This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Cramer's Action Alerts PLUS - See his portfolio and get alerts BEFORE every trade. Learn more NOW!

New AllianceBernstein & Insured Retirement Institute Survey Finds Market Uncertainty Has Increased Demand For Variable Annuities

Selected Quotes from Survey Participants

Financial advisors surveyed offered many insights into how and why they are using VAs, including the following:

  • I wanted to offer my clients guaranteed growth and guaranteed retirement withdrawals with very little risk.

  • Product enhancements made them more reasonable for clients and their needs.

  • I learned more about them... [now] I understand how they work and why they should be used.

  • I will offer variable annuities when I discover that their retirement cash flow will not last to the age they want.




A More Open Dialogue

While the search among investors for a better shock-resistant strategy has sparked renewed interest in the benefits and safeguards of variable annuities, the study notes that more can be done to facilitate the conversation between advisors and clients.

"Advisors should be educated on the fact that their clients are looking for the protection and growth potential variable annuities offer, and have shown a willingness to pay for these features," noted Hart. "We believe that advisors should proactively discuss the appropriateness of insured investment solutions as an integral part of most clients' overall retirement investment strategy."



About the Survey

The survey was commissioned by AllianceBernstein and IRI and conducted by market research firm InsightExpress. Targeting individuals who have either a FINRA Series 6 or FINRA Series 7 and an insurance license, we wanted to understand how and why they're using variable annuities in their practices. Eight out of ten respondents use these products, and nearly a third of those sold more than 10 contracts in the past year.

The survey specifically examined whether the 2008 financial crisis had changed advisors' and investors' attitudes about variable annuities. Moreover, the survey looked closely at why some financial advisors use variable annuities as a primary retirement solution while others don't.

3 of 5

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Try it NOW
Only $9.95
Try it NOW
14-Days Free
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG

Markets

DOW 18,135.72 +38.82 0.21%
S&P 500 2,101.04 +2.51 0.12%
NASDAQ 4,982.8090 +15.6680 0.32%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs