Wow…13.68%, Guaranteed!

Posted by Ray on May 11, 2007 under Main | Be the First to Comment

I love the internet you can find anything you want on the net. Unfortunately, many people will probably fall for this ad.

[youtube]http://www.youtube.com/watch?v=4B79bwYpOyg[/youtube]

Just tell us Tony, it’s an EQUITY INDEX annuity! I can tell you for a fact that wealth strategists do not invest much, if any, of their wealthier clients money in equity index annuities. I signed up for his ‘special report’ and it is just a joke. He does not even call the product what it is. Instead he calls it ‘indexing’ instead on index Annuity.

Basically, to get the 13.68% guarantee he is talking about you would buy a 10% bonus EIA and put the money into the money market account for the first year. After that he would invest it into the index side of the annuity where it will track the S&P 500 or a similar index.

Again, he fails to tell you about the steep deferred sales charges that last for 10 years. He also fails to tell you about the fact that you will have to annuitize the contract to receive the full contract value. I mean, come on, these are the same products that Minnesota and other attorney generals are suing insurance carriers over.

I love annuities, as you all know, but this is ridiculous and this is a product that can cause severe damage to peoples futures. Every product has its place, but I fail to see how this ‘wonder’ product will actually help many people. I have to side with the media and critics on these products, they stink.