7 RepliesJump to last post
Jones just signed an agreement with Pac Life to carry them as a preferred vendor. Any opinions on Pac Life? I have heard of several indies on this site that use them, so I was just curious.
I like Pac Life as a company, but their Asset Allocation Models that you have to use in their VA have had really crappy performance.
[quote=Mike Damone]I like Pac Life as a company, but their Asset Allocation Models that you have to use in their VA have had really crappy performance.[/quote]
They have a lot of options for their investments inside their VAs beyond their own Portfolio Optimization. This might not have been the case 3+yrs ago but it is the case now.
As of July 31:
Portfolio Optimization Model E (100% equities) AFTER M&E and Fund expenses
S&P 500 with NO expenses
Consider as well that included in those returns are 1.15% M&E and a fund expense of .88%.
I’d say Pac’s multi-family asset allocation approach has been extremely solid.
The cost of their income rider is pretty high (1.25%) and it is only a 5% roll up.
5% simple not compounded. But I like them. They did not reach for 7%- everyone that did is now backing off looking foolish. They have good service, and most importantly: PAST PERF IS NO BLAH BLAH BLAH. I don't sell on performance since there is NO WAY to know who will win next year etc. etc etc
Riders going up quite a bit. Total expense well exceed 3% - closer to 4% effective october 1