Life Partners of Texas defends Life Settlement Industry

The US life settlement provider (Life Partners Inc.) said life settlements were a safe and transparent investment which provided a good return.

Brian Pardo, chief executive of Life Partners, said the company had listed on the stock exchange in order to bring more clarity and transparency to life settlements.

Life Partners requires a minimum investment of $50,000 (£31,000) and all investors must meet the US definition of an accredited investor which requires them to have over $1m (£619,752) net worth.

Mr Pardo said: “I don’t think life settlements are that complicated, no more than real estate.

“It is a very simple transaction and gets complicated when you are making a fund or derivative out of it.”

“Most of the problems that we have seen in the industry are miniscule compared to the problems in the stock market and mortgage industry.”