Annuity GuidesOur fixed annuity guides provide in-depth information on the different types of annuity available. Whether you are looking to purchase a fixed, fixed indexed or immediate annuity, these guides have it covered.
The complete guide to fixed annuities. Compare the different types of annuities available. Learn about their pros and cons, how they work, who should invest in them, and how to find the best ones.
Fixed Annuity Guides
- Overview of Fixed Annuities
- Fixed Annuity Features
- Fixed Annuity Performance
- Finding the Best Annuities
- Fixed Annuity Drawbacks
- Fixed Annuity purchasing hazards
- Immediate Annuities
- Deferred Annuities
- Multi-Year Guarantee Annuities
Annuity CategoriesTraditional Fixed Annuities
The traditional fixed annuity is structured very similarly to a bank CD (certificate of deposit). The premium grows at a guaranteed fixed interest rate for a set amount of time. The length of the contract can range anywhere from one year, to as long as 15 years.
Fixed Indexed Annuities / Equity Indexed Annuities
Fixed Indexed Annuities, also referred to as Equity Indexed Annuities, provide the same principal guarantees of a traditional fixed annuity, however the rate of return is based on the performance of an index, such as the S&P 500. The insurance company will credit the account with a portion of the indexes upside growth, while offering protection against downturns in the market.
Immediate Annuities convert a lump sum amount of money into guaranteed income to the annuitant as soon as the annuity is purchased. The annuitant may choose from a lifetime income stream, which provided the income for life, or a set time frame (usually 5, 10 or 20 years).