5 PROS & CONS of a Fixed Indexed Annuity (Finding the Best Annuity)

[@kciis]

Did this video clarify the disadvantages with Fixed Indexed Annuities?

[@tedosmond413]

yes but how can i access the "calculator"?

[@ShawnFaessler]

Very insightful. The “Gimmicks & Sales People” was spot on. It exactly described an alleged “comprehensive financial advisor” that didn’t say “Fixed Indexed Annuities”, but I saw the sales pitch coming a mile away.

[@ShawnFaessler]

I appreciate your transparency. Oh, and choosing a video of Edith to show chopsticks had me in stitches! 😂

[@CryptoNupePhD]

Outstanding information. I will be calling for your assistance. This is a complicated subject so it’s expected to be lengthy. It takes hours upon hours to create videos at this high level. You guys need a commercial in each state! Thank a million for doing what you’re doing!

[@noemilouharrison8092]

I love how you compare the spoon and the knife. well explained

[@kciis]

Thanks! Who knew spoons and knives could spark such deep culinary philosophy? Next up: the epic battle of forks vs. chopsticks!

[@robchung1292]

Does it work like a reverse mortgage? If one dies after receiving only for 5 years, what happens to the principal? Does it go to a beneficiary that one can name?

[@darlenetaylor8201]

Yes....I spoke to a Wealth Manager asking ithe same thing.

[@JagLite]

Excellent information clearly presented, thanks!.

[@kciis]

Thank you! Kai & Ann Chung

[@Wayneman50]

My wife and i both have a Fia through Oceanview. We chose to index the s&p 500 but can change it yearly. It was designed to protect part of our portfolio from market downturns. It is a 7yr product with a cap. Will never lose money. No fee's. And it does not count on the overall assets under management fee my advisor charges. It's a protection product which was what we wanted. It does have some penalties for early withdrawl, but you can also w/d 10% a year without penalty. Not all annuities are bad, just depends what you want it to do in your overall portfolio.

[@kciis]

We are going to 100% agree and this is why we made this video. Thanks for commenting! Kai & Ann Chung

[@logicboard7746]

Great video ❤

[@alphadogpack]

Thanks for all your videos! Your explanation of FIAs (this vid as well as your others) has helped a lot. For my specific situation, I'm convinced that I'll just continue option trading from my retirement accounts. By no means is this advisable for everyone, as it comes with greater risk and requires a certain mindset. For many, third party managed trading will work best. You have given great information for both sides, IMHO. I'm looking forward to your next presentation about all the whopping 2024 Medicare increases.

[@kciis]

Thank you again for watching. The fixed, indexed annuity may not be a good annuity for you, but have you ever thought a Hybrid Pension as a salary replacement?

[@alphadogpack]

@@kciis I haven't yet. In fact, I hadn't heard of it before your videos, so thanks for that. I'll be researching it now.

[@stephenwigleyiii9673]

What do you know about Nassau Financial Group products?

[@antonioferre6022]

What are the disadvantages of the hybrid pension annuities?

[@kciis]

Thanks for asking. We recommend you watch this video along with our 4 Step playlists. This will give you most if not all you need to decide if these are in your best interest. There are 5 Main types of Hybrid Pensions you should be aware of. We also encourage you to call our office to set up an appointment. We do require those that would like an appointment to watch these 4 playlist before the appointment. We are currently 2 weeks booked out, so it might be best to book an appointment and then watch these videos while you’re waiting for your appointment. Pros and Cons of All Annuities & Hybrid Pensions kzbin.info/www/bejne/bl7HfWOdh5yal9ksi=US8ATwZwoFPNzZsy 5 Types of “Hybrid Pensions” kzbin.info/www/bejne/pGipnK2dhtmDbsksi=OZ8LgZ2ogn4vcxyY Playlist Step 1 kzbin.info/aero/PLhy55v5WCqkDeauJQO53zTt3UXf_Fb6qt&si=JqCTTbdlZfW69P7R Playlist Step 2 kzbin.info/aero/PLhy55v5WCqkB005aQ8oGyxnWGV6TurBYg&si=OA76tbUZrKD5Sz7U Playlist Step 3 kzbin.info/aero/PLhy55v5WCqkDCEsB95KCA_JrjbzJDKKpG&si=GW2ZBV3pSyCrbf4R Playlist Step 4 kzbin.info/aero/PLhy55v5WCqkASjgCnghepaVxBJueTJQpY&si=UFMt0bfooaoi38IS Kai & Ann Chung 408-502-7080

