Annuities Can Help Your Portfolio Stay Afloat. Here Are the 100 Best Ones Right Now.
July 22, 2020 by Karen Hube
As the stock market tanked, rebounded sharply, and then settled into a pattern of volatility, the vulnerability of Americans’ retirement savings has been laid bare. Many investors who dumped stocks during the March market meltdown are still sitting on the sidelines with diminished portfolios.
Low yields, meanwhile, make it impossible to rely on a sufficient income stream from traditional fixed-income sources. And hardships stemming from the coronavirus pandemic have forced many to dip into long-term savings, reducing the chance of retiring on time, or at all.
For nervous investors looking to tuck some guarantees into their portfolios against this backdrop of uncertainty—whether it be downside protection, a fixed rate of return with upside potential, or a steady income stream for life—more independent financial advisors (who don’t get paid to sell products) are recommending a product they once eschewed: annuities.
Wink’s Note: What is “best” varies in every case!
While the payout may be higher on one annuity, the purchaser may want a return-of-premium option. And while another annuity may have a greater paycheck-for-life, there may not be an attractive death benefit on the contract.
Annuities are relatively complex. This is why one should have a professional advising them on the purchase of an annuity. Goals, needs, objectives, and experience all need to be taken into consideration, when purchasing these contracts that guarantee a paycheck for life. -sjm