Joe Edgeworth

The Edgeworth Insurance Group

Fixed Indexed Annuities, Why I Believe They Are The Best Retirement Planning Option Available

When it comes to our investments, we all want to see them grow. But sometimes, the markets can be volatile, and we can be exposed to losses. While it's normal to feel concerned about volatility, it's important to know that options to reduce market volatility are available.

Often, I recommend Fixed Indexed Annuities (FIA) as a viable option to grow your money while reducing market volatility. Unlike traditional fixed annuities, which earn interest at a set rate, FIAs may earn interest based on the performance of underlying indexes, such as the S&P 500® Index. A FIA offers an opportunity for greater yield than a traditional fixed annuity.

Let's explore some of the other benefits of this investment option.

Principle Protection

FIAs offer the potential to earn interest based on a percentage of market gains without exposure to market risk. Annuities have a "floor" that ensures you will never lose account value even if the market goes down. In 2008; a financial crisis led us into the deepest recession since the end of the second world war. Annuity owners had no market exposure and didn’t lose a dime.

Lifetime Income

In addition, FIAs offer the ability to convert an annuity to income, income that can last any time period, even a lifetime. Most FIAs allow your spouse to be included in the income benefit, it will pay for as long as you both live. In the event of premature deaths, unused funds will be received by their named beneficiary. Peace of mind comes from knowing that you and your loved ones are financially secure.

Good Rates of Return

A portfolio including FIAs is more resistant to the volatility of a bear and bull market. Each year, any gain is locked in to the account value and becomes part of the guaranteed base. In the event of a down market, 100% of your funds are exempt from exposure to loss.

Tax Benefits

Tax benefits include tax-deferred growth. In the event your annuity remains untouched, there is no annual tax liability. Your earned interest grows tax-deferred.

Nursing Home Care Riders

Many annuities offer a long-term care rider as an optional benefit. The rider can help offset expenses incurred when nursing home care is required. Most contracts allow immediate access to the benefits, and if you end up not needing it, you may be able to pass it on to your beneficiaries.

If you are anxious about your important retirement funds and are interested in creating predictable lifetime income, take the first step in protecting your assets with Fixed Indexed Annuities today.

Joe Edgeworth picture

Joe Edgeworth

The Edgeworth Insurance Group

2715 Spring Valley Rd.

Lancaster, Pennsylvania 17601

(800) 824-8609

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