What is an Annuity?

The income provided by an annuity is a potential way to pay for your retirement. If you select the right type of annuity, you could even be provided with an income for life.

With, for example, a fixed indexed annuity (FIA), you can receive an income for life, while the issuing insurance company keeps your savings protected. Your money won’t be at risk since the annuity isn’t dependent on the stock market. Additionally, an FIA may allow for a reasonable rate of return** over time. What is an annuity? It’s a way to secure your financial future.

With so many options to choose from, how can you tell what's right for you?

Creations Financial can help. We take the time to learn about your individual goals, and to educate you on all your options. We’re transparent about things like fees and the various risks of products we offer. We take a balanced approach to helping you determine your retirement strategy.

Myths Regarding Annuities

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You may have heard some people claim annuities are bad. However, many of these opinions are caused by misinformation about what an annuity is. An important point, however, is that not all annuity products are the same. It depends on what type of annuity you have, and what your risk tolerance is. Some annuity products put your money at risk in the stock market. Retirees generally look for products that protect* at least some of their money, and provide a reasonable rate of return.** Some annuity products can provide both of these benefits. At Creations Financial, we focus on products like these that can help you keep your money safe. We provide our clients with annuity income options that support their individual needs and goals, and work with trusted and reliable insurance companies. If you’re looking to both secure your money and get a reasonable rate of return**, contact us.

Get Informed

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We provide complimentary dinner seminars, where we explain how annuities work and answer questions like “What is an annuity?” In addition, we can teach you about other retirement income options, and how they differ from annuities. Other ideas we discuss at these events include:

Sign up for one of our seminar events today. Additionally, you could call us to schedule a one-on-one meeting. What is an annuity? Is it the right option for you? We can talk about this with you.

Annuities in the Past Versus Now

In the past, there weren’t as many options for retirees in terms of annuities. There were some products that provided security of principal, but came with low rates of return. Others came with a better rate of return, but came with high risk. You could only have one of these benefits, and as a result, neither option was great. Thankfully, there are now more options available to you.

Within the last decade, lots of things have changed in the annuity industry. For example, you can now purchase annuity products that offer income for life. There are annuities that come with the benefits of both safety of principal and a reasonable rate of return**. You can also select from additional benefits such as beneficiary options or income riders. You may be able to access the funds for other expenses. All and all, the landscape of annuities has changed. Contact us today, to learn how this new information may be helpful to you and your financial retirement strategy.

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