Wednesday, July 23, 2008

 

Fixed Indexed Annuities Can Be a Powerful Bond Substitute

In the 1890s, caramel was the candy of choice in America. Milton Hershey, however, had a vision that milk chocolate could capture the taste buds of the nation. The rest of the Hershey Chocolate story is history. The same is true of fixed indexed annuities (FIAs). Despite this past year, in which this emerging savings tool had to confront regulatory challenges, as well as a strong stock market and an inverted yield curve, FIAs still provide a viable alternative to laddered CDs, bonds, bond funds, and even the fixed component of a variable annuity (VA) asset allocation model.

Fixed Indexed Annuities Can Be a Powerful Bond Substitute
Source: Life Insurance Selling

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