Examine the different types of annuities and see if an annuity is the right fit for your retirement portfolio.

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 |2019-03-04T02:14:19+00:00May 13th, 2019|Annuities|

Investing Can Be Risky….Maybe Not!

The current state of the world economy is about as volatile as it has ever been since WWII. Many investors have run to safety and made huge purchases in the only one really safe vehicle available-US Treasuries. Buying Treasuries is definitely a safe investment option….or is it? It is true that US Treasuries carry no risk, no risk in your investment being lost. However, there is another risk associated with investing in US Treasuries.

By |2019-03-04T19:24:37+00:00May 13th, 2019|Annuities|

What Happens To Bonds and Annuities If Interest Rates Rise

Just a simple rate movement over time of 3% (3.25% discount rate) would reduce the actual value of all inforce US Treasuries by as much as 40% of their market value. Think what would happen if interest rates went even higher? Disaster would loom and trillions of dollars would evaporate if these assets were liquidated. Of course there would be a winner: the US Taxpayer. Treasuries would be replaced with a higher earning interest rate bond, but at a far less value a third of its market value of the original bond.

By |2019-02-19T16:02:25+00:00May 8th, 2019|Annuities, Bonds|

The Tax Deferred Annuity

A tax-deferred annuity helps manage tax liability   A tax-deferred annuity is a plan in which income tax on an original deposit of investment income is not charged during the investment period. The tax liability is deferred until the owner or beneficiary begins to receive (or accesses funds) periodic payments of earnings from the invested [...]

By |2019-02-27T20:14:48+00:00May 2nd, 2019|Annuities, Annuities 101|

If You Don’t Want To Be A Fool Quit Acting Like One

Only a fool would buy an annuity, right? Recently, a well-known financial columnist suggested that annuities were a “foolish” choice. He went on to make several points to build support for his position and to gain attention for himself. This person makes his living by being contrary, by suggesting the normal way of business is [...]

By |2019-02-19T16:03:06+00:00April 29th, 2019|Annuities|

Financial Dentistry

Financial Dentistry and the Often - Uncomfortable Process of Annuity Shopping   As a 20-year annuity agent, I began to recognize several years ago the uncanny parallel that the emotional process of shopping for an annuity, from your perspective as a consumer, is not all that much different than the psychological process of scheduling a [...]

By |2019-04-25T20:50:25+00:00April 25th, 2019|Annuities|