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variable annuity
(redirected from Variable annuities)

   Also found in: Financial 0.01 sec.
variable annuity
n.
An annuity in which payments to the annuitant vary according to the changing market value of the underlying investment.


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Most variable annuities charge asset based insurance fees such as a mortality and expense (M&E) fee.
Variable annuities actually use the amount invested to purchase mutual funds, index funds, and other investment vehicles that fluctuate with the markets.
[ILLUSTRATION OMITTED] Variable annuities registered $184 billion in sales, a 15% increase over sales in 2006.
 
 
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