Private Placement Life Insurance PPLI Explained(1)(1) (1)

Private Placement Life Insurance PPLI Explained Simply

By Swssco – Swiss Wealth Hub for PPLI, Trust Services & Asset Structuring in Switzerland & Liechtenstein

www.swssco.ch

What’s PPLI? Private Placement Life Insurance (PPLI) is a financial solution designed for wealthy individuals and families. It combines life insurance with investment and tax benefits. PPLI helps protect your assets, grow your wealth without paying taxes each year, and pass money to your heirs without extra costs.

Why Use PPLI Instead of a Trust or Foundation?

Old structures like offshore trusts and foundations are being watched more closely by tax authorities. They also come with higher risks of being exposed publicly. PPLI offers a safer and more private option that still follows the law: • No tax on capital gains or dividends inside the insurance policy • No inheritance tax on the money passed to your heirs • Follows international rules (CRS, FATCA) if set up correctly • Keeps your information private — no public list of owners • You control how the money is invested

Comparing PPLI, Trusts & Foundations Feature

PPLI

Trust

Foundation

Tax on Profits

No

Sometimes

Usually

Privacy

High

Often public

May be public

Asset Protection

Strong

Medium

High

CRS/FATCA Compliance

Yes (if set up well)

Complex

Varies

Investment Flexibility

Full control

Limited

Medium

Who Benefits from PPLI? • Entrepreneurs with more than $1 million in cash or investments • Crypto investors who want to stay legal and reduce taxes

• Families with relatives living in different countries • Investors who want to protect their assets from lawsuits or government action

• People who care about privacy and control Who Benefits from PPLI? • Grow Your Investments Without Paying Tax Each Year • No Inheritance Tax on the payout when you pass it to your children • Private Ownership — there is no public record • Protected Assets — money inside the policy cannot be taken by creditors Custom Investments — including hedge funds, private equity, and crypto

How to Set It Up in Switzerland or Liechtenstein Setting up a PPLI plan is not complicated, but it must be done correctly. Here are the basic steps: 1. Choose a Jurisdiction – Most clients use Switzerland or Liechtenstein due to their strong legal systems and privacy laws 2. Pick a Licensed Insurance Company – Choose a regulated life insurer that allows flexible investments 3. Move Assets into the Policy – You can use cash, stocks, or even digital assets 4. Structure the Ownership – Often done through a trust or company, but direct ownership is possible too 5. Stay in Compliance – Make sure everything matches your home country’s tax rules

Common Questions Q: What does PPLI stand for?

A: It means “Private Placement Life Insurance.” It’s a special type of life insurance used to protect and manage wealth.

Q: Is it legal?

A: Yes. PPLI is 100% legal when it is set up by a licensed provider and follows international tax rules like CRS and FATCA. Q: Why not just use a trust?

A: Trusts are useful, but they are often public and come with tax issues. PPLI offers better privacy and more flexible investment options.

Q: What kind of investments can I hold inside a PPLI? A: Many types — including hedge funds, stocks, bonds, private equity, and even crypto — as long as the insurance company accepts them.

Discover SWSSCO – Your Gateway to Trusted Global Wealth Solutions SWSSCO offers exclusive access to a curated global directory of licensed professionals, including trust experts, PPLI advisors, and wealth structuring specialists.

About SWSSCO B ased in Switzerland, SWSSCO is an independent platform dedicated to Private

Placement Life Insurance (PPLI), trust services, and international wealth structuring.

We collaborate solely with vetted, licensed providers to ensure high-net-worth individuals (HNWIs) and their advisors receive secure, customized strategies

tailored to cross-border needs.

Contact Us: request@swssco.ch Visit directory: swssco.ch

Disclaimer: This resource is intended for informational use only. For tailored financial or legal advice, please consult a licensed wealth structuring expert.