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I too am not a general fan of annuities; but I do believe two very different kinds of annuities get overly maligned on these boards.

Deferred annuities (with or without) variable investment features are IMHO a pile of junk and are loaded with fees, redemption fees, poor investment choices, etc. etc. In short, DA's are a substandard investment product created by the insurance industry and peddled by sales people.

Immediate Annuities (with or without certainties) are an entirely differnet product; there is no investment choices usually, the fees are generally lower --- it is simply a mathematical wager between the annuitant & the insurance company expressed as "I will give you $xxx,xxx; how much will you give me in return per month/quarter/year for the next N years or until I die?". IA's do have a place in financial planning for either the risk adverse or those with special cash flow needs over periods certain.


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