newhome2019-09-09T17:42:33+00:00

Insider’s Guide To Variable Annuities

Confused About Variable Annuities

It has always been fascinating to me why this segment of the securities business has been so successful.

I think it is a testament to the ability of a security salesman to focus on the perceived benefits and only mention the downside in passing. I know all about the need for transparency and the rules governing the sale (prospectus), but the question that pertains to me is simple: Why would anyone buy a variable annuity? (VA)

I know all the answers because I have heard them. Many times I have asked a prospect why they purchased a VA, the answers are underwhelming. “I thought I was buying an income stream; I didn’t know about the fees. I didn’t realize I could lose money. I have always followed my broker’s advice.” And my favorite…..”His assistant always brought me a latte!”

Whatever the actual reason for the decision to buy a variable annuity is, the simple answer is this: If a prospect understood precisely how a variable annuity worked, there would not be a chance in heck anyone would ever buy it.

A little background about annuities: In the annuity world, there are two different classes of annuities, variable (securities) and fixed (insurance).

Another way to think of variable annuities is as opposite from fixed annuities. (FA) A FA is Market Safe, and a Variable Annuity (VA) is at Market Risk.

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INVITED AUTHORS

Brad Pistole

Brad Pistole

Trinity Insurance & Financial Services, Inc.

Lyle Boss

Lyle Boss

Boss Financial & Insurance Services, LLC

Joe Edgeworth

Joe Edgeworth

The Edgeworth Insurance Group

Al Martinez, America's Financial Solutions Group

Al Martinez

America’s Financial Solutions Group, LLC

Lisa Cassidy

Lisa Cassidy

America’s Financial Solutions Group, LLC

Chad Owen

Chad Owen

Eagle Shadow Life & Annuity , LLC

Robert Kelly

Robert Kelly

Safe Money and Income Solutions

Dave Stanley

Dave Stanley

Financial Consultant | CEPP

Jim Junge

Jim Junge

Benefit Services Group

Laurabell Lyster

Stephen Dybwad

Investment Advisor Representative

Steve Kerby

Steve Kerby

Eric Hutter

Eric Hutter

Osprey Retirement Solutions

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