Annuities Are Best Selling Income Product for 1st Q of 2012

Written on:July 2, 2012
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Good news! For the first time since in 10 years the best selling retirement products in America were income annuities. 2012 first quarter’s income annuity sales climbed almost 23% from a year ago. According to the Beacon Research Fixed Annuity Premium Study, indexed annuities advanced nearly 9%.

“Both product types did well despite lower interest rates,” said Jeremy Alexander, CEO of Beacon Research. Alexander reported that “the success of New York Life’s Deferred income annuity also helped boost overall income annuity results, and indexed annuity cap rates looked comparatively good relative to CD and annuity fixed rates.”

Total fixed annuity sales were 16.9 billion in the first quarter 2012. Fixed rates MVAs (market value adjustment) were up 1.6% from the prior quarter, while sales of the other product types declined slightly for an overall decrease of 2.2% Results were 8.8% behind last year on lower fixed rates annuity sales.

This means that if you’ve been waiting to cash out on your annuity, this is the time to do it. You’ll get better offers today than you have in the past. Of course, it is always wise to consult your financial adviser before making any major financial decisions.

Frequent Questions When Selling

Written on:June 27, 2012
Decision-making-3

Can all annuities be sold? Yes, however annuity contracts are frequently long and complex and there may be fees or penalties associated with your sale. Go over your contract with your financial adviser to iron out the details. Can I keep some of my annuity? You canĀ  sell your entire annuity or settle for a partial buyout. Your financial adviser will be able to help you decide what options is…

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Buying Annuities

Written on:June 26, 2012
Benefits

When buying an annuity there are several things to keep in mind. Should you buy an immediate annuity or a deferred annuity? If you’re getting a deferred annuity, do you want a fixed or a variable annuity? How will my new annuity play in to the rest of your retirement plan? What fees and tax-benefits are associated with your different annuity options? What are your alternatives? Who are you buying…

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Selling Annuities

Written on:June 26, 2012
annuity1

One of the benefits of annuities is that you can sell them and receive a lump sum payout. You might consider doing this if you find the need to satisfy a particular debt, take care of unexpected healthcare costs, or perhaps you realize you could be making a better return in a different investment. In these events, the monthly annuity payment will not help and you need large sum of…

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What is an Annuity?

Written on:February 29, 2012
Annuity

An annuity is a insurance product that provides a steady tax-deferred stream of income that can be used in retirement for one or more people. The annuity makes payments to you based on your prior investments to it. Payments can be scheduled to be made monthly, quarterly, annually, or in a lump sum. There are deferred and immediate annuities. A deferred annuity makes payments after an initial investment period, while…

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