A fixed index annuity (FIA) is an insurance product designed to give you the opportunity for growth while protecting your principal from market volatility. Unlike directly investing in stocks, FIAs allow you to earn interest based on the performance of one or more selected market indices without the risk of losing money when the market dips. This makes FIAs an appealing choice for individuals seeking a combination of growth potential and safety.
With a fixed index annuity, your earnings are tied to the performance of a specific index, but you won’t experience any losses, even during periods of market decline. Your investment is protected, and you can benefit from growth when the market performs well.
FIAs also offer tax-deferred growth, meaning you don’t pay taxes on the interest until you start making withdrawals. This helps your savings grow faster over time. In addition, you can choose from various strategies and payout options to suit your financial needs and retirement goals.
If you want the security of principal protection combined with the potential for greater returns, a fixed index annuity may be the right solution for you.
Interested in learning more? Contact us today to see how a fixed index annuity can help you achieve your financial goals!