Annuity FYI is devoted to helping investors protect their retirement nest egg. Traditional wisdom of retirement planning is to create a balanced portfolio of stocks and bonds, coupled with various disciplines for managing your money. But in many cases, this balanced approach leaves the equity portion of your retirement investment exposed to risk, while the fixed portion yields low returns, especially after fees.
An alternate approach to retirement planning is to protect your downside on the equity portion of your portfolio, an approach in which annuities play a primary role. Secondary Marketplace annuity investments in particular can create what we believe are superior returns and superior safety.
Continue reading to learn exactly how Secondary Market Annuities work, how much they cost, whether they’re right for you, and if so, how to find one that fits your financial goals.
10 Facts to Know
- Secondary Market Annuities (SMAs) can provide above average returns for the fixed income portion of a balanced portfolio.
- SMAs can be purchased with pre-taxed or after-taxed funds.
- SMA payments are secure & generally backed by a highly rated life insurance company or State Lottery Commission.
- SMA payments are contractually promised, not projections.
- SMAs have no hidden administrative fees.
- An SMA provides payments to your family even after you pass on.
- SMA transactions are not widely known to the general public nor are they easily accessible to individual buyers.
- All SMAs are scrutinized by a court of law and require court approval.
- The payment stream is paid directly to you by a US-based Insurance Company with a credit rating that is generally AAA to A rated by Standard and Poor’s, or by a State Lottery Commission.
- SMAs are monetized by US Dollars. Foreign Buyers may be subject to currency exchange risk.
Secondary Market Annuity Tutorial – 10 Facts to Know