An annuity is a series of payments made at equal intervals. Examples of annuities are regular deposits to a savings account, monthly home mortgage payments, monthly insurance payments and pension payments. Annuities can be classified by the frequency of payment dates.
If You Haven't Read My Blog on The Stock Market Yet, I Encourage You to Do That Before Reading Further
One secret to success in getting the most out of your retirement accounts is to avoid the market dips while taking advantage of the gains. While this is obvious to most, there aren't many ways to do this.
One way that is available to everyone is a fixed indexed annuity. It allows you to participate in stock market gains, while guaranteeing that your account will never fall during market slumps. They can also be designed to guarantee a future stream of income during retirement that you can't outlive.