Fixed Indexed Annuity (FIA)
An insurance contract that offers tax-deferred growth potential based on a market index.
Product Overview
Fixed Indexed Annuities (FIAs) provide the security of principal protection while offering growth potential tied to market index performance. They're ideal for conservative investors seeking tax-deferred growth without market risk.
Key Features
- Principal protection from market downturns
- Tax-deferred growth potential
- Multiple index options available
- Guaranteed minimum interest rates
- No annual contribution limits
Benefits
- Market upside participation
- Downside protection guarantee
- Flexible income options
- Death benefit for beneficiaries
- Liquidity features available
How Fixed Indexed Annuities Work
Index Participation
Your account value is credited with interest based on the performance of selected market indices.
Principal Protection
Your principal is protected even when market indices perform poorly.
Minimum Guarantee
Receive a guaranteed minimum interest rate regardless of index performance.
Perfect for Retirement Planning
Tax-Deferred Growth
Your money grows tax-deferred, meaning you don't pay taxes on gains until you withdraw funds, allowing for potentially faster accumulation.
- No annual taxes on growth
- Compound growth potential
- Tax-efficient wealth building
Income Options
When you're ready for retirement income, FIAs offer various payout options to meet your needs.
- Guaranteed lifetime income riders
- Flexible withdrawal options
- Joint and survivor benefits
Why Principal Protection Matters
Understanding key financial concepts that make Fixed Indexed Annuities essential for retirement security.
Sequence of Returns Risk
Learn why market losses early in retirement can devastate your portfolio - and how FIAs protect you.
Down Market Protection
Discover how principal protection shields your retirement savings from market volatility.
When Does 50% Cost You 100%?
See the math behind why losses hurt more than gains help - and why floor protection is crucial.
Why Fixed Indexed Annuities Address These Risks
These educational concepts explain exactly why FIAs are so valuable for retirement planning:
Eliminates Sequence Risk
No negative returns means no sequence of returns risk
Complete Downside Protection
Your principal is protected from all market losses
Only Positive Returns
You never need to recover from losses - only compound gains
Secure Your Retirement Future
Discover how Fixed Indexed Annuities can provide growth potential with protection for your retirement planning.