Fixed Annuities - Fixed annuities are the simplest and most widely used of all annuities. They look very much like a bank certificate of deposit or bond, but they act differently and have extra bells and whistles. A fixed annuity guarantees you an interest rate for a specified period while you are accumulating money and guarantees a payout of a specific amount over a certain period of time.

Equity-Indexed Annuities - An equity-indexed annuity is a fixed annuity with additional attractive features. They typically have a guaranteed minimum contract value, the opportunity to participate in the long-term growth of the stock market, no loss of accumulated earnings (no downside), and no investment decisions to make.

What is an Annuity?

Many people of all ages, but especially those approaching retirement in the next 10 years or so, are not feeling so confident about being able to afford the kind of lifestyle they hope to enjoy. The rising costs of health care alone are enough to frighten many of us into rethinking when we are going to retire, not to mention how much more expensive everything is.

Annuities may be the answer for some people looking to sock away more money for retirement in a tax-deferred environment. With virtually no limit on contributions and a wide variety of products to choose from, annuities may just be the ticket for supplementing your retirement plan.

At Cooper & Associates, our clients are typically between the ages of 55 and 85. They have gone from the asset accumulation phase to the asset preservation phase. They need to protect their assets that took a lifetime to accumulate. The annuities we recommend are fixed annuities and equity-indexed annuities. Read about the differences in the sidebar at left.

People purchase fixed annuities for there low risk and predictability; however, equity-indexed annuities fill another financial need. With low rates on savings for several years, products that offer the opportunity to earn near-stock market returns but with limited risk attract attention.

For a free consultation, please call us at 859-224-0764 or email us.