Annuity FYI Blog

In the PR Web press release “Annuity FYI Endorses Secondary Market Annuities, With Rates as High as 7.75%,” secondary market annuities are said to be better investments than most fixed indexed annuities.  In a market with current low interest rates, they rival traditional fixed annuities, equity linked CDs, and bonds.  The one-time investment usually ranges from around $40,000 to $500,000 and can get an interest rate around 7.75% currently.  The investor can receive their payments periodically or in a series of lump sum payments over time from established and dependable companies like John Hancock, MetLife, and Prudential.

A current $50,000 investment in a secondary market annuity from Transamerica would repay an investor $300,000 over the course of 24 years, yielding 7.75%.  There is a comparison table and access to expert help on this Annuity FYI website.  You can also sign up for weekly emails to inform you of the most recent good investments.  Many investors don’t even know what secondary market annuities are, even though they can be such a valuable investment product.  Speak with an expert via phone or internet and see if this investment works in your portfolio.

John Hancock Variable Annuities has a new marketing campaign called ‘Retirement Talk,’ according to a company press release.  The program hopes to connect advisers and clients to talk about important retirement issues.  Investors who want to make sure they have the best security in their retirement portfolio will appreciate this easy way to connect with their advisers whether they want to discuss fixed annuity rates or some other retirement product.  ‘Retirement Talk’ is available online in video or CD form and is aimed at educating clients on annuities and the importance of their guaranteed lifetime income options.

Many investors ignore annuities because they think the product is too complex and would not be valuable to them.  ‘Retirement Talk’ simplifies variable annuities and fixed annuities by using clear terms that investors not only understand, but to which they relate.  John Hancock believes that this straightforward program will help advisers get more business as clients realize the importance of guaranteed income in retirement.  ‘Retirement Talk’ also offers advisers a simplified administrative process so those who may have avoided selling annuities now have more support.  Authorized advisers can offer the program to their clients and it can be found on John Hancock’s website.

According to “John Hancock Annuities Adds E-Delivery Options to Award-Winning Website,” John Hancock Annuities’ electronic delivery options aim to help advisers more closely monitor their clients’ accounts.  The company’s website has already won awards for ‘Public Home Page Navigation’ and ‘Client Account Information’, among other things.  John Hancock Financial is one of the United States’ largest insurers, offering fixed and variable annuities, life insurance, mutual funds, long term care insurance, 401k plans, and other types of business insurance.  They are a unit of Manulife Financial Corporation out of Canada.

Since financial advisers are constantly looking for better ways to monitor their clients’ accounts to make any necessary changes, these new e-delivery options are regarded highly.  One of the options is “Email Alerts”, where advisers will get notification the day after financial transactions occur.  With “Recent Activity”, advisers can look at the most recent week’s business transactions.  They can be set up easily by financial advisers and can be customized by different types of transactions.  Payments, withdrawals, changes in fixed annuity rates, exchanges, and fees can be tracked online through John Hancock’s website.  These new e-delivery features help the financial industry move forward.

In “Insurers Retool Annuity Offerings” by Leslie Scism of the Wall Street Journal, Scism describes how insurance companies are making changes to the variable annuities they offer to lower their risk while maintaining the products’ appeal to consumers.  The guarantees previously offered are the issue worrying many insurance companies.  While sales of variable annuities helped dozens of insurers grow exponentially over the past decade, the drop in the stock market brought the risk of these guarantees to the forefront.  Insurance companies have prepared their balance sheets for the impending lifetime income guarantees that will become payable based on the stock market’s high in 2007.  Two companies had to do this by taking federal bailout money.

But variable annuities are becoming popular again as their sales increased last quarter for the first time in over a year.  The new products are simpler but still offer most of the great benefits variable annuities are known to have.  Hartford has what they call a “derisked” VA offering and MetLife is coming out with their “Simple Solutions” product.  Although the products may have a higher cost to benefit ratio than variable annuities of the past, consumers are still receiving great annuity rates and benefits.  Consumers want to buy their annuities from companies that will stand the test of time and these changes are what will keep the insurance companies around.  Manulife’s John Hancock unit offers “AnnuityNote”, which has been on sale for a few months and is doing well while offering relatively low costs compared to their 5% and above lifetime annual payouts.  As advisers and consumers realize that these changes will benefit them with lifetime guaranteed income from an insurance company that will be around for their lifetime, variable annuities are sure to be purchased even more.

In a company press release entitled “John Hancock Expands Fixed Annuity Portfolio With New JH Signature Product,” the new JH Signature fixed annuity was introduced by John Hancock Financial’s Fixed Products Group.  The product is a guaranteed annuity with modifications.  JH Signature combines multiple ‘rate for term’ options, strong interest rates that are guaranteed, and eldercare support systems to help consumers manage.  John Hancock Financial is one of the top rated insurance companies and they believe that with that support and the benefits of safety, security, competitive rates, and tax deferred growth, JH Signature is a top of the line product offering.

Investors can select guarantee periods of 3, 5, 7, or 10 years and have a matching withdrawal charge schedule.  $25,000 is the minimum investment, but the interest rates do increase with additional investment levels.  Make a 401k annuity transfer when you retire and you could lock in a highly competitive interest rate.  During the guarantee period, investors can take withdrawals up to the amount of the last year’s interest without any penalty.  The Family Resource Benefits are offered with the JH Signature product with no extra cost involved.  These include a wealth of information on professional health and lifestyle for consumers looking for programs, referrals, and even discounts relating to eldercare situations.  The JH Signature fixed annuity is a product that may have the benefits to best suit your investing needs.