More investors are showing interest in annuity products, according to Insurance Networking News’ Bill Kenealy. His article “Insurers Still Need To Convince Skeptical Retirees” summarizes survey results from the Insured Retirement Institute (IRI). Life insurers still have to contend with an overall lack of trust for financial products and institutions in general after the past few years of market turmoil. Even so, investors are not only interested in, but buying annuity products. Pre-retirees and retirees who are looking to lower or eliminate the risk in their portfolios look to annuities to secure guaranteed income to cover basic living expenses.
Even though annuity rates are lower than the returns some other investments provide, the security of an annuity has drawn many investors in. The IRI’s survey showed that more investors are looking into and meeting with financial advisors than in the past even though they don’t always trust the advice they are given. It’s hard to find anyone right now who isn’t skeptical of financial advice or financial products, but doing your research is the best way to combat any fears of investing in the wrong product or losing your money. Long-term and conservative investments like annuities are perfect for many investors right now.