As you’re preparing for retirement, you will begin to hear a lot of buzz about annuities. For those who want to guarantee a stream of income in retirement (which is pretty much everyone), an annuity can be an attractive option. Nike Free 5.0 Mujer But many people wonder, Can I lose money on an annuity? It’s a fair question. adidas eqt After all, you’ve learned that investing in your future often includes some risks. Nike Air Huarache Heren wit
Here’s the lowdown on what you need to know about annuities and risk of loss. Immediate, fixed, and fixed index annuities are guaranteed by the insurance company that issues the contract. This means that the issuing company protects your principal – the amount you paid into the annuity. These types of annuities can be structured to minimize risk with conservative, fixed interest rate returns. oakley pas cher These options are ideal for the conservative investor who wants to establish a stream of income in retirement, without exposing himself to significant financial risks. On the other hand, variable annuities are just what they sound like; they’re variable! These products are invested in bond or equity markets, and carry a greater potential for loss. nike air max dame Variable annuities can also be subject to much higher fees, which also carry potential for loss of your funds. For those who are worried about loss of principal, the immediate, fixed, and fixed rate annuities are the safer option. But keep in mind that losses can come from places other than the market. For example, excess withdrawals can result in surrender charges, and taking withdrawals before age 59 ½ can trigger tax penalties. Another risk of a fixed rate annuity is that it may not keep pace with inflation. Backpacks Napapijri New Balance 420 hombre Annuities with flat or low growth could jeopardize retirement goals. Adidas Superstar Rosa Donna
Some interest-rate-only annuities curb this risk by setting minimum, guaranteed rates of return while allowing payable rates to float upward if market interest rises. Like all investment products, the choices you make with your annuity product can impact your satisfaction with it. nike air max 1 goedkoop That’s why it’s wise to seek the guidance of a skilled financial advisor, who can help you sort out your annuity options and choose the right product for your needs. For more information on annuities and risk, call my office at 877-778-4611 to schedule an appointment. air max 2017 verde donna
I would be happy to walk through your annuity options with you.