Introduction
Fixed Index Annuities are contracts between the annuitant and an insurance company in which the insurance company pays interest based on the performance of a certain stock market index, such as the S&P 500. Most Fixed Index Annuities have an inbuilt capital protection feature, so your principal will remain safe even if the index goes down; this is typically called the annual lock-in. Every year, on the contract anniversary, the earned interest is locked in, and you cannot lose the value of that interest or principle.
Annuities are complex products, and many advisors often do a poor job of relating the complexities to their customers. And worse, they often do not take the customers’ full financial context into consideration when making their sales pitch. It is imperative to educate yourself on these products and not solely depend upon the annuity agent’s oversimplified and uncontextualized sales pitch.
In this article, we dive into CoreBridge's (formerly American General Life Insurance Company) Power Select Builder fixed indexed annuity. The Power Select Builder offers the opportunity to grow your retirement assets and income while guaranteeing that your principal will never decline due to market volatility. After conducting comprehensive due diligence, this article presents an objective analysis of the financial product.
Company Info
The Power Builder Select annuity is issued by CoreBridge Financial (Formerly known as American General Life Insurance Company). Corebridge was spun off AIG in 2022 and was listed the same year on the NYSE with the ticker CRBG. As of the end of 2023, they managed or administered $383.9 billion in client assets.
As of December 2023, the company reported a
- Revenues of 18.9 billion
- Total assets of $379.3 billion
- Net income of $1 billion
- Shareholder's equity of $11.8 billion
For the year ended December 31, 2023, the company's businesses generated a spread income of $3.87 billion, fee income of $1.9 billion, and underwriting margin of $1.5 billion, resulting in a balanced mix of 53%, 26%, and 21% respectively, among these income sources.
Power Select Builder Product Description
The Power Select Builder is an FIA that provides the annuitant the opportunity to earn returns tied to a market index, without exposing them to the downside risks of the market (interest earned is never zero in flat or down markets). This plan may be particularly fitting for those nearing retirement, who have dual objectives of growing and preserving their retirement savings. For risk-averse investors seeking alternatives to bank CDs, indexed annuities offer a very good fit.
| Tenure | 10 Years |
|---|---|
Issue Age | 18 - 78 |
Minimum Initial Purchase Amount | $25,000 |
Withdrawal Charges | Withdrawals in excess of the Free Withdrawal Amount are subject to the following charges that decline over 10 years: 9-9-8-7-6-5-4-3-2-1-0% or 10-9-8-7-6-5-4-3-2-1-0% (applicable to: AK, CA, CT, DE, FL, MA, MN, NJ, ND OH, SC, SD, TX, UT, WA) |
Indexes | AB All Market Index, Dimensional US Foundation Index Interest Accounts, ML Strategic Balanced Index, PIMCO Global Optima Index, Russell 2000, S&P 500 Index |
Death Benefit | Greater of the annuity contract value or Minimum Withdrawal Value |
Free Withdrawals | After the first contract year, you can withdraw up to 10% of your contract value (based on your prior anniversary value) without incurring any company-imposed charges (see withdrawal charges) |
Cash Surrender Value | Greater of the contract value (adjusted if applicable) or the Minimum Withdrawal Value, if fully surrendered. |
Terminal Illness or Time of Need | Charges and Market Value Adjustments may be waived if diagnosed with a terminal illness, have extended care needs, confined to a nursing home or in an assisted living facility. Talk to your representative about restrictions/limitations that may apply. |
Riders | Guaranteed living benefit rider not available in the standard version. |
Minimum Withdrawal Value | 87.5% of premiums, growing at an annual rate as specified in the contract |
Power Select Builder Product Policy
How does the Power Select Builder Product work?
Any annuitant (maximum age at the time of policy issue: 78) can purchase this annuity with a minimum initial purchase amount of $25,000, and in return, will earn market index returns (calculated through a formula that we will discuss shortly), credited as per the chosen crediting period.
There are two ways to help provide growth in this FIA:
Earn interest based on your choice of indices:
Index Interest Accounts based on risk managed, multi-asset indices
AB All Market Index – The AB All Market Index is a dynamic investment strategy that combines global market exposure with a momentum-based approach to deliver stable growth across various market conditions. It aims to provide strong risk-adjusted returns by incorporating both growth and defensive assets from a diverse global universe. The index adapts its exposures across asset classes using a rules-based methodology, blending growth assets like developed market equities with defensive assets such as global bonds. Specifically, it encompasses over 83% of developed equity markets, including U.S. large-cap and small-cap stocks, as well as stocks from Japan, the UK, Asia-Pacific, and the Eurozone. On the defensive side, it covers about 65% of global fixed-income markets, including bonds from the U.S., Japan, UK, and Germany.
