New financial advisor is trying to get me on life insurance as “safe” money. $500 a month investment. Positioning as I make too much and need the tax benefit and safe money for any market downturns during retirement years. Is this normal or a sales gimmick?

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No. They're trying to sell you a product that gives them a big commission (I'm guessing from the amount it's a whole life insurance policy). Don't do it. You can get a reasonable term life insurance policy for WAY less, and it will give you the coverage you need.

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I would probably ask for a second opinion. It’s possible it’s a good investment for you, but “safe” money during market downturns ehhh very dependent on the terms of the specific policy you purchase and a variety of other factors and even then I don’t know that I’d say “safe.” Safer than some other investments.

Never heard of this before

I bought a life insurance policy as part of my portfolio. U don’t buy it for the death benefits. And rather for the investment income and tax advantage. That being said it’s typically a way to diversify for taxes when u start taking income. There are other “safe” options. Would do your research and consider all the options and what u think your tax situation will be when u need to start drawing money. I planned on drawing money early (50s)

No! Life insurance is not an investment, it's an insurance policy. Are you sure they're a financial advisor? If you want life insurance, a better option is to get a term policy and invest the difference in the stock market.

You can withdrawal from it tax free. And it gets ingested to grow. How is that not an investment.

Some of these commenters aren't hip yet. You may make too much money to invest in a Roth IRA. All life insurance policies are not created the same, and some are used to grow your money tax-free if it is structured properly.

Forbes wrote an article about it if you'd like to read more regarding this.

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