[@MariaN-rf5vx]

Thank you it seems like you are looking out for us common folks

[@kciis]

Yes, that is a goal of us creating our channel. We hope to be true experts but not pushy sleazy sales people. Glad you enjoyed it!

[@pebelleeb5422]

i love seeing Gracie and how much you love her!

[@kciis]

Looks like you’re an animal lover as well!

[@Btu555]

I've watched a couple explanations of FIA and the performance seem to tie to some index like S&P but none mentioned any of FIA is invested in S&P or its derivatives. If it's not invested in S&P then why named it index annuity and yet bring up the performance is somewhat ties to S&P since most of the investment of the funds are in bonds and mortgage backed security? Is there a small percentage of FIA invested in S&P or some kind of index derivatives?

[@kciis]

That’s a good question. The insurance companies will typically take around 5% or so the portfolio and buy options of the index that you choose. However, the option that they choose, and whether they make money or lose money does not affect your annuity. 70% of their money is typically invested in bonds, 10 to 15% are a mortgage loans. Why are there gains and losses not affecting your account value? The reason is because you are not buying an investment. Please take a look at this other video and it will make more sense. I’ll come back and paste it as another chat.

[@kciis]

Go to this playlist and you can jump to the video where we call out Dave Ramsey and his horrible explanation. You might also enjoy the rest of this playlist. However, we do recommend that you go to our channel, go to playlists, and look for steps 1, 2, 4 to have the right foundation, and also a strong educated understanding of the annuity space. Enjoy! Step 3: Strategies, Fixed Indexed Annuities Explained, & How We Get Paid kzbin.info/aero/PLhy55v5WCqkDCEsB95KCA_JrjbzJDKKpG

[@darlenetaylor8201]

One of your video you all said that fix index annuity is the best one to 8nvest in.

[@JediFight]

What do you know about, or think about Corebridge?

[@kciis]

We are contracted with them and know them well. However, I would encourage you to call our office so that we can help you lay the foundation first with our playlist. This way you can have the terminology and the concepts down to better understand the different models. It’s like asking what do you think of Honda? Toyota has many models from motorcycles, van, sedan, coop, truck, and so forth. So please give us a call and we will help guide you. Kai & Ann Chung 408-502-7080

[@Jbedard1963]

Loved the presentation and your approach. Will be calling to see how we can place 25% - 30% of our retirement assets into a Fixed Indexed Annuity. I'm concerned about the financial strength of some insurers. Our investment agent works with a select few (commission is certainly a reason I'm sure). I'm interested in someone like a John Hancock, Mass Mutual, or other suggestions you may have - thanks so much !!!

[@kciis]

Thanks so much for your kind words! It is definitely fair to be concerned about the financial strength of some carriers. This is why we strongly recommend A+ rated carriers. If you would like any help finding the best FIA from A+ rated carriers, please give us a call. We would be happy to help! Kai & Ann Chung [phone]

[@tobywall3357]

Very informative video (thank you)! My advisor is recommending I move funds from a previous annuity (F&G Accumulator Plus 10 with Barclays Sector 5) to the Silac Denali 14 FIA as a better option. The F&G returned 0% over the past 2 years and I'm obviously not happy with a 0% return. Can I get your thoughts on the Silac Denali 14 FIA? I've read the company has recently been downgraded to a B+ rating by AM Best..

