Boring Investments

Isn't that true? There is no one talking about a boring investment! These days, many people shy away from anything stock market related-and for good cause too. However, when you hear the pitches, it's things like 'dividend strategies, options, futures, ETF's, income riders' and the like. Why would anyone consider a boring investment when you can have one of those other--exciting investments to choose from?

Consider this, a typical fixed annuity contract pays about 3% in interest each year, not bad, right? (Especially after this terrible stock market performance that has affected most of us!) It's tax-deferred, which means you do not have to pay any taxes from year to year-only when you withdraw money. It's also a triple interest bearing instrument: interest on principal (did I mention that your principal is guaranteed? More on that later) interest on interest and interest on tax-savings!

Your principal is safe and guaranteed, which means that when you deposit money into a fixed annuity-100% of your money is protected and earning interest. Annuities are great estate planning tools, they avoid probate when paid to a named beneficiary. They also can provide for a lifetime income for one or two people, such as a husband and wife or a grandparent and grandchild. And, there are no fees or commissions charged against your principal-all of your money goes to work for you immediately!

So tell me-are these really boring investments? To some, sure they are. But to others, who want to protect the values of their investments, after they have worked so hard to accumulate these funds-no, they are not.