No. of Recommendations: 0

But that's different than the 'no risk' you have touted.

AJ, this is the 3rd (or 4th? 5th? I've lost count) time you've flipped around on this, and I have tried to be polite each time... I am beginning to wonder if you have some... non-organic?... reason.

I have *NEVER* (not once, ever... go pore through all my posts) *EVER* said using fixed-reset indexing as a strategy, nor using statutory reserve insurance companies as account providers, has "no risk."

I have repeatedly said that fixed reset indexing (available in wrap account, index annuities, and indexed life,) has no MARKET LOSS risks.

I have repeatedly pointed out that there remain systemic risks... and that by the nature of the structure, the majority of the vulnerabilities such companies incur trail behind vulnerabilities to naked securities strategies, by the fact they are hedged on those same securities, and secured be reserves funded by those securities.

In English, anything that can take down a statutory reserve insurance company is going to destroy a whole lot more unprotected securities positions (due to simple lack of sufficient reserves) before the hit on the reserved companies.

Carry on. I'm sure that all IULs will be perfectly safe, and nobody will ever lose their money or get shafted by insurers changing terms, so your risk management plan will cover all bases.

As Poz says on MeTaR... your absolutism will not serve you. Not even in jeste.

I wish you well.
Print the post  


The Retirement Investing Board
This is the board for all discussions related to Investing for and during retirement. To keep the board relevant and Foolish to everyone, please avoid making any posts pertaining to political partisanship. Fool on and Retire on!
Live Video Event Monday!
The GP team is hosting a live video event on Monday at 4 p.m. ET. Don't worry if you can't make it — we'll have a replay and a transcript. Click for more!
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.