Where Can I find "Real" Annuity Research? - Earlebird.com

Our technology world impresses me more every day. We now live in a world where every prospective purchase can be researched 100 times over on the internet. Sites like Angieslist and Yelp have exploded onto the scene and are helping Americans choose a restaurant, pick a plumber and buy a car. The latest research push is using all sources of social media like Facebook and Twitter for advice and feedback. So as a result, we can conclude that infinite knowledge does exist in the universe, and it’s right at your finger tips.

Then answer this question: why is it that so many purchasers of fixed annuities buy inferior products? Shouldn’t one look for advice and information when making a purchase with your life savings?

Maybe consumers do invest their time and energy in the annuity search. They probably search the web for the best products and what do they find? Nothing but ads or advice from an aggressive sales agent or a hard-charging marketing firm. Try it for yourself. It’s sad that there isn’t a third party-type site like Consumer Reports that can give Americans’ guidance on picking a product for their hard-earned nest egg.

Another reason why Americans buy crap annuities is the abundance of confusion in the fixed index products. Do prospective buyers have a chance in comprehending product features that many products offer? With acronyms and terms like GMWB, income accumulation accounts, participation rates, and roll ups, the average American’s head would explode. And what about the dreaded monthly averaging option?? They would have their lunch handed to them trying to calculate that one! Without a way to dumb-down or simplify products for mature Americans to understand, do-it-yourself research will never get off the ground!

Back in the old days, before the fixed index swallowed up the fixed annuity business, consumers compared fixed annuities to bank CD’s and other fixed annuity products. Easy to compare products with very little gray areas. I miss those days and hope they comeback soon.

Conclusion: The information evolution, like everything else in the world, will ultimately change the fixed annuity market. Everyday, one more American demands legible data before plunking down a $200K check for a fixed index annuity. The agent’s advice will be checked, and double-checked via trustworthy sources on the information superhighway. Yes it may take awhile, but it will happen and I can’t wait to help!

Pay It Forward:

Reid Hoffman, LinkedIn’s founder and an early investor in Facebook, has a new book called “The Start-Up of You.” I highly recommend it for your young adult. Your son or daughter needs to think creatively and to be ready for change around every corner. Reinvention is a fact of life now, and they need to treat their life and career like a start-up company. They need to be nimble, invest in themselves and to always take risks. Stay sharp and enjoy the ride!

Earl E Bird

I'm Earl E. Bird and I am very concerned about saving for my senior years. I am amazed at the stumbling blocks that exist when saving for retirement. That's why I take my time when making decisions on building my nest egg.

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