Ask Terry Questions Retirement asset allocation

Retirement asset allocation

By Terry Savage on January 08, 2021 | Financial Planning / Retirement

Looking to retire in 2021 at 63 and a financial advisor wants me to put 45% into an index annuity. Reasoning is I will not lose principal and will grow by 4-6%. Participation rate is 46%, I am skeptical. Thanks

Terry Says

Good. Be skeptical. That’s nuts! You don’t get the upside of the stock market. And no, you won’t get 4-5%. Do you think the insurance companies are fools? they don’t get those big buildings by giving away 4-5% when 10 year treasuries yield just 1%.

The only one getting a good deal on this product is the advisor, who gets a BIG commission! Find another advisor.
Check the top right corner of my website for a link to Wealthramp.com — where you can search for a FIDUCIARY FEE ONLY financial advisor.

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