Truth about Annuities: Should You Hate Them or Love Them?

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"I hate annuities!" vs. "Annuities are the safest way to meet your retirement goals..."

It seems everyone has an opinion about annuities. I'm guessing many of you have seen ads on this exact topic. Some ads promise guaranteed 8% returns while others emphatically say you should never own an annuity.

So who's right?

Annuities are a broad and largely misunderstood asset class.

Many retirees invest in annuities for safety. But not all annuities protect your money.

Many retirees invest in annuities for income. But not all annuities offer income. (This is a good thing!)

Many retirees hate annuities because of their high costs. But not all annuities charge a fee.

In this training, we try to demystify the world of annuities.

We cover:

1. The #1 Reason Retirees Purchase Annuities and Does that Reason Make Sense for You?

2. The Do's and Don'ts of Annuities: Which Annuities Should You Stay Clear of At All Costs?

3. Why Some People "Hate Annuities" and Why They are [Partially] Right To...

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Always remember, "You Don't Need More Money; You Need a Better Plan"

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I think you guys need to refresh for 2023 given whats going in the markets with MYGAs over 5%. Eric is always putting out fresh content.

kinggeek
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I'd love to see an update on this for 2023

MelissaGrcich
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Belief is a part of all investment ..

charleshughes
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Excellent explanation and comparison of annuities. Can you update and revisit this base on todays internet rate environment. Thank you.

pcash
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Is there a spread, cap, participation rate, surrender charges? Also, no dividends???

trackguy
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Green Money example didn't include any information how it was growing and what the set of assumptions were.

kinggeek
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I NEED A 16 POINT INSPECTION PLEASE. THX ROB FUSCO

TropiscapesDesignandBuilders
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I find these discussions on "annuities are bad", better to invest for growth, glaze over the fact that a 90 yr old may not want to hand over money control to a younger family member so they can discuss with a financial planner on their portfolio. Is this family member and financial planner that great ? I lived with my grandma as a teenager (inflation adjusted pension), I for sure would not have fathom seeing her on a computer reviewing her portfolio statements at 90...

serialmigrant
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2015 - 2018 is incorrect based on factset data on the examples Eric gave - geesh

kinggeek