Retirees are thinking of annuities the wrong way — and it may trip them up, advisors say
April 30, 2026 by Greg Iacurci
Wink’s Moore on the Market: Scott Witt is on-the-money in his observation of annuities:
“Americans have a hard time embracing annuities as a form of [longevity] insurance, and they keep thinking about it as an investment.”
My observation is that a large portion of financial planners compare annuities to investments. It seems that this may be being translated to consumers.
When in reality, annuities should be considered “insurance” rather than an “investment.” They provide a guaranteed income for the rest of one’s life. Can an “investment” provide the same insurance?
No.
Shoutout to my homie, Gregory Iacurci on this article- (you never call, you never write…) -sjm
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People saving for retirement have a common goal: Build an adequate nest egg to prevent running out of money in old age.
One way for retirees to do that is via a guaranteed stream of income they can’t outlive — one that’s deposited into their bank accounts every month for the rest of their lives, like a paycheck.
