Can fixed annuities and rising interest rates coexist?
May 17, 2016 by William H. Byrnes, Robert Bloink
For the first time in years, interest rates may finally be rising — and financially savvy clients are, of course, beginning to look for ways to capitalize on this in their retirement income planning. Fortunately, annuity product innovation seems to be keeping up with client expectations, as several insurance carriers have introduced products that strive to take advantage of rising interest rates.
Clients who are just beginning to reassess the value of previously developed fixed annuity product plans in light of tentative rate increases may be interested to learn about several new product developments designed to maximize the value of rate increases — while also protecting the client’s future retirement income through the traditional annuity components of the product.
