Introduction to Variable Annuities

Although annuities have been around a long time, the traditional fixed annuity was often plagued by inflation and offered low returns. To attract more investors to annuities, insurance companies introduced variable annuities as a more competitive investment option.

Although the growth and return on variable annuities is subject to market fluctuation, these annuities still offer investors a guarantee of an income that they cannot outlive with the life option. This makes the variable annuity an attractive choice for retirement income.