I have written a new piece entitled The Retirement Crisis (and what to do about it) for producers to use with clients and prospects. It outlines in some detail the retirement crisis we face and the value and importance of income annuities for solving it. It also looks great and is available in color (thanks to Cindy Blaser and her graphic arts expertise).
In a report issued by the Wharton Financial Institutions Center (from the Wharton School at the University of Pennsylvania) and cited in my piece, Prof. David Babbel sets forth the value of annuities clearly and unequivocally:
“Lifetime income annuities may not be the perfect financial instrument for retirement, but when compared under the rigorous analytical apparatus of economic science to other available choices for retirement income…, they dominate anything else for most situations.”
Obviously, it’s very helpful when a highly regarded third-party expert makes it clear that a product you sell, in most situations, dominates the competition. The “take-away” of my piece is this:
“Retirees and near-retirees often wonder whether they should purchase an annuity to provide sustainable lifetime income—in effect, a guaranteed retirement paycheck—that they cannot outlive. Most do not. That’s almost always a big mistake.”
If you are an AMS producer, you may access the article on our Producer Portal. If you are not an AMS producer but are interested in the article, leave a comment below and I'll send you the PDF.