Evolution of Variable Annuities Doesn’t Mean Improvement

Once the financial marketplace began its shift in 2008, promises and contractual guarantees offered by variables annuities became a huge and monstrous potential liability for the industry. The liability was really a derivative, meaning a future promise paid for by consumers but expensive for the insurance companies to keep.

By |2015-05-21T05:04:43+00:00May 26th, 2014|Annuities|

The Float, Warren Buffett, Annuities and You

The use of the money known as the “float” allows the insurance company to use the funds for investment. If a claim is never paid, the float can become a significant amount of investible capital. Warren Buffett discovered this concept years ago and has used the float to increase his investible assets.

By |2015-05-22T05:06:45+00:00May 13th, 2014|Annuities|

The Richer You Are, The Older You Will Be

A terrific article in the Wall Street Journal based on research by economist Barry Bosworth at the Brookings Institution crunched the numbers and found that the richer you are, the longer you’ll live. And it’s a gap that is widening, particularly among women. Other than likelihood of access to better health care, what is it the rich have that poorer folks don’t have? Money in and of itself may not be the answer; the answer is less worry and having less stress. If you have enough money every month to live as you wish then you have less stress.

By |2015-05-22T05:08:18+00:00May 6th, 2014|Annuities|

Fees And Expenses Associated With Variable Annuities

Variable annuities are not insurance products, they are actually securities. Money invested in variable annuities is subject to market risks as well as fees and expenses. If you decide to invest in a variable annuity, it is important to know and understand the fees you will be charged.

By |2017-11-20T21:26:09+00:00May 5th, 2014|Annuities|