“Equity-Indexed Annuities and Income Riders”的版本间的差异

2013年6月25日 (二) 06:46的最新版本

An equity-indexed annuity is a form of annuity that develops and gets interest based on a formula linked to your particular stock exchange index.An Equity Indexed Annuity by having an Income Rider is a agreement between you and the insurance company which provides:1) Guaranteed return of principal, 2) Returns connected to an index (subject to a cap), 3) Credited increases can not be dropped, 4) Guaranteed minimal interest, 5) Liquidity capabilities (nursing home, vital infection & 10% annual withdrawal), 6) Taxes not due until withdrawal, 7) Avoidance of Probate, 8) Protection from creditors, 9) No annual expenses (other-than the cost of the rider relying on the carrier) and 10) certain income you (or you and your spouse) cannot outlive.Equity Indexed Annuity Crediting MethodsFunds can be allocated between the different crediting strategies and every year the allowance can be changed how to plan for retirement. Most EIA's enable one or a combination of different indexes to be used including S&P 500, Nasdaq-100, FTSE 100 etc.1) Fixed Account: Often between 2.5% -3.5%Fixed bill crediting is good in years if the industry will decrease and fully guaranteed growth-is desired.2) Annual Point to Point using a Cap (think 6.5%). Consider the difference between the anniversary of the end-of the contract year value and the contract value of the index used and use the limit (if appropriate). For example, if the directory (say S&P) goes up 12% for the year of the contract, the account could get 6.5% (the top). If the S&P went up 5% the account would get 5% and if the marketplace went down fifteen minutes the account would stay even.Annual Point to Point crediting is good in years when there's modest gains in-the market.3) Monthly Sum (also known as Monthly Point to Point) with a regular top (think 2.5%). Just take the-difference between your start of month value of the index used and use the top (if relevant). As an example, if in the first month of the contract the S&P went up 2.75% the account might get 2.5-4 (the cap). The account would get 2.10 and so on if in-the second month of-the contract industry went up 2.10%. There is no-limit o-n negative returns each month (except for the fact that at the end of the year it is possible to never eliminate cash so if the crediting technique yields a negative the bill would remain even) so if the index would go down 3.2% in month 3 and down 3.5% in month 4, the contract would be (2.5%+2.1%-3.2%-3.5% )= negative 2.1. Hypothetically, in the event the S&P went up 2.5% or more every month the account might make thirty days (2.5% x 1-2 ).Monthly Sum (Monthly Point to Point) crediting is good when you can find consistent gains within the market.4) Monthly Average with a spread (suppose 3%). Monthly values are added for the-year and divided by 12 to obtain the common index value. With that price the per cent gain or loss will soon be computed. The spread is deduced from the gain to look for the credited interest rate If you have a percentage gain then. To illustrate:Step 1: Note the market price by the time of the agreement. Like 970.43 Step 2: Mount up all end of month values and divide by 1-2. For example 13,054.27/12=1087.86 Step 3: Determine gain or loss: 1087.86-970.42=117.43 items or a 12.10% gain. Phase 4: Subtract the three minutes spread to find out paid total (12.10%-3% )= 9.10%The Monthly Average crediting technique is great when the index is volatile.If you considering this investment and are doubtful when it is appropriate for you, then you may take advantage of having a skilled financial consultant who is able to show you the rules and help you invest in the financial products-that will most readily useful meet your goals.