[@kciis]

It’ll be best you give our office a call and you can set up an appointment. Only after we get to know you and your situation can we recommend or not recommend any annuities. I hope that makes sense. It’s like someone asking what do you think of a Toyota Camry? It may be great for some people, but the entire vehicle itself would be horrible if you’re a construction contractor. Does that make sense? You can reference this message when you call in. Thank you! Kai & Ann Chung 408-502-7080

[@MoneyStrategiesSOULutions]

0% the last two years - that makes no sense.

[@tobywall3357]

@@MoneyStrategiesSOULutions I agree, but it happened.

[@syvalleygirl5957]

Wow! Great video! I have an investment advisor recommending a FIA, and this video is very enlightening! Thank you!

[@leyanli5345]

Early 30s. Have life insurance and bought the annuity with the bonus (I know, it was appealing). Now the agent is recommending a FIA for me and young kids. Not sure if that’s a good choice. Looking for lifetime income at retirement age (but of course if earlier the better)

[@kciis]

I would encourage you to watch this video that describes which age is best for what type of annuity. You want to be careful buying too many annuities while you’re so young for the fact that it is not accessible until 59.5 without a 10% tax penalty because it is tax deferred. Give our office a call and we can see based on your entire situation what’s suitable for you. It sounds like your sales person is a nice guy, but is either new or is not being transparent with you. Kai & Ann Chung 408-502-7080

[@shawnn5213]

You can’t go wrong with a FIA. In addition to this you may want to purchase an IRA funded with ETFs with a safety of 25-50%.

[@gzsaliga]

Wow great video! Thank you!

[@kciis]

You’re welcome. Please check out our channel and you can click on playlists. There I recommend clicking on the playlist that says step one through four. This will help you have the right foundation to learn more about annuities and hybrid pensions. Rather than randomly looking at different videos. Thank you for your support!

[@TheRickymak]

Why not just put your money into a CD if you are considering this route. Seems like the return is similar but without all the jargon and fees/spread.

[@kciis]

Your point is valid based on the lack of knowledge people have with Annuties. It’s best you learn the 5 types. The type that might suit you, the best are the ones with no face and nose spreads and similar to a CD AND it’s tax-deferred AND avoids probate. Those are called MYGAs. If you get a MYGA at 5%, that’s equivalent to a CD that’s 6%-7% depending on your tax bracket.

[@kciis]

Here are a couple of videos that will give you more clarity. Let us know if these help! kzbin.info/www/bejne/bl7HfWOdh5yal9ksi=EWnXHe-rsqXtifmK kzbin.info/www/bejne/bpzIZnp3bLWsaJIsi=7Fo1IJQd-qAj1jKt

[@shawnn5213]

Advantage is tax deferral. CDs are not tax deferred

[@Blublod]

@@shawnn5213- That is not correct. I own several CDs within an IRA and all of it is tax deferred.

[@Bondbeer]

One other disadvantage is they often don’t count dividends. For example if based on the S&P 500 and it’s up 10% but 2% is due to dividends, they typically only include the gain in 8% gain in the index. Remember when a dividend is paid, the stock price adjusts downward to offset that payment, thus not including dividends can be significant.

[@kciis]

Thank you for sharing that! Remember, you don't own the actual index with the Fixed Indexed Annuities, so the growth potential are based on the participation, cap, spreads, Index fee, etc. So I am not too sure what you meant by dividends, perhaps you are referring to a variable annuity or RILA.

[@Bondbeer]

What I mean is that whatever benchmark they are using is a basket of individual stocks such as the S&P 500. Typically the calculation will be the difference between the starting point and ending point of all 500 stocks combined. This will usually exclude dividends. $100 invested in the S&P may grow to $110 where $8 of the gain is appreciation and $2 are dividends. So you would have gained 10% but the insurance company only basis their calculation on the 8% appreciation.

[@Jamman610]

My wife and are just learning about FIA. Thanks for this. Did I miss the 5 pros?

