The Economic Value of Ownership, Control and Property

The Economic Value of Ownership, Control and Property


By- Andy Safa

This article is supposed to be about Whole Life Insurance, and for those that have eyes to see (!?), it is! However before discussing the product, process and the philosophy must first be exposed. Only then we will be able to see the value in the product. I have written this article not to bring forth the problem, but with the most optimistic attitude I will bring the solution. My work here is not to tell what you already know; it is to uncover what you “think” you know that really isn’t so.

The prevailing methods of financial operations are filled with an error that in the end will lead to fatal destruction to the client. The source of the error may sound overly simplistic to mention, but the implications are profound and far-reaching beyond our ability to measure. The problem is that the stated objectives of most plans and their underlying philosophies violate the core principles of basic 101 economics. While I believe most financial advisors are honestly trying to do what’s best for their clients, a lack of economics training and the tools to test the validity of one strategy versus another limits their ability to clearly discern substance from illusion in the plans they create.

However, we are not to be caught up in the flaws of traditional financial planning, we all are aware of that. What is important to recognize is what impression and thought process these advisors leave behind to the consumers. With common errors and lack of macro-economic understanding from advisors, the same outlook is passed on to the client. This outlook has then forever impacted the client’s mindset and understanding and to undo the damage done is more difficult than to teach new fresh concepts and principles. Economics is essential in any financial plan, without it we are destined to fail. An example: To a financial planner, a 401(k) maybe a sound investment strategy by using compounding interest -- same principle applies to a mutual fund. To other more inquisitive individuals, these investments may not be as effective, their reasoning would be that the principal is at risk, you might find yourself in a higher tax bracket at retirement, or, it accumulates taxes since you are paying on the harvest not the seed.

These reasons are relatively fair. However, economics has predicted that these products are not the sound investment by simple principles -- none which have anything to do with tax brackets, rate of return or retirement. The principle is this. Capital is private property, property equals freedom, freedom equals prosperity. When one is to give away the control and ownership of his property to the unknown, freedom has dissolved and therefore so has the goal of prosperity. He has become a slave. The money one gives to the 401(k) is no longer their money but it is F.B.O. (For Benefit Of) so and so. Whoever is willingly giving up control of property to an unknown party (the government is not an individual and its operations are unknown) has sown seeds of his own slavery.

What I have just expressed is purely an economic reason why such investments where ownership and control are given up from an individual to a collective entity whose operations are unknown results in slavery. Prosperity is the goal, to achieve it one needs freedom, to have freedom one needs private property. There are many explanations to the failure of the financial freedom to the average American. The most common explanations include lack of savings, lack of knowledge and education and lack ambition and risk taking. However the main reason I believe is the lack of control and ownership over private property. The same equation follows, private property equals freedom. If people are in slavery it is that they do not have control over their private property. The 401(k) is the most popular investment in America. It doesn’t take a rocket scientist to understand it’s a failure.

More people have made money in business than in anything else. Like others, this also has an economic explanation to it. The business of you is what you have more control over more than anything else. You have more ownership and control over the operations and results over your business than you do over real estate. Business is more private property than Real Estate hence freedom and prosperity are better achieved through business. The results show this, more have made more money in business than any other investment. The knowledge of Economics is essential in any financial advice and operation. If one is to ask, what is the best investment?! The typical financial advisor will draw up charts and scrunch in the numbers which will never be 100% accurate. The good Economist would answer, whichever one you have more control and ownership over, the one closest to true private property. Now, that answer is completely 100% accurate and cannot fail. It is a Godly Principle. Slavery is not.

So what does this have to do with Whole Life!? Everything! From an economics viewpoint, a guaranteed dollar is worth more than and non-guaranteed dollar. Whole Life has guaranteed increasing cash value, and guaranteed death benefit. No risk involved. The rest is up to the owner, the owner and only he can control the results. The performance and the thrift is 100% in the hands of the policy holder. There are no market fluctuations to alter with the policy, no government intervention to deteriorate the options the policy holder has and last but not least, no Federal Reserve intervention, no tax, no inflation and no changing interest rates. No eroding factors from the outside. All is achieved from the imagination, the education and the will of the individual who owns it. No one but he has control or any sort of ownership. The policy holder is completely free. He is an individual; free to pursue prosperity and practice the unalienable rights of Life, Liberty and the Pursuit of Happiness. Individuals in our society have given up these rights. All has made it so that the individual is no longer able to pursue freedom and prosperity, until now. Made possible from the mind of one great individual. Infinite Banking has made it possible to pursue the true American Dream, a dream which has been deteriorated, forgotten, only a saying, not a reality.

Infinite Banking is the answer. From the beginning of all civilizations banking and bankers have been the most prominent and prosperous; right from the Knights Templar to the Robber Barons. Banking is the foundation. It is undoubtedly the best “business in the world”. Infinite Banking mixes the only real private property left today with the most powerful business in the world for centuries. No doubt, it is Whole Life Insurance that is the greatest investment we have today. The Founders of this nation sacrificed all they had for the vision of Freedom and Prosperity. That sacrifice is no longer necessary. Individuals can achieve liberty and finish the work of the founders in the most self interested libertarian way. No need for political campaigns and mass spending. No need for riots and calls for freedom. All it takes is for one to own a policy and then bank! Do not do this, first, for the purpose of America’s freedom. Do not, first, for completion of the vision our founders had. Do it for you. For your freedom. For your unalienable rights. For your prosperity. In doing so and sharing the news to others, Freedom will be restored, Unalienable rights will once again be granted and Prosperity will be achieved.

I dedicate this article to R. Nelson Nash, author of Becoming Your Own Banker -- The Infinite Banking Concept.


Andy Safa
andtennis05@yahoo.com
13/2/09