Here are my comments to a recent article by CNBC “Volatility driving retirees to think longevity annuity”
This continuous debate over annuities and their use in retirement incomes is attracting more people.
If you think that an annuity should provide a guaranteed income, what you need is a life or immediate annuity. The payments will be fixed, no more costs and in no way subject to stock market valuations. You are buying a life income with your funds and that’s the end of the story.
But if you want to stay,at least partially in the market,then a variable annuity is the way to go. But these annuities incur a lot of costs,some hidden, so you should get all your costs written out for you, not hidden in a glossy binder
Volatility drives retirees to annuities https://t.co/N1EljvCbGu via @cnbc
— Ivon T Hughes (@LifeAnnuities) March 17, 2016