Credit Period
Annual Point-to-Point Participation Rate
2-Year Point-to-Point Participation Rate
Annual Point-to-Point Enhanced Participation Rate
2-Year Point-to-Point with Enhanced Participation Rate
Dimensional US Foundation Index Interest Accounts – The Dimensional US Foundations Index is an investment strategy designed exclusively for use in fixed index annuities, specifically The Power Series of Index Annuities® offered by Corebridge Financial. It emphasizes small-cap, value, and high profitability stocks to pursue higher expected returns compared to the overall market, while incorporating a multi-asset approach that includes equities, fixed income, and commodities. The index adapts exposures across these asset classes using a rules-based methodology and aims to maintain a targeted level of volatility using Salt Financial's truVol® Risk Control Engine, which captures higher-frequency, intraday data for more responsive adaptation to market trends. However, this focus on controlling volatility may also cap the potential for higher gains.
Credit Period
Annual Point-to-Point Participation Rate
2-Year Point-to-Point Participation Rate
Annual Point-to-Point Enhanced Participation Rate
2-Year Point-to-Point with Enhanced Participation Rate
ML Strategic Balanced Index – The ML Strategic Balanced Index® is a hybrid index that seeks growth and risk management by actively allocating to equities, fixed income, and cash. The ML Strategic Balanced Index® provides systematic, rules-based access to the blended performance of the S&P 500® (without dividends), which serves to represent equity performance, and the Merrill Lynch 10-year U.S. Treasury Futures Total Return Index, which serves to represent fixed income performance. It embeds an annual index cost in the calculations of the change in index value over the index term. This “embedded index cost” will reduce any change in index value over the index term that would otherwise have been used in the calculation of index interest, and it funds certain operational and licensing costs for the index. To help manage overall return volatility, the Index may also systematically utilize Cash performance in addition to the performance of these two underlying indices. However, this focus on controlling volatility may also cap the potential for higher gains.
Credit Period
Annual Point-to-Point Participation Rate
2-Year Point-to-Point Spread
PIMCO Global Optima Index – The PIMCO Global Optima Index® is a quantitative, rules-based index designed to capture upside from a diverse array of global equity and U.S. bond markets. This innovative index focuses on equity for robust growth potential and embraces global diversification to enhance the set of opportunities available. It is crafted for total return potential, featuring no embedded index-level performance drag and no allowable leverage.
Credit Period
Annual Point-to-Point Participation Rate
2-Year Point-to-Point Spread
Index interest accounts based on equity market indices
Russell 2000 – The Russell 2000 Index is a widely recognized benchmark for small-cap stocks in the United States. It tracks the performance of approximately 2,000 of the smallest publicly traded companies in the Russell 3000 Index, representing about 10% of the total market capitalization of that broader index. While it has historically provided returns similar to large-cap indices like the S&P 500, the Russell 2000 often exhibits higher volatility and can diverge significantly from large-cap performance during certain economic cycles.
Credit Period
Annual Point-to-Point Participation Rate
S&P 500 Index – The S&P 500 Index is a widely recognized benchmark for the U.S. stock market, tracking the performance of 500 large publicly traded companies listed on American stock exchanges. It is a market-capitalization-weighted index, meaning larger companies have a greater impact on its value. The index covers approximately 80% of the total U.S. equity market capitalization and is considered one of the best representations of the overall U.S. stock market and economy.
Credit Period
Annual Point-to-Point with Cap rate
Annual Point-to-Point Performance-Triggered
2-year Point-to-Point Participation Rate
1-Year Fixed Interest Account
$100k or more – 4.50%
Less than $100k – 4.25%
Power Select Builder Rates and Costs
The earnings crediting formula
The earnings crediting formula is the most important part of almost any annuity discussion. It is important to know that we don’t simply get the index return credited to the annuity. There are a few rates and caps that the company has in place that affect earnings. These rates tend to change over time, and the updated rates can always be checked with the help of your advisor. The rates listed below are for information only (as of August 2024); please check the latest rates with your trusted financial advisor.
