Annuities
Annuities are contracts with an insurance company. You invest a sum of money in exchange for certain promises and guarantees. Annuities today, in the hands of a competent financial representative, may be a powerful strategy in a retirement plan.
Annuities come in different shapes and sizes and not one fits all situations. Annuities can be broken down into two categories – immediate and deferred. Immediate simply means that you trade a sum of money for benefits now while a deferred annuity is placing a sum of money for future use. You can usually add to deferred annuities whereas immediate annuities are single premiums. Deferred annuities are further classified as fixed or variable annuities. Fixed period certain, and fixed index annuities are forms of fixed annuities and are guaranteed by the insurance industry. Deferred variable annuities are tied to the markets and are not guaranteed.
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Does all this sound complicated? It can be and that is why a competent Financial Representative is important. Look for professional designations and experience in the financial industry when choosing a Financial Representative.
Get a free financial quote now to see how I can help you with your financial needs or call me at 515-491-4576
Annuities come in different shapes and sizes and not one fits all situations. Annuities can be broken down into two categories – immediate and deferred. Immediate simply means that you trade a sum of money for benefits now while a deferred annuity is placing a sum of money for future use. You can usually add to deferred annuities whereas immediate annuities are single premiums. Deferred annuities are further classified as fixed or variable annuities. Fixed period certain, and fixed index annuities are forms of fixed annuities and are guaranteed by the insurance industry. Deferred variable annuities are tied to the markets and are not guaranteed.
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Does all this sound complicated? It can be and that is why a competent Financial Representative is important. Look for professional designations and experience in the financial industry when choosing a Financial Representative.
Get a free financial quote now to see how I can help you with your financial needs or call me at 515-491-4576