Pasion Pills~tworypes of takeovers + Fiensly—doing the fayarsso thatimmesdatelyandsystematicalythe company maybe absorbed * hostile — discourage prospective investors to acquire stocks of the equity to the absorbed company Inmay conduct public offering butinrealitythy realy wantto acquire the stocks ofthe Investors slased corporations- selective investors can manage their or each stocks ‘sriskmanager integrate this strategy for the possible reduction of risk or if you are not the person concemed you must understandhow they do this Reinvested— investment surplus ‘When dealing with insurance you will encounter tax deferral postponing ~ accrued taxes—upon ‘payout on your policy that’s the time you are incurring taxes It doesn’t necessarily mean that tax deferral is taxshield~insurance can be used tax-shield the same ‘5 loans — reduce the tax you are supposed to remit Unlike In other Investment every time you acquire interest and returns taxare outright but in insurance there's also. tax but once you pull-out your policy the tax will be deferred. Annuity contract — payments done forehand. But the returns willbe givento you eitherin lump-sum or in series of standard payments Why is itthat the accumulated the value maybe dependent on a complicated rate? ‘Annuity contract may come up with variety of returns. It may not necessarily give you a constantrate of return or proceeds because tis always match with the indexes. Now ifthe investmentis highly based on equity then the index maybe the stock index. Based on bonds then bond index Take note: we are looking at investment surpluses. All premiums collected by the insurance companies from its holders when they aggregate this they will lookat a certain investment outlet and they will ‘matchit depending on the maturity. So insurance companies willbe putting theirinvestment into long, term investment outlets {90% of the investment on bonds will be coming from insurance companies. [Annuity contracts tend to give you ways to penalties. It may tipulateyou can have a withdrawal any. time you please w /onecessarily affecting its value. Youcan have partial withdrawal. ex 100,000 you can ‘withdraw 20,000 w /oaffecting the value.