From the above, it should be noted that there are multiple types of rates across this annuity, and the rates are dependent upon the amount purchased (greater than or less than $100k).
With most fixed index annuities, you can allocate the money to one or more of the indexes listed above. At the contract anniversary date, the index performance is measured, and the interest rate is calculated using the applicable formula for the indexes selected. This annual reset means that the index performance is reset and re-measured at the next contract anniversary, and your account value is locked in.
Key terms are defined, and example calculations are given below:
Index Rate Cap: Maximum percentage of index performance that can be credited as interest over an index term. For example: 10% index change > 5% cap = 5% interest earned.
Participation Rate (PAR Rate): Percentage of index performance that is used to calculate interest. For example: 10% index change x 50% PAR rate = 5% interest earned.
Premium: Money used to purchase the annuity.
- Performance-Triggered: A flat or positive index return triggers the declared interest rate to be credited to the contract value. If the index return is negative, no interest is credited, but there will be no loss, and the contract value will remain the same. Suppose the change in the value of the index during a particular year is zero or positive. In that case, the declared index gain interest rate is multiplied by the option’s account value to determine the index interest credits. The declared interest rate is set at contract issue and applies for the entire withdrawal charge period. In this case, the performance-triggered rate for the S&P 500 Index is 7.00%. It means that if the S&P Index doesn’t go negative for a given 1-year period (even if the growth is 0% and not negative), the interest credited to the annuity will be 7.00% irrespective of the S&P 500 actual return.
2-year Point-to-point with Spread: The "spread" refers to a percentage subtracted from the gains of an index before interest is credited to the annuity. For example, if the index linked to the annuity grows by 6% and the spread is 2%, the interest credited to the annuity will be 4%. The spread is essentially a fee that allows the insurance company to manage risk and cover costs. Unlike caps or participation rates, which limit the amount of index growth you can earn, the spread reduces the growth by a set margin.
Enhanced Participation Rate (EPR): These accounts are available for an annual fee. You may receive higher interest credits in EPR accounts, but interest credits are not guaranteed. At the end of your contract's withdrawal charge period, if the total amount of EPR strategy fees exceeds the total interest earned in the annuity, the difference will be credited to your annuity.
Power Select Builder Plus Income Product Description
The Power Select Builder Plus Income is an FIA that provides the annuitant the opportunity to earn returns tied to a market index, without exposing them to the downside risks of the market (interest earned is never zero in flat or down markets). This plan may be particularly fitting for those nearing retirement, who have dual objectives of growing and preserving their retirement savings. For risk-averse investors seeking alternatives to bank CDs, indexed annuities offer a very good fit. Besides the regular features of Power Select Builder, the Select Plus version offers a paid Guaranteed Living Benefit Rider for an annual fee of 1.10% of the income base.
| Tenure | 10 Years |
|---|---|
Issue Age | 50 - 78 |
Minimum Initial Purchase Amount | $25,000 |
Withdrawal Charges | Withdrawals in excess of the Free Withdrawal Amount are subject to the following charges that decline over 10 years: 9-9-8-7-6-5-4-3-2-1-0% or 10-9-8-7-6-5-4-3-2-1-0% (applicable to: AK, CA, CT, DE, FL, MA, MN, NJ, ND OH, SC, SD, TX, UT, WA) |
Indexes | AB All Market Index, Dimensional US Foundation Index Interest Accounts, ML Strategic Balanced Index, PIMCO Global Optima Index, Russell 2000, S&P 500 Index |
Death Benefit | Greater of the annuity contract value or Minimum Withdrawal Value |
Free Withdrawals | After the first contract year, you can withdraw up to 10% of your contract value (based on your prior anniversary value) without incurring any company-imposed charges (see withdrawal charges) |
Cash Surrender Value | Greater of the contract value (adjusted if applicable) or the Minimum Withdrawal Value, if fully surrendered. |
Terminal Illness or Time of Need | Charges and Market Value Adjustments may be waived if diagnosed with a terminal illness, have extended care needs, confined to a nursing home or in an assisted living facility. Talk to your representative about restrictions/limitations that may apply. |
Riders | Guaranteed living benefit (GLB) for an annual fee of 1.10%. |
Minimum Withdrawal Value | 87.5% of premiums, growing at an annual rate as specified in the contract |
Power Select Builder Plus Income Product Policy
How does the Power Select Builder Plus Income Product work?
