Filed Under:Annuities, Suitability

Boomers want annuities, they just don't know it

AP Images
AP Images

Those nearing retirement are looking for investment vehicles that protect their savings while providing a steady income that is somewhat insulated from market volatility.

A recent study from the Allianz Life Insurance Company of North America (Allianz) suggests that despite record highs for the Dow and an overall stable market, consumers have been jaded by the recession and desire uncorrelated investments.

Allianz’s “2013 Transition Boomers and Retirement Income survey” found that 87 percent of transition boomers — those ages 55 to 65 — would rather invest in a financial product with a 4 percent return that is guaranteed than one 8 percent return that is subject to losing value due to market downturns. The feeling was higher among women with 91 percent versus 82 percent of men expressing the sentiment.

The qualities desired by transition boomers for an investment vehicle seem to correspond perfectly with annuities yet general knowledge of annuities is low with 38 percent reporting that they “have not got a clue” about the products. The majority of transition boomers were aware that annuities can provide the possibility of guaranteed income for life.

   

Featured Video

Most Recent Videos

Behind the scenes with Vicki Gunvalson [VIDEO]

Provided by LIFEHEALTHPRO

In this exclusive interview, Vicki Gunvalson shares how she built a $15 million a year annuity business by planning for...

Regulator: Market may need to reinvent LTCI

Provided by LIFEHEALTHPRO

Cioppa says Maine's governor wants to spur the creation of better products.

Dementia: It's more than Alzheimer's

Provided by LIFEHEALTHPRO

An association calls for policymakers to remember lesser-known neurodegenerative conditions.

Protesters Disrupt WellPoint Annual Meeting

Provided by LIFEHEALTHPRO

Hecklers call for more disclosures of information about political contributions.

Related resources

More Resources

Comments

Power your business with up-to-the-minute insurance news, analysis, and best practices from LifeHealthPro Daily eNewsletter – FREE.

Power your business with LifeHealthPro Daily eNewsletter – FREE.

Enter a valid email address.
Close
Nichole Morford

Nichole Morford
Managing Editor

Thank you for subscribing to LifeHealthPro Daily!

Check Out More eNewsletters Now! Close

Advertisement. Closing in 15 seconds.