Annuities are a heavily debated topic in the wealth management industry. While some argue that investors should avoid annuity products at all costs, others see them as a viable solution for almost any circumstance. Many annuity products include sales commissions which can inherently create a conflict of interest. Simultaneously, corporate pensions are disappearing, making the concept of guaranteed income streams more appealing to a broader group of investors.
In addition to the controversy, there is also confusion. Annuities have various titles, features, payouts, tax implications, etc. Purchasers receive multi-page contracts with digestibility reminiscent of an old chemistry textbook. Subsequent statements often contain an assortment of numbers to decipher.
At Strategic, we believe that every client situation is unique and must be evaluated as such. No blanket statements. We look at our clients’ goals, positioning, analyze scenarios and seek optimal solutions. We will tell you when an annuity does not make sense for your plan and recommend one if it fits a specific situation.
To continue to bring the best expertise to our clients, Strategic has gone a step further and engaged DPL Financial Partners for annuity analysis and solutions. Through our partnership with DPL, Strategic supports our clients with:
- Trusted independent analysis
- Transparency and clarity
- Value through low cost, no commission solutions
If you have an annuity contract and do not know exactly what it is or why you own it, you are not alone. Strategic can provide a review of your annuity within the context of your overall plan and help turn any confusion into clarity and confidence.
Original content provided by Aaron R. Evans, CFA, CFP®, a Senior Advisor at Strategic Financial Services.
About Strategic
Founded in 1979, Strategic is a leading investment and wealth management firm managing and advising on client assets of over $1.8 billion.
OverviewDisclosures
Strategic Financial Services, Inc. is a SEC-registered investment advisor. The term “registered” does not imply a certain level of skill or training. “Registered” means the company has filed the necessary documentation to maintain registration as an investment advisor with the Securities and Exchange Commission.
The information contained on this site is for informational purposes and should not be considered investment advice or a recommendation of any particular security, strategy or investment product. Every client situation is different. Strategic manages customized portfolios that seek to properly reflect the particular risk and return objectives of each individual client. The discussion of any investments is for illustrative purposes only and there is no assurance that the adviser will make any investments with the same or similar characteristics as any investments presented. The investments identified and described do not represent all of the investments purchased or sold for client accounts. Any representative investments discussed were selected based on a number of factors including recent company news or earnings release. The reader should not assume that an investment identified was or will be profitable. All investments contain risk and may lose value. There is no assurance that any investments identified will remain in client accounts at the time you receive this document.
Some of the material presented is based upon forward-looking statements, information and opinions, including descriptions of anticipated market changes and expectations of future activity. Strategic Financial Services believes that such statements, information, and opinions are based upon reasonable estimates and assumptions. However, forward-looking statements, information and opinions are inherently uncertain and actual events or results may differ materially from those reflected in the forward-looking statements. Therefore, undue reliance should not be placed on such forward-looking statements, information and opinions.
No content on this website is intended to provide tax or legal advice. You are advised to seek advice on these matters from separately retained professionals.
All index returns, unless otherwise noted, are presented as price returns and have been obtained from Bloomberg. Indices are unmanaged and cannot be purchased directly by investors.