Fixed Annuity
A fixed annuity provides a guaranteed rate of interest during the accumulation period and a guaranteed (“fixed”) amount of income when the contract is annuitized. With a fixed annuity, the insurance company is responsible for investing the premium payments and therefore assumes investment risk. The insurance company is obligated to provide guaranteed annuity payments regardless of whether their investments have generated an adequate rate of return. With a fixed annuity: 1) the money can go in as a single premium payment or a series of payments; 2) the money is invested at a fixed or guaranteed rate, and; 3) payments are at a fixed rate and can begin immediately or at some future date.
Warren Buffett Comments on Social Security as a Form of a Nationalized Annuity
Warren Buffett had some comments on the life insurance and...
Fixed Annuity Sales Continue to Soar While Massive Inflation Risks are Ignored
Bloomberg reports that there is continued strength in fixed and immediate...
Article Discusses the Tax Implications of Purchasing an Immediate Fixed Annuity with an IRA
Who insures my annuity? What happens if they fail?
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