Secondary Life Insurance Reimagined
The secondary life insurance marketplace, generally known as longevity risk contracts, has the potential to be one of the largest markets on the planet. Trillions of dollars are sitting untapped in highly complex illiquid life insurance policies.
70% of life insurance policies do not pay out. $220+ Billion in face value, in the senior market, and just in the USA, is expected to lapse in 2026. Only 3% of the current annually lapsing policies are being monetized and traded by the current life settlement industry. Yet they are turning away 9 out of 10 policy holders calling for assistance as they are stuck in constrained parameters unable to achieve the required IRR making the trade profitable.
The use of the Liquefex (f) infrastructure enables the ability to tap into the 97% being left on the table every year.
The Liquefex OS opens new doors to how policies can be collateralized, traded, re-traded, pooled, securitized, and fractionalized. The Liquefex (f)infrastructure efficiently turns life insurance policies into trade-able bank notes. These banks notes create new opportunities for the institutional investors and enable private credit to be integrated creating automatic liquidity events without lockup or holding periods.
In addition to newfound revenues from non monetized data, the collective nature of the Liquefex (f) infrastructure also enables new types of tertiary products to be created including derivatives and collateralized pooled tranches for lending.
The Ultimate (f)Infrastructure Integration:
Life Insurance Carriers
The Liquefex (f)infrastructure under the label of the life insurance carriers, creates a closed loop from initial policy origination all the way through policy termination including secondary, tertiary, and derivatives creation considered as the "secondary life insurance marketplace"
without the need of a life settlement.
Life Insurance carriers incorporating the Liquefex (f)infrastructure will be able to move the future death benefit from the accounts payable column to the accounts receivable under the arm of their investment management division. And monetize those future cash flow values now as fixed income AUM models on behalf of the policy holders they currently have.
Commercial Real Estate Reimagined
The commercial real estate markets will soon go through a major transformation, not merely incrementally as seen through the use of common technology such as blockchain and smart contracts, nor even AI, but through the new, comprehensive, holistic, reimagined LiqueFex OS (f)infrastructure for the next generation of trade and exchange.
The very nature of the asset itself will be viewed differently, as will the underwriting of developments, investments and lending. It will be akin to a conversion to a new asset class altogether, where one’s individual interests in properties can be traded like stocks.
Retail investors from all over the world will begin accumulating portfolios of all sizes with the ability to create micro-portfolio of fractions of large physical assets across a wide range of sectors and geography.
Large-scale REITs will begin implementing more advanced diversification, risk management, leverage and collaboration globally as underwriting occurs with much more intelligence and predictive precision using advanced data aggregation, sorting and weighting systems.
The required capital stack for projects will come together more effortlessly and efficiently, with better terms for all, as investors and lenders will be able to move fluidly in and out of positions as conditions change for them individually or on a macro level without affecting the capital stack