[@kciis]

Thank you for your comment! The video definitely focused more on the CONS, the Pros are the points we mention in the video on how to look for the better companies.

[@erikaberrio8927]

We just put 52k in a fixed annuity based on financial advisor at bank recommended. They said depending on the market we don’t touch for 5 years - could earn 6-10% … Athene is the name of the business. I hope we are ok. Bank Advisor said risk was low.

[@kciis]

We work with Athene, as well! If you wanted to make sure you are in the right place for your needs, please feel free to reach out to our office! Kai & Ann Chung 408-502-7080 www.RetiringOptions.com

[@BigPoppa-t3z]

Athene , great company. I have a problem right off the bat that 6-10 percent what is this a horse race. Well the horse got a 6-10 percent chance of winning. Idk how old you are but you need to know exactly what that 5 year returns give you unless your younger and can just roll it to another. Deal in the reality of your money not the dream. I bought a lottery ticket tonight I have a 11111111111111 chance of winning it 😊

[@anthonyjones9104]

Can you transfer a 401k into a fixed index annuity, if so. will there be any penalties moving to the annuity?

[@kciis]

There are no taxable event & no penalty when you are doing a rollover, the 401k plan itself may or may not have some limitations depending on your company.

[@sonjoysengupto]

What is your take on the Allianz 222 FIA?

[@kciis]

It is a very common product that people have been pitched too and we do work with Allianz, but depends on your purpose, it may not fit your needs. If you are looking to buy the right annuities and would like to get some guidance. - Kai & Ann 408-502-7080

[@sonjoysengupto]

@@kciis thanks for your response, I'll call shortly to discuss options

[@josephjuno9555]

I have pension of $1842 p mo is an Annuity on top of this a good idea? Hybrid Pension or a SPIRA as a bridge to SS

[@kciis]

This definitely depends! There are other factors we consider before making a strategy recommendation. Please reach out to our office. We would love to give you your personal recommendation! Kai & Ann Chung 408-502-7080 www.RetiringOptions.com

[@tomascueva6590]

Excellent info!

[@kciis]

Thank you!

[@joemccarty2061]

Love your videos! I like the idea of a FIA, but can’t get past the fact that eventually you lose your initial ‘investment’. If you buy a $200k FIA, after several years your $200k is gone, but of course it is replaced with guaranteed lifetime income. Am I wrong or is this how all FIA work (you’re actually buying/paying for lifetime income? Thank you in advance and for your informative videos!

[@kciis]

Thanks so much! You’re referring to the FIAs with Lifetime Income riders, correct? FIA’s by themselves do not lose their principal. Those are true for many annuities but not the good ones. You need to find the ones with the highest participation rates, no cap, and a solidi historical integrity with their rates. Call us and we can help you. Refer to this comment when you call in. Kai & Ann Chung 408-502-7080

[@jameswoods3385]

I would like to talk to you about a annuities. I'm very interested.

[@kciis]

Wonderful! Please give our office a call! Kai & Ann Chung 408-502-7080

[@pocobuenouno]

Wished I'd seen this before getting taken by a Lincoln Financial annuities "salesman" posing as a financial advisor.

[@kciis]

It might not be too late. Give us a call to review your policy. Kai & Ann Chung 408-502-7080

[@unstoppablemotivation777]

Just ran into you guys channel. Good stuff . I’m in the process of finishing my study to become a life insurance agent. Just want to make sure I learn important details before I schedule my exam. Question are you guys married?

[@kciis]

Yes we are. We just forget to bring our rings since we have many times don’t wear it due to working out and house chores. Best wishes for your licensing!

[@kevinedward-jt2vs]

I think the BIG issue with FIA's is that the values that the insurance company uses to calculate the return off the "index", can CHANGE throughout the investment period!!! The insurance company can change the return rate to whatever it wants, it is only "tracking" an index in the most loose sense. The formula values are NOT tightly and firmly integrated to the index