“The Pros and Cons of Indexed Annuities”
The one thing all Retirement Planners agree on is SAFETY FIRST! By the time people reach retirement age, they can’t afford to have their life savings cut in half by any more stock market crashes! Unfortunately (as anybody who’s been to the bank lately knows) safe havens like savings accounts or CDs aren’t paying any interest to speak of these days.
Indexed Annuities are the accounts you’ve heard about that guarantee the safely of your principal in the “bear” years, but still give you a good return in the “bull” years. Last year, for example, was a good year for the stock market. Most of my clients who had Indexed Annuities realized double-digit returns.
Indexed Annuities can provide safety of your principal, market-indexed interest rates, and a lifetime retirement income to supplement Social Security. We’ll learn the difference between caps, spreads, and participation rates. Finally, we’ll learn to spot hidden charges, such as front-end loads, asset management fees, and Income Rider charges.