Indexed Annuity

By |2013-09-23T16:18:25+00:00September 23rd, 2013|

An Indexed Annuity is an annuity based on a statistical indicator, the equity market index, which provides a representation of the value of the securities, which constitute it. An index annuity is a hybrid of both fixed and variable annuities. Indices often serve as guides for a given market or industry and benchmarks against which financial or economic performance is measured. An indexed annuity can be based on the S&P, Nasdaq, or the DJIA

 

The principal investment into the indexed annuity is protected from losses in the equity market, while gains add to the annuity’s returns. This means that once you make a premium payment you will never have less in your indexed annuity account than your premium payment, and as the index appreciates in value, so does the Indexed annuity. Indexed annuities can be a wise investment and become a great source of additional income revenue.

 

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About the Author:

Bill Broich is a well-known annuity expert with over 30 years of experience. He has written hundreds of articles on annuities and other financial topics, and has been a featured commentator on TV, Radio and the Internet.

Toll-Free: (360) 701-6209 | GVA, Annuity.com | Email: bbroich@msn.com