The Truth About Equity Indexed Annuities

Equity Indexed Annuities are a hybrid Annuity that allows for gains based on a stock market index, and attempts to protect against loss from market fluctuation. Equity Indexed Annuities are hybrid products that seek to capture stock market gains while protecting against losses. An Equity Indexed Annuities guarantees a minimum level of performance, regardless of actual appreciation. Annuity companies follow no standard method, however, for calculating the return credited to their investors.
Are they a good deal?
Equity Indexed Annuities seek to be all things to all people.While it common wisdom to look to stocks to offer higher returns, you must be aware of the risks.Conservative investments like bonds and annuities are designed to prioritize safety, and consequently come with lower returns that stocks. But over the long term the returns from bonds often match or outpace stocks, especially when you have volatility.We lived through this turmoil in 2008.


Equity Indexed Annuities attempt to bridge the gap between risk and return in a guaranteed product. You can only guess when something tries to be all things to all people.
Equity Indexed Annuities are often promoted as a great balance that protects principal while offering the potential for gains.But Watch Out!

Equity Indexed Annuities offer different components and characteristics. Insurance companies vary the minimum amount you are guaranteed to earn, the maximum amount you can earn, the total percentage of upward movement in an Index that you can participate in, and the use of your accumulated funds once the annuity term is over.
Before you consider Equity Indexed Annuities , be sure to educate yourself.

Before you consider Equity Indexed Annuities , Get the Straight Talk First!