December 09, 2023

How Annuity Companies Make Money

14 minutes

Welcome to episode 4 of the Atlas Annuity Podcast with your host, Marty Becker, owner of Atlas Financial Strategies in St. Louis, Missouri. This episode dives deep into a common annuity myth and explains the real mechanics behind annuity investments. Marty Becker provides clarity and insight, simplifying complex financial concepts for everyone.

Major Takeaways:

Debunking a Common Myth: Marty discusses a prevalent misconception about annuities - that companies keep excess returns.

Real Math of Annuities: An in-depth explanation of how annuities work, focusing on the actuarial math behind them.

The Role of Actuaries: Emphasizing the intelligence and importance of actuaries in the annuity process.

Investment Strategies: Explaining how annuity companies invest in bonds and use returns for operating costs, profit, and client benefits.

Call Options Explained: A real-world example illustrates how call options benefit annuity holders.

Market Protection: Marty highlights how annuities provide growth opportunities with downside protection.

Options for Annuity Holders: Discussion on choosing between tracking an index and taking a fixed interest rate.

Next Steps: If you're looking to understand more about how annuities can fit into your retirement plan or have specific questions, visit AtlasAnnuity.com. Here, you can book a consultation with Marty Becker and explore various annuity options suitable for your financial goals.

Don't Forget:

Subscribe to our podcast for more insightful episodes.

Share this episode with someone who could benefit from it.

Join us in our mission to help Americans understand safe money retirement planning.

...more