In the recent volatile markets investors remained with huge amounts of cash withdrawn from the volatile stock exchanges around the world or from selling (hopefully high) their mortgages or real estate properties. Of course, as any normal US investor, this huge amount of cash raises some serious issues: first of all a bank deposit cannot guarantee any longer a good return over the long term, secondly a bank deposit can be neither safe, as the recent news continue to prove (yesterday for example the Dutch government has injected $13,5 billion in the famoun European ING bank in a desperate attempt to keep it floating).
What to do then? Well, structured settlement payments can be one solution. This financial instrument consists in the client selling its settlement (potential or actual) to a specialised company and receiving back a lump sum of money – or an anuity, based on a negoatiated contract. Structured settlement payments look a lot like factoring, whereby you sell some uncertain future revenue for a certain present stream of revenues. It is like trading risk for return instantly.Read More »Structured Settlement Payments – trading risk for certainty