Why Do Clients Really Ignore Advice on Annuities?
January 23, 2024 by John Manganaro
Arecent paper and summary brief published by two experts at the Center for Retirement Research at Boston College has sparked a debate about financial advisors being able to steer clients toward guaranteed income annuities in the retirement planning process.
Wink’s Moore on the Market: I’m with David Blanchett here.
I doubt that advisors are being ignored when they make annuity recommendations.
And to Kelby Meyers, CPFA®, AIF‘s question, “Do clients need better longevity literacy?,” the answer is YES!
But too, I agree with Blanchett that many advisors who are compensated based on assets under management can’t necessarily get paid easily on annuities, and feel that making such recommendations can reduce the pool of assets to manage.