? Could I ask for? Like, I mean, that’s a very peaceful, stress free way of life. And eventually, when you get into the human condition of greed, or you’re in a market environment, where everybody thinks they’re mortal and unstoppable and and then I’m talking to my bitcoin portfolio, right? It’s like Mike Tyson says, right? Everybody has a plan until they get punched in the face, especially by him. And so I haven’t had a single client call me once in 15 years to say, Jayson, I’m really frustrated that my cash values keep rising every day. It’s really frustrating me, I’m really bothered that I have ready access to capital to take advantage of a high calibre opportunity. No one has ever said that to me. Yeah, people are relieved, they’re relieved that they got started in their journey years ago. Right and the best time to get started for people who are viewing and listening is once you have clarity, get clarity on the process, make sure your questions are answered. Make sure that you’ve got a great plan in terms of how you intend to implement it. I work with a great coach and we pride ourselves on having the best coaches burnin if Nelson were still alive today, he would attest to that. And we just love what we do. And we love working with our clients and supporting them and coaching them and 15 years into our journey. We’re more excited now than we’ve ever been. So because of me coming up in this journey, I didn’t experience soaring inflation. Until now. I didn’t experience skyrocketing interest rates until now. And so to be able to live through this peaceful, stress free, oh my god, you can shield yourself too. From the next whatever it is that’s going to impact you financially. The longer you wait, the more you penalise yourself. So stop waiting, come out to wealth hacker come up with a conference. Get a copy of our Nelson Nash’s book titled becoming your own banker, believe me, you’ll be glad you did. We’ve released our first book in a series Canadians guide to building wealth without risk. This is the first in a series every quarter a new book is coming. And it’s just an honour to be here with you. Thank you for having me.

 

Erwin  

Thank you, Jayson. And you’ll have copies of the book on hand at the conference. I

 

Jayson  

believe it. Yep. And a huge booth. Ypres, Jayson that you mentioned earlier that opportunities are coming to you. Yep. Can you comment on how are they are they getting better or worse, right in this current climate much better. Yeah, because people are motivated the other one out from the deal. They were in a lot of business, in particular coming my way in terms of companies that are just distressed, they need financing capital, they need leadership, they need help. And so I get tapped on the shoulder all the time. I turn away far more opportunity than I move forward, like

 

Erwin  

nine out of 1095 at 100 U turn away.

 

Jayson  

Oh, man, that’s a really good question. I’ve never really characterised it in terms of ratio

 

Erwin  

in this client, especially, you know, the the same hell yes or no? Oh, it’s gonna be a hell yes. Yeah. If I wanted to choose from if

 

Jayson  

I’m not familiar with what exactly it is that you’re talking about with me, I’m out. I don’t care how good the deal is. I have to have a level of familiarity. Otherwise I’m, I won’t participate. Right.

 

Erwin  

So those people at this cocktail party saying I should buy insurance on people, they were right.

 

Jayson  

Yeah, they actually. They were I mean, you’ve got to take care of yourself first. It’s much like when you get on an aeroplane I, you know, I flew here today and the stewardess says, Listen, in the unlikely event that something goes sideways, oxygen masks will drop from the ceiling. Make sure you put yours on first before helping someone else. It’s the very same as it relates to this. Take care of addressing your own needs first, and then expand that to other people in your family. Your Business both. Awesome. Isn’t that good?

 

Erwin  

Can’t wait. I was

 

Jayson  

fine. All right. And thanks to our studio audience, the one person my teammate, Peter, who’s here. Appreciate you. Thanks, David. We’re awesome. Thank you. Pleasure. Yeah.

 

Erwin  

Before you go, if you’re interested in learning more about an alternative means of cash flowing like hundreds of other real estate investors have already, then sign up for my newsletter and you’ll learn of the next free demonstration webinar I’ll be delivering on the subject of stock hacking. It’s much improved demonstration over the one that I gave to my cousin chubby at Thanksgiving dinner in 2019. He now averages 1% cash flow per week, and he’s a musician by trade. As a real estate investor myself, I got into real estate for the cash flow. But with the rising costs to operate a rental business, it’s just not the same as it was five to 10 years ago when I started there. Forgive the cash flow reduces your risk. The more you have, the more lumps you can absorb. And if you have none, or limited cash flow, you’re going to be paying out of your pocket like it did on a recent basement flood at my student rental in St. Catharines. Ontario. If you’re interested in learning more, but it’s true for free for my newsletter at www dot truth about real estate investing.ca. Enter your name and email address on the right side. We’ll include in the newsletter when we announce our next free stock hacker demonstration. Find out for yourself with so many real estate investors are doing to diversify and increase our cash flow. And if you can’t tell me I love teaching and sharing this stuff.

 

 

To Listen:

 

On iTunes: https://itunes.apple.com/ca/podcast/truth-about-real-estate-investing…/id1100488294

On Stitcher: http://www.stitcher.com/s?fid=87335&refid=stpr

On Spotify: https://open.spotify.com/show/6Z8yd37AQfQI5DK0J0Xwzz

On Google Podcast: https://podcasts.google.com/feed/aHR0cDovL3d3dy50cnV0aGFib3V0cmVhbGVzdGF0ZWludmVzdGluZy5jYS9mZWVkLw

Youtube: https://youtu.be/mfJGr8zPuEg