What Is Variable Annuity

It is designed to provide retirement income.

What is variable annuity. An annuity is a contractual agreement that you enter into with an insurance company. Variable annuity is a contract between you and an insurance company under which the insurer agrees to make periodic pay-ments to you beginning either immediately or at some future date. What Is a Variable Annuity.

Their performance is tied to stocks and other investments. The money you pay is allocated to an investment portfolio. More Understanding Fixed Annuities.

What Is a Variable Annuity Explained Definition Pros Cons Annuities are among the oldest investment options in fact they have centuries of history. You typically choose from a wide array of funds that cover all types of markets including US. A variable annuity is a contract with an insurance company that includes investments you choose and a fixed insurance component.

A variable annuity is a type of annuity that can rise or fall in value based on the performance of its underlying investment portfolio. The Special Memorandum Accounts. Variable annuities are insurance contracts that provide a guaranteed income stream.

Because of its extensive benefits and potential for long-term growth lottery recipients and working professionals looking to invest in their nest egg frequently. The contract provides the holder with future payments based on the performance of the contracts underlying securities. For that reason its probably easiest to.

A variable annuity allows you to specify how your annuity money is invested either in the stock market the bond market or a combination of the two typically using mutual funds. A variable annuity is a contract sold by an insurance company. A variable annuity is a type of public annuity and investment vehicle whose value is tethered to the performance of an underlying investment portfolio.