A-con
New member
So I got invited to one of these retirement investment dinners. It was at steakhouse that I like (Flemmings) so I figured “what the heck”, listen to an hour of blarney and get a free dinner.
Anyway, what the guy was recommending made a lot of sense.
Index annuity funds, a product sold by insurance companies.
Invest “X” amount of money, for a set period of time ( 5 or 10 years)
The principle investment, and a small return was guaranteed safe (he claims), even if the market crashes.
If the market grows 10% or 25%, your fund grows by that much
The catch ? You must leave the money in for the agreed time, and your profits are “capped” at 25% a year.
Meaning if the market takes off and grows 40 % in one year, you only get 25%.
Am I missing something, is this as good as it sounds ?
Anyway, what the guy was recommending made a lot of sense.
Index annuity funds, a product sold by insurance companies.
Invest “X” amount of money, for a set period of time ( 5 or 10 years)
The principle investment, and a small return was guaranteed safe (he claims), even if the market crashes.
If the market grows 10% or 25%, your fund grows by that much
The catch ? You must leave the money in for the agreed time, and your profits are “capped” at 25% a year.
Meaning if the market takes off and grows 40 % in one year, you only get 25%.
Am I missing something, is this as good as it sounds ?