Indexed Annuities

Indexed annuities are designed for people who want to step away from full market risk, but still like the idea of growth tied to a market index. With this type of annuity, your principal is protected from stock market losses, while your interest is linked to the performance of one or more indexes, such as the S&P 500.

Here is the trade-off in clear terms: you give up some upside in exchange for a safety net on the downside. If the market goes up, your annuity can earn interest, subject to caps or formulas set by the contract. If the market goes down, you do not lose money due to that decline - your account value is shielded from market-based losses.

I help you sort through the many versions available: traditional equity-indexed contracts and modern fixed indexed annuities with a range of crediting strategies. We look carefully at caps, participation rates, spreads, fees, and surrender periods so you understand exactly how your annuity works and what you can reasonably expect.

For many clients, indexed annuities become the "stable middle" of their retirement plan - less volatile than stocks, with more growth potential than bank CDs or basic fixed products. Used correctly, they can support long-term financial stability, help reduce overall portfolio swings, and provide a protected foundation to build future income from.