Safeguarding your initial investment from market losses. Lifetime Income: Ensuring you never outlive your savings. Legacy: Leaving a specific benefit for your heirs.
Provides returns based on a stock market index with a "floor" to protect against losses, though upside is usually capped. 3. Evaluate Pros and Cons When do annuities make sense | Retirement - Aviva buying an annuity
begin paying income almost immediately (within a year) after a single lump-sum payment. Safeguarding your initial investment from market losses
Annuities are categorized by when they pay out and how they grow: Provides returns based on a stock market index
Offers a guaranteed interest rate and predictable payouts.
Returns are tied to market-linked subaccounts (like mutual funds), offering higher growth potential but also the risk of losing principal.
Before looking at products, ask yourself what you want the money to do for you. Common goals include: