How to Explain Annuity Basics
January 29, 2024 by Heather Lindsley
The lack of general information about annuities can make them seem intimidating, pushing clients away from expressing interest.
Even if clients are interested in expanding their portfolio, they may be hesitant to look into their annuity options.
Once you’ve researched and determined that an annuity would be a valuable addition to your client’s portfolio, educate your client on the benefits of adding one to their portfolio.
Introducing new concepts and educating clients on the full picture of their investment options helps them trust your expertise.
Wink’s Moore on the Market: “Meaning, annuities are either fixed and immediate, or variable and deferred.”
And what about indexed annuities or structured annuities?
I also don’t think you can determine what type of annuity is right for someone, in a vacuum. Things like investment experience, total assets, and other factors need to be taken into consideration.
While the spirit of this article is appreciated, I can’t help but be critical of it. – sjm