There are many reasons to consider buying a Fixed Indexed Annuity, but the most appealing is that FIAs are considered a safe way to invest. They are safe because they are insurance products backed by highly rated and state regulated insurance companies guaranteeing specific benefits during the length of the annuity contract. The initial investment is protected because earnings are based on the market index, but not directly invested in the stock market. Your money will never be lost or go down in value.

When you purchase a Fixed Indexed Annuity, you will receive a guaranteed minimum rate of return and tax-deferred growth. Funds can be accessed at any time and will only be taxed when withdrawn. FIAs provide income in retirement, and typically include a death benefit based on the contract value at the time of passing paid to named beneficiaries. Buying an FIA isn’t expensive as most insurance companies have a $1000 to $5000 minimum balance requirement.

If you have questions about Fixed Indexed Annuities, contact Alloy Wealth Management. FIAs can be complex but are a great tool in retirement planning which is why we sometimes recommend them as part of a balanced portfolio. We will be happy to help you make informed decisions so you can achieve your financial and retirement goals. Call 800-689-3935 to speak with one of our financial advisors.