How to frame annuities more attractively

July 10, 2014 by Bob Seawright

As I have noted before, since at least 1965 and the seminal research of Menachem Yaari, economists have recognized that retirees should convert far more of their assets into an income annuity at retirement than they do. Franco Modigliani famously formulated the problem in his Nobel Prize acceptance speech back in 1985: “It is a well-known fact that annuity contracts, other than in the form of group insurance through pension systems, are extremely rare. Why this should be so is a subject of considerable current interest. It is still ill-understood.” Click here to read…

Originally Posted at LifeHealthPro on July 8, 2014 by Bob Seawright.