Life insurance: how to get 5% return per year?

By managing your life insurance policy yourself and investing in funds recommended by the editorial staff, you can post a performance ten times greater than that of the Livret A (0.5%) over time with limited risks. Video explanations.

Traditional life insurance called “in euros” with guaranteed capital should yield, in 2021, 1.1% on average (1.3% for contracts awarded by the editorial staff), according to Revenue forecasts.

A return higher than that of other risk-free investments: 1% for the PEL (latest generation), 0.5% for the Livret A. But that is not, however, satisfactory. With a return of 1%, you need 72 years to double your capital, compared to 15 years with a rate of 5%. A realistic objective in a long-term perspective for a well-informed saver.

How to get 5% return per year with your life insurance policy? Structured funds, SCPI, SCI, equity funds: in our video, all the solutions are considered.

In the end, we recommend our 60 – 40 strategy: 60% funds in euros and 40% funds in international equities. Such a distribution makes it possible, on the basis of realistic assumptions (1% return for the fund in euros and 10% for the funds in international equities, i.e. less than the progression of the MSCI world index in euros for ten years) to obtain some 5% return per year (4.6% exactly). The explanations of Christian Fontaine.

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