NAPFA Provides Consumers with Quality Control while Maintaining Flexibility for Financial Advisors
NAPFA is the National Association of Personal Financial Advisors.
NAPFA membership consists of financial advisors who provide comprehensive...
Living benefits or guaranteed living benefits (GLB) are optional guarantees that can be embedded into variable annuity products. In the past, variable annuities could come with a guaranteed minimum death benefit (GMDB) which paid a minimum benefit upon death of the annuitant. Over the past decade, however, product development and innovation have flourished, and insurers offer income, accumulation, or withdrawal guarantees that can provide a significant measure of protection against market risk while the annuitant is alive. Some of these “living benefits” include: guaranteed minimum income benefit (GMIB); guaranteed minimum withdrawal benefit (GMWB); guaranteed lifetime withdrawal benefit (GLWB), and; guaranteed minimum accumulation benefit (GMAB). Living benefits have proven to be incredibly popular. More than 95% of variable annuity sales in 2007 contained some form of living benefit. Guaranteed lifetime withdrawal benefits (GLWB) have proven to be one of the most popular guarantees.
NAPFA is the National Association of Personal Financial Advisors.
NAPFA membership consists of financial advisors who provide comprehensive...
Moshe Milevsky is one of the leading figures in the...
Submitted by Anonymous on
What are the negative aspects of stand alone living benefits?
Submitted by tom on
This is a continuation of a comment/question that started here:
The short answer is that standalone living benefits most likely would not be available (at the moment) through a plain-vanilla mutual fund.