What is an Indexed Annuity?

/ Annuities, Financial Blog / By Cornerstone Wealth and Tax Advisory

This week’s article provides an easy answer to the question ‘What is an Indexed Annuity?’ “An indexed annuity is a type of annuity contract that pays an interest rate based on the performance of a specified market index, such as the S&P 500. It differs from fixed annuities, which pay a fixed rate of interest, and variable annuities, which base their interest rate on a portfolio of securities chosen by the annuity owner. Indexed annuities are sometimes referred to as equity-indexed or fixed-indexed annuities.” If you are interested in learning more or have any questions, call us. We’re always here to help.

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Doug Clancy DBA CSWTA Insurance Solutions • CA Ins Lic # 0G20617

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What is an Indexed Annuity?

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