Fund your obligations the smart way
Asset Funding
Promising a benefit is one thing. Having a credible strategy to pay for it is another. Asset Funding is the process of identifying, evaluating, and implementing the assets your institution uses to informally fund its executive benefit obligations — and doing it in a way that is disciplined, independent, and aligned with the plans you have made.
From vision to action — building a roadmap for growth
The most common informal funding vehicle for executive benefit plans is Bank-Owned Life Insurance — a tax-advantaged asset class that, when properly selected and structured, can meaningfully offset the long-term cost of promised benefits. TFS evaluates your funding needs, conducts independent carrier and product due diligence, and coordinates the purchase process from start to finish. We are not tied to any carrier, and we are not compensated to steer you toward one. Our only obligation is to match the right asset to your institution’s specific funding needs.
Why asset funding matters
A benefit obligation without a funding strategy is a future liability sitting unaddressed on your balance sheet. BOLI is a legitimate, widely used, and regulator-recognized tool — but only when it is properly selected, structured, and aligned with the plans it is meant to support.
Alignment means your funding assets are directly tied to the benefit obligations they are meant to offset — without it, you are carrying a liability with no coordinated plan to meet it.
Independence in carrier selection ensures the asset recommended is the right one for your institution, not the one that generates the highest commission for someone else.
Structure determines how well the asset performs over time — the right product, properly configured, delivers meaningfully better long-term cost recovery than a poorly matched one.
Diligence at the point of purchase is what your board approval process requires — documented carrier analysis, projected performance modeling, and a clear rationale that holds up to regulatory scrutiny.
How the asset funding process works
Every funding engagement begins with your obligations — not a carrier product sheet.
1
We assess your funding needs
We start with your existing benefit obligations, your balance sheet, and your institution’s specific risk and performance objectives — so the funding strategy is built around what you actually need.
2
We evaluate the options independently
BOLI and other informal funding vehicles are analyzed across carriers and product types, with projected cash value growth, death benefit, and net cost recovery modeled so you can compare real numbers.
3
We support the board approval process
We help you prepare the documentation and analysis your board needs to make a confident, well-supported purchase decision — and we coordinate with legal counsel and regulators as needed during implementation.
4
We align funding with your plan design
The funding strategy is integrated with your benefit plan structure from day one — so the asset you purchase is directly connected to the obligation it is meant to support.
Ready to build the right plan for your institution?
Your next step is a single conversation
Let’s talk about your institution
Whether you are establishing a new program and evaluating how to fund it, or you have existing BOLI holdings that have never been properly reviewed — TFS is ready to take a look.