Provided rates can continue to rise gradually, we may see fixed annuities
offer higher crediting rates and more generous payouts on both fixed and variable products offering lifetime income.
The insurer now provides fixed index annuities, fixed annuities
and a fixed annuity with long-term care benefits via multiple distribution networks, as well as variable annuities sold exclusively through broker-dealers.
Sales of all types of fixed annuities
soared well above first-quarter 2013 levels, achieving year-over year sales growth ranging, depending on the product, from 38 percent to nearly 155 percent.
Average credited rates increased 40 basis points during 2013 and, for the first time, there were year-over-year increases in sales of all types of fixed annuities
The National Association for Fixed Annuities
(NAFA) has been and will continue to be a strong advocate for fixed annuities
, both in Washington, D.
Annuities had a somewhat mixed year, with variable and indexed annuities taking off while fixed annuities
seller of fixed annuities
in the United States, Beacon Research said.
Risk: A distinction between variable and fixed annuities
is investment risk.
Lipper, a Reuters company that specializes in mutual fund analysis and commentary, further indicates that even the income-producing annuities that are most comparable to fixed annuities
charge an average 1.
The extremely risk-averse can consider government-backed investments such as savings bonds, treasuries and municipal bonds, or certificates of deposit, money market deposit accounts, credit union accounts and fixed annuities
If the supplemental promise is a defined benefit, fixed annuities
are purchased based on the benefit accrued at the time of purchase.
NAFA, the National Association for Fixed Annuities
, is a national trade association exclusively dedicated to promoting the awareness and understanding of fixed annuities
- including income, declared rate, market value adjusted and indexed.