Annuity sales tumble but drive mega deals and RIA partnerships
February 17, 2021 by Tobias Salinger
And, in addition to the billions in sales among new RILAs launched in 2020 by issuers such as Prudential Financial, earlier entrants like Equitable, Brighthouse, Allianz and Lincoln Financial Group are raking in purchases of the products, says Sheryl Moore, CEO of annuity research firm Wink. RILA sales surged by 38% year-over-year in 2020 to $24 billion.
“There’s a lot of opportunity for companies to differentiate their products from their peers,” she says. “The accumulation story is very strong, and they can’t really have an accumulation story with a product like fixed annuities right now.”
The structured products remain “an immature product line,” according to Moore, who notes writers have only just begun changing the index periods and crediting rates they offer in the products. Just two structured products have income riders, while 56 others don’t, she says.