Any annuitant (maximum age at the time of policy issue: 78) can purchase this annuity with a minimum initial purchase amount of $25,000, and in return, will earn market index returns (calculated through a formula that we will discuss shortly), credited as per the chosen crediting period.
There are two ways to help provide growth in this FIA:
Earn interest based on your choice of indices:
Index Interest Accounts based on risk managed, multi-asset indices
AB All Market Index – The AB All Market Index is a dynamic investment strategy that combines global market exposure with a momentum-based approach to deliver stable growth across various market conditions. It aims to provide strong risk-adjusted returns by incorporating both growth and defensive assets from a diverse global universe. The index adapts its exposures across asset classes using a rules-based methodology, blending growth assets like developed market equities with defensive assets such as global bonds. Specifically, it encompasses over 83% of developed equity markets, including U.S. large-cap and small-cap stocks, as well as stocks from Japan, the UK, Asia-Pacific, and the Eurozone. On the defensive side, it covers about 65% of global fixed-income markets, including bonds from the U.S., Japan, UK, and Germany.
Credit Period
Annual Point-to-Point Participation Rate with Spread
2-Year Point-to-Point Participation Rate with Spread
Dimensional US Foundation Index Interest Accounts – The Dimensional US Foundations Index is an investment strategy designed exclusively for use in fixed index annuities, specifically The Power Series of Index Annuities® offered by Corebridge Financial. It emphasizes small-cap, value, and high profitability stocks to pursue higher expected returns compared to the overall market, while incorporating a multi-asset approach that includes equities, fixed income, and commodities. The index adapts exposures across these asset classes using a rules-based methodology and aims to maintain a targeted level of volatility using Salt Financial's truVol® Risk Control Engine, which captures higher-frequency, intraday data for more responsive adaptation to market trends. However, this focus on controlling volatility may also cap the potential for higher gains.
Credit Period
Annual Point-to-Point Participation Rate with Spread
2-Year Point-to-Point Participation Rate with Spread
ML Strategic Balanced Index – The ML Strategic Balanced Index® is a hybrid index that seeks growth and risk management by actively allocating to equities, fixed income, and cash. The ML Strategic Balanced Index® provides systematic, rules-based access to the blended performance of the S&P 500® (without dividends), which serves to represent equity performance, and the Merrill Lynch 10-year U.S. Treasury Futures Total Return Index, which serves to represent fixed income performance. It embeds an annual index cost in the calculations of the change in index value over the index term. This “embedded index cost” will reduce any change in index value over the index term that would otherwise have been used in the calculation of index interest, and it funds certain operational and licensing costs for the index. To help manage overall return volatility, the Index may also systematically utilize Cash performance in addition to the performance of these two underlying indices. However, this focus on controlling volatility may also cap the potential for higher gains.
Credit Period
Annual Point-to-Point Participation Rate
2-Year Point-to-Point Spread
PIMCO Global Optima Index – The PIMCO Global Optima Index® is a quantitative, rules-based index designed to capture upside from a diverse array of global equity and U.S. bond markets. This innovative index focuses on equity for robust growth potential and embraces global diversification to enhance the set of opportunities available. It is crafted for total return potential, featuring no embedded index-level performance drag and no allowable leverage.
Credit Period
Annual Point-to-Point Participation Rate
2-Year Point-to-Point Participation Rate
Index interest accounts based on equity market indices
Russell 2000 – The Russell 2000 Index is a widely recognized benchmark for small-cap stocks in the United States. It tracks the performance of approximately 2,000 of the smallest publicly traded companies in the Russell 3000 Index, representing about 10% of the total market capitalization of that broader index. While it has historically provided returns similar to large-cap indices like the S&P 500, the Russell 2000 often exhibits higher volatility and can diverge significantly from large-cap performance during certain economic cycles.
Credit Period
Annual Point-to-Point Participation Rate
S&P 500 Index – The S&P 500 Index is a widely recognized benchmark for the U.S. stock market, tracking the performance of 500 large publicly traded companies listed on American stock exchanges. It is a market-capitalization-weighted index, meaning larger companies have a greater impact on its value. The index covers approximately 80% of the total U.S. equity market capitalization and is considered one of the best representations of the overall U.S. stock market and economy.
Credit Period
Annual Point-to-Point with Cap rate
Annual Point-to-Point Performance-Triggered
2-year Point-to-Point Participation Rate
1-Year Fixed Interest Account
$100k or more – 1.95%
Less than $100k – 1.70%
Rates and Costs
The earnings crediting formula
The earnings crediting formula is the most important part of almost any annuity discussion. It is important to know that we don’t simply get the index return credited to the annuity. There are a few rates and caps that the company has in place that affect earnings. These rates tend to change over time, and the updated rates can always be checked with the help of your advisor. The rates listed below are for information only (as of August 2024); please check the latest rates with your trusted financial advisor.
From the above rate chart, it should be noted that there are several types of rates across this fund, and the rates are dependent upon the amount purchased (greater than or less than $100k). An index rate cap applies for the S&P 500.
With most fixed index annuities, you can allocate the money to one or more of the indexes listed above. At the contract anniversary date, the index performance is measured, and the interest rate is calculated using the applicable formula for the indexes selected. This annual reset means that the index performance is reset and re-measured at the next contract anniversary, and your account value is locked in.
Key terms are defined, and example calculations are given below:
Index Rate Cap: Maximum percentage of index performance that can be credited as interest over an index term. For example: 10% index change > 5% cap = 5% interest earned.
Participation Rate (PAR Rate): Percentage of index performance that is used to calculate interest. For example: 10% index change x 50% PAR rate = 5% interest earned.
Point-to-point with Spread: The "spread" refers to a percentage subtracted from the gains of an index before interest is credited to the annuity. For example, if the index linked to the annuity grows by 6% and the spread is 2%, the interest credited to the annuity will be 4%. The spread is essentially a fee that allows the insurance company to manage risk and cover costs. Unlike caps or participation rates, which limit the amount of index growth you can earn, the spread reduces the growth by a set margin.
Point-to-point with Participation Rate and Spread: In a "participation rate and spread" strategy within a fixed indexed annuity, two key components influence how much interest is credited: the participation rate and the spread. The participation rate dictates the percentage of the index's growth that is credited to the annuity. For example, if the participation rate is 80% and the index grows by 10%, only 8% is credited. After applying the participation rate, a spread—essentially a fee—is subtracted from the credited interest. So, if the credited gain is 8% and the spread is 2%, the final credited interest would be 6%. Ideally, you should never opt for a strategy that applies both participation rate and spread.
- Performance-Triggered: A flat or positive index return triggers the declared interest rate to be credited to the contract value. If the index return is negative, no interest is credited, but there will be no loss, and the contract value will remain the same. Suppose the change in the value of the index during a particular year is zero or positive. In that case, the declared index gain interest rate is multiplied by the option’s account value to determine the index interest credits. The declared interest rate is set at contract issue and applies for the entire withdrawal charge period. In this case, the performance-triggered rate for the S&P 500 Index is 7.00%. It means that if the S&P Index doesn’t go negative for a given 1-year period (even if the growth is 0% and not negative), the interest credited to the annuity will be 7.00% irrespective of the S&P 500 actual return.
Enhanced Participation Rate (EPR): These accounts are available for an annual fee. You may receive higher interest credits in EPR accounts, but interest credits are not guaranteed. At the end of your contract's withdrawal charge period, if the total amount of EPR strategy fees exceeds the total interest earned in the annuity, the difference will be credited to your annuity.
Surrender Charges
Should your needs change unexpectedly, and you need to take an excess withdrawal (a withdrawal that is above the free withdrawal amount available in a given contract year), you may be entitled to access additional monies; although certain charges and penalties may apply. Any amount withdrawn more than the remaining free withdrawal amount is subject to a Surrender Charge. Below is the Surrender Charge schedule:
| Completed Contract Years | 10 | 9 | 8 | 7 | 6 | 5 | 4 | 3 | 2 | 1 |
|---|---|---|---|---|---|---|---|---|---|---|
Surrender Charge | 9% | 9% | 8% | 7% | 6% | 5% | 4% | 3% | 2% | 1% |
Applicable to AK, CA, CT, DE, FL, MA, MN, NJ, NV, ND, OH, SC, SD, TX, UT & WA:
| Completed Contract Years | 10 | 9 | 8 | 7 | 6 | 5 | 4 | 3 | 2 | 1 |
|---|---|---|---|---|---|---|---|---|---|---|
10% | 9% | 8% | 7% | 6% | 5% | 4% | 3% | 2% | 1% |
Riders
The Power Select Builder Plus Income offers the Lifetime Income Plus Flex and Multiplier Flex Guaranteed Living Benefit Riders.
Lifetime Income Plus Flex
For an annual fee of 1.10%, the income base (prior to lifetime withdrawals) will grow by 8.5% every year. An example of how this may work is shown below (from Corebridge literature).
Lifetime withdrawal rates are based on the age of the first withdrawal and marital status at that time (up to 9.3%). The rates are tabulated below (Note that the rates are subject to change; verify with your salesman to get the latest rates):
Lifetime Income Plus Multiplier Flex
For an annual fee of 1.10% of the income base, annual income credits match (x1) the interest earned (after starting lifetime income) and can last until the earlier of 95 or the depletion of your contract. Prior to activation, the rider offers annual income credits of 2x the interest earned. Once lifetime withdrawals are started, the rate drops back to 1x. An example of how this may work is shown below (from Corebridge literature).
Lifetime withdrawal rates are based on the age of the first withdrawal and marital status at that time (up to 8.55%). The rates are tabulated below (Note that the rates are subject to change, verify with your salesman to get the latest rates):
Key Definitions
Income Base: The value on which guaranteed withdrawals and the annual rider fee are based; it is not part of the contract value or death benefit. The income base is initially equal to the first eligible premium and is increased each time an eligible premium is made. It is also adjusted for withdrawals (prior to activation) and excess withdrawals (after activation). On each contract anniversary, your income base may increase with any available income credits.
Income Credit: An amount that may be added to your income base. It is not a rate of return and is not added to the contract value. It is calculated as a percentage of the income credit base.
Income Credit Base: A component of the rider that is used solely to calculate the income credit.
Enhanced Income Benefit (Confinement Rider): This feature is automatically included at no additional fee. From Corebridge literature, “Beginning on the second contract anniversary, it provides the ability to increase your income up to 200% on or after GLB rider activation, if you are confined to a qualified facility such as a nursing home for at least 90 days. This enhanced income is not treated as an excess withdrawal…The Enhanced Income Benefit is available for up to five contract years or the depletion of the contract value.” Restrictions apply, be sure to check with the salesman or representative for more details.
Interest Credited Rate: The rate of interest that you earn on your interest crediting options. It is adjusted for contract provisions such as rate caps that may reduce or limit the amount of interest earned. The rate will differ each year and may be zero.
What Makes These Products Stand Out?
The Power Select Builder Plus Income does offer a somewhat unique optional rider to increase potential returns. But keep in mind that this rider does come with a substantial fee, and if you opt for this rider, you get relatively lower participation and cap rates compared to the standard product.
Corebridge Financial seems to be doing well as a company and has relatively high ratings.
- Plenty of Index accounts and strategies to choose from
Relatively flexible withdrawal options
What I Don't Like
This has a relatively high initial purchase amount ($25k vs $10k for many).
The rider charge is relatively costly under the Protector Plus plan
Relatively high surrender charge compared to some similar products.
Substantial low cap rates and participation rates for the Power Select Builder Plus Income version of the annuity
Conclusion
With the advancement in healthcare and technology, the average American today is living longer than ever. At the same time, fewer and fewer companies offer traditional pension plans. The type of plans that can form a solid foundation for a retirement strategy. Thus, it is important to have a steady stream of guaranteed income (aside from Social Security). This not only helps you mitigate the risk of outliving your income but diversifies your portfolio to help smooth the volatility of retirement planning.
The Power Select Builder and Power Select Builder Plus Income annuities are products that, for the right individual or couple, can offer a more secure source of income. And judging by the most recent annual reports, Corebridge Financial is on a solid foundation. In the opinion of this author, these would be good insurance products to investigate if in the market for an index annuity.
We understand that choosing the right annuity can be a complex decision, influenced by a myriad of factors such as market conditions, individual financial goals, and evolving life circumstances. To better serve you in this critical decision-making process, we regularly conduct in-depth reviews of various annuity products, examining features, costs, and potential benefits. To delve deeper into our extensive reviews, click here.
Annuities are not direct investments in stocks or mutual funds. They are life insurance products backed by the claims paying ability of the issuing insurance company. Be sure to read all the fine print and make sure you are aware of all the fees, charges, commissions and potential taxes that could be incurred. Make sure to read reviews of the company and salesman also and ask for references of previous annuitants.
This is a review of this insurance product and does not serve as specific or individual financial advice. Please speak with a qualified financial advisor prior to purchasing any annuity product.