Some offers for variable life insurance promise a 10% yearly return on your investment. Salesmen will paint an attractive, but shady, picture of how this scheme works. And while there’s no absolute proof that this is not possible, you should be very, very careful when you try to invest after being given such a nebulous picture.
We are working with a bunch of hypotheses here, the first being the hypothesis that you have a rate of return that will grow. With mutual funds, which are the typical investments for variable life insurance, the increase is contingent upon the performance of that particular area of the market.
