» Site Navigation
Home Page The Villages Maps The Villages Activities The Villages Clubs The Villages Book Healthcare Rentals Real Estate Section Classified Section The Villages Directory Home Improvement Site Guidelines Advertising Info Register Now Video Tutorials Frequently Asked Questions
» Newsletter Signup
» Premium Tower
» Advertisements
» Trending News
» Tower Sponsors

» Premium Sponsors
» Banner Sponsors
» Advertisements
View Single Post
Old 03-01-2011, 11:28 AM
NJblue NJblue is offline
Gold member
Join Date: Apr 2008
Posts: 1,268
Thanks: 0
Thanked 0 Times in 0 Posts

We have met with a number of local financial advisers. A concern that I have had with them was the predominance that annuities (variable and/or indexed) played in their recommended portfolios. Some wanted to put up almost all of my portfolio in them.

From my external reading as well as my own analysis, annuities are not always the best way to invest money. From a high-level view, they are very attractive with their guarantees and ability to withstand market downturns. However, I have yet to find an annuity that does a good job in protecting against inflation. It seems that with all of them, once you start withdrawing money, it is very difficult for them to ever ratchet up so that the withdrawal will increase with inflation. Over a 20 or 30 year horizon, this can be quite devastating to one's income.

Perhaps annuities can play a supporting role in a portfolio, but I will feel more comfortable with an adviser who uses them as such, rather than the dominant role that most advisers around here are pushing (at least the ones that we have met with).
You are viewing a new design of the TOTV site. Click here to revert to the old version.

All times are GMT -5. The time now is 09:15 PM.