When we are discussing retirement for our clients, key components are: safety, protection of principal, avoid market risk, low to no fees, income generation, tax deferred growth, inflation, and taxes. There are income riders and bonus offerings that may fit to provide income benefits for life and additional income in case of medical confinement. Having part or some of the client’s assets in a place that provides income without the risk of market volatility is key. Here is where we introduce the use of Fixed Indexed Annuities.
With people living much longer, due to better health, diet, and nutrition, it is very important that one addresses longevity when it comes to retirement. Outliving one's income due to poor investments, market risk, fees/expenses, overspending based on your age limits, all can greatly impact your life's savings. The number one fear people have today, upon retirement is not death, it is running out of money! With an indexed annuity, addressing risk, protecting principal, provding lifetime income for owner AND spouse, without the fear of running out of money are available. There is a low cost for lifetime income benefit. Beneficiary benefits and probate benefits are part of these products, as well.
In planning for retirement, strategically placing part or some of the client’s assets in an indexed annuity allows the remainder to be kept liquid in our Asset Management Solutions portfolios. These assets are managed by the advisory risk money managers and models selected based on the client's needs. Thus, the client is addressing risk throughout their entire retirement, while having liquidity from the advisory investments and safety from the indexed annuities, all at once!
This is very important because the client is fully benefiting from each of the strategy's strengths.