Equity-Indexed Annuities – A Complex Choice

 In Annuities

One of the investment products that has been recieving increased attention in the last several years due to market volatility and current low interest rates are equity indexed annuities.  These products are “sold” to people as a way to participate in the stock market without the risk of losing money.  In theory, this sounds like a no lose proposition but high fees and large amounts of complexity make it difficult if not impossible to know how well these products will perform over time.  FINRA, the regulatory body for the brokerage industry, has published an “Investor Alert” in this area to advise investors about the difficulties of analyzing these products.  Please click on the following link to read the full article:

http://www.finra.org/investors/protectyourself/investoralerts/annuitiesandinsurance/p010614

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