Thursday, December 21, 2006

What If You Absolutely Positively Could Not Lose - Would You Play the Stock Market?

Seniors on fixed incomes confront a alone problem. Where do
they put their nest egg to get upper limit tax return on
investing with limited risk? Some of the traditional
topographic points like CDs and Treasury Notes are extremely safe,
however the outputs be given to be very low. Pillory and Mutual
Funds while offering a possible for a higher output have got a
hazard factor that most seniors happen unacceptable.

What if you knew you absolutely positively could not loose,
Would you put in the stock market? Imagine if their was
a manner that you could enjoy the top potentiality of the
stock market with absolutely no downside Risk, would you
be Interested?

Equity Indexed Annuities may be the Solution you are
looking for. Many insurance companies are now offering
Equity Indexed Annuities. These rentes allow you to
mirror the additions of popular stock market indices like the
S&P Five Hundred or the Dow Mother Jones Industrial Average while not
loosing any of your investing capital.

In simple terms if the stock market travels up your Annuity
also travels up but if the stock market travels down your
Annuity makes not loose any value. An Equity Indexed Annuity
is not an Investing in pillory or Mutual finances instead it is a manner the Insurance allow your Investments to mirror the additions of the stock market with no downside risk.

Many Popular Equity Indexed Annuities are put up using a
monthly trailing Method. Once a Calendar Month the insurance
company will look at the stock market index to determine
the addition or loss. If the index travels up 2% then they
set a plus 2 on your scorecard. If the index travels
down 4% then they set a -4 on your score card. At the end
of the twelvemonth the Insurance company sums your scorecard for
the twelvemonth if it is positive (say 8%) they would then add 8%
to your rente value however if it is negative your
rente value would remain the same. If you started the twelvemonth with
an rente value of $10,000 your rente would still be deserving
$10,000. It doesn't matter if your score card have a
Negative 1%, 10% Oregon 99% you will not loose 1 cent of your
$10,000 starting value.

Every twelvemonth your Annuity Value is reset, Using the above
illustration if you Annuity started the twelvemonth with a $10,000
Value and your score card shows a plus 8% for the twelvemonth your
Annuity would cognize be Reset to $10,800 and the procedure
starts again. To dulcify the Pot even additional many
insurance companies are offering Bonus Equity Indexed
Annuities, these vehicles work exactly the same as Equity
Indexed Annuities but the insurance companies will add a
Bonus of up to 10% to your Annuity. If you put $10,000 to
begin in your rente with a 10% Bonus Annuity the
insurance account would now add $1,000 making your Bonus
Equity Indexed Annuity now deserving $11,000. In improver you
could have got this 10% fillip for any finances you add in the
first 5 years.

With Equity Indexed Annuities from popular insurance
companies You can have it all. A manner to earn some huge
Gains from the Stock market while being totally insulated
from any downside hazard and a Bonus of up to 10% of all money added in the first 5 Years.

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