Annuity solutions like registered index-linked annuities (RILAs) can help offer protection from market risk and increase growth potential at the same time. At Nationwide, our Nationwide Defined Protection Annuity (DPA) offers clients three levels of protection, allowing them to select how much of their investment to protect during each strategy term.
As you work with your clients to develop a holistic financial plan, now is the ideal time to educate them about the value annuities can bring to their portfolio. This is especially true for individuals approaching retirement. In addition to principal protection and guaranteed lifetime income, annuities are a great tool for legacy and tax planning. They are also ideal when other tax-favored investments, like 401(k)s and IRAs, are maxed out. In addition, many annuities offer guaranteed income not only for a client, but their spouse as well.
We don’t know where inflation and market volatility are headed, but it’s a safe bet that both will rise and fall in the years ahead. Annuities can take much of the guesswork out of retirement planning and allow investors to rest easy knowing their income is guaranteed, providing a great opportunity for advisors and financial professionals to educate clients on a solution that offers tremendous value in today’s environment and tremendous peace of mind for an uncertain future.
Eric Henderson is president of Nationwide Annuity.