Scott and Chairman Neal for their willingness to educate their Congressional peers and the American public about ways to address retirement challenges and for their tireless efforts to enact legislation that enhances access to fixed annuities
as insurance against living too long," said DiVencenzo.
"As interest rates rise, we see growing demand for fixed annuities
," commented Myles Lambert, chief distribution and marketing officer, Brighthouse Financial.
Low interest rates reduced the spread between what Ameriprise pays holders of fixed annuities
and what the company can earn on its own investments.
Traditional Fixed Annuities
: These products guarantee a minimum rate of interest during the time the account is growing, and typically guarantee a minimum benefit upon annuitization.
"Despite lower than expected sales in fourth quarter (down 13 percent from prior year), fixed annuities
held on to break its 2015 sales record.
"Due to downward pressure in the equity markets, there has been a flight to safety to fixed annuities
," Beacon Research President Jeremy Alexander said.
30| There are also two subtypes of fixed annuities
: traditional fixed and indexed.
As of January 2014, Allstate plans to begin offering the following ING USA fixed annuities
Yes, fixed annuities
, both "declared rate" and indexed, can be valuable tools for consumers (boomers included, perhaps even boomers especially).
Annuities had a somewhat mixed year, with variable and indexed annuities taking off while fixed annuities
are available through highly rated, healthy insurance companies and offer a lifetime of income or a stable place where assets can grow on a tax-deferred basis and receive a predictable interest rate--a win-win in today's uncertain economy.