Portfolio Strategy
Your CUOLI should
work harder.
Transform existing credit union-owned life insurance from 3–5% yield to SOFR+270 bps — roughly 6-7% at current rates. Fixed duration. Institutional diversification.
Your CUOLI earns 3–5%. The same policies in the LifeNotes™ Trust earn SOFR + 270 bps.
The Transformation
Same policies. Better structure. Higher yield.
LifeNotes restructures credit union-owned life insurance from single-issuer positions earning 3–5% into fixed-duration investor certificates yielding SOFR+270 bps — pooled across 600+ policies and 22 carriers. Without that restructuring, policies sit on your books indefinitely and your yield is whatever the carrier decides.
The LifeNotes Trust changes the structure. Contribute your CUOLI and receive a fixed-duration investor certificate yielding SOFR+270 bps — plus pro-rata death benefit distributions. Your risk is pooled across 600+ policies and 20+ carriers. Your duration is fixed at 10, 15, or 20 years.
Why It Works
What structural advantages does the trust provide?
Higher Yield
SOFR+270 bps general rate. NYL second-to-die policies earn SOFR + 360 bps — yielding 5.75% to 7%+ depending on the rate environment. Traditional CUOLI yields 3–5%.
Fixed Duration
Choose 10, 15, or 20-year certificates. No more indefinite hold periods. Your CUOLI has a maturity date and a defined exit — just like a bond.
Institutional Diversification
Your single-carrier, single-policy risk is replaced by exposure to 600+ policies across 20+ carriers with a 95 average COMDEX score. Risk is pooled, not concentrated.
Transferable Certificates
LifeNotes certificates are transferable instruments with a defined value and maturity date — unlike traditional CUOLI policies that are locked until surrender or death.
Death Benefit Distributions
As policies in the trust pay death benefits, certificate holders receive pro-rata distributions. This is upside that traditional CUOLI holders capture only on their own policies.
Monthly Accrual
Interest accrues monthly on a known schedule. Pro-rata death benefit payments distribute as policies in the trust pay out. Yield is realized at certificate maturity.
The Process
How does LifeNotes optimize a CUOLI portfolio?
Portfolio Analysis
We review your current CUOLI holdings — carriers, face amounts, cash values, and yields. The analysis maps your current position against what the trust can deliver.
Contribute to the Trust
Transfer your CUOLI policies into the LifeNotes Trust. You receive a fixed-duration investor certificate at SOFR+270 bps (or +360 bps for NYL second-to-die).
Earn and Exit
Interest accrues monthly. Pro-rata death benefit distributions flow throughout the term. At certificate maturity, the credit union exits with principal plus accrued yield — on a date you chose at contribution.
NYL Second-to-Die
The highest-yielding position in the trust.
New York Life second-to-die policies in the LifeNotes Trust earn SOFR + 360 bps — the highest spread available. At current SOFR rates, that translates to roughly 5.75% to 7%+ total yield, compared to the 5–5.75% these policies typically earn on credit union books.
The higher spread reflects the pooled mortality dynamics of second-to-die policies within the trust structure. Combined with NYL's carrier strength, these positions represent the most efficient yield-per-dollar of contributed CUOLI.
Continue exploring
CASD, 457(f), and SERPs with a defined exit from day one.
Convert existing split dollar and CASD into fixed-term yield.
Education → design → due diligence → implementation → service.
Definitions, exit terms, reporting, and trust governance.
See what your CUOLI could earn.
Send us your current CUOLI holdings and we will map the yield improvement — no commitment required.