My adviser thinks this is the best option for me but I'm not sure. I think this is the best option for him to make the most $ off of me. I just want it to grow with as little fees as possible.
2006-06-27 06:57:17 · 6 answers · asked by Sparkeleyes 1 in Business & Finance ➔ Investing
I used to be a financial rep....yes annuities are actually an insurance product which gives the rep more commissions, but they can also be a great product as well....I liked Protective annuities if he has them, low fee's, good fund selection....also remember that they work better with a larger sum of money, but make sure he explaines them fully to you before you invest...
2006-06-27 07:16:21 · answer #1 · answered by Anonymous · 0⤊ 0⤋
This is a complicated question. Some variable annuities offer additional benefits such as minimum withdrawal guarantees no matter how the investments perform.
Ask your advisor to explain why this is the best solution to YOUR situation. If you don't think that this is the best solution, visit with another financial professional.
Additional comment to Kevin
A Driver in Phil Mickelson's hands on the 18th at Wingfoot with a 1 stroke lead is a bad idea too. Should we ban golf drivers?
2006-06-27 07:43:13 · answer #2 · answered by insuranceguytx 5 · 0⤊ 0⤋
Annuities are a big commission product for salespeople. Some of the more recent ones are less bad than they were in the past, but I am still not a fan. It never hurts to talk to a few different investment advisors from different parts of the industry.
2006-06-27 08:30:06 · answer #3 · answered by Anonymous · 0⤊ 0⤋
Clark Howard, a popular consumer radio guy, absolutely hates variable annuities. If he had his way, people selling those, especially as retirement products, would be imprisoned.
All too often, they charge a fortune in commissions and actually harm you tax-wise.
The SEC issued a report about the problems with variable annuities. If someone is trying to sell you one, they are not trying to benefit you, they are trying to benefit themselves, and you do not want to trust that financial advisor. Listen to your instincts!
2006-06-27 09:31:53 · answer #4 · answered by Uncle Pennybags 7 · 0⤊ 0⤋
They used to be almost solely an insurance product-so a lot of upfront and ongoing commissions for the insurance salesman. Heck, CDs' are going through the roof-Citibank ad-5%, E-Trade ad 5 3/4%.
2006-06-27 07:14:42 · answer #5 · answered by Pup 5 · 0⤊ 0⤋
Compare rates free
2015-02-11 16:27:29 · answer #6 · answered by Mikaela 1 · 0⤊ 0⤋