Senior Advisory Services, Inc. understands BASEL II’s organizing concepts are an important component to the financial stability of a banking institution. This is why Senior Advisory Services, Inc. has chosen Life Settlements as an investment vehicle for banks to prosper and meet the Minimum Capital Requirements protecting banks from risk of loss from defaults or other financial losses. We acknowledge the Advanced Measurement Approach (“AMA”) that large and international institutions adopt will become rulemaking in the US, and the Supervisory Guidance documents and an Advanced Notice of Proposed Rulemaking issued by the Board of Directors of the FDIC, suggests that US regulatory agencies will adopt those aspects of Basel II that are “appropriate” for use by large and internationally active US banking institutions.    
The adaptation of market discipline as one of three pillars in BASEL II, clearly states that risky loans and other unwise disposition of assets should be avoided, therefore the Senior Advisory Services, Inc. strategy of life settlement portfolios should be deployed.
  
The Supply and Demand for Life Settlement Contracts: The financial crisis has spurred the growth of the market in senior life settlements. This is because on the supply side of the market significant amounts of wealth of senior citizens have been lost in the stock, bond, and real estate markets. On the other hand, factors on the demand side of the market have reduced the offered prices for life insurance policies. The element that creates a sustainable market in life settlements is the increased transparency of pricing on both sides of the market.  

Avoidance of Adverse Risk via the Life Settlement Portfolio Strategy: With minimal risk factors and maximum returns, Senior Advisory Services, Inc. has mitigated the highest possible risk associated with life settlements by impounding all premium payments at closing of the transaction. Senior Advisory Services, Inc. deploys its due diligence and quality control procedures to address vital issues such as, all policies being beyond the 2 year contestability and suicide period and the life expectancy of the insured is medically underwritten before a policy is acquired, in an effort to provide a medically/actuarially sound estimation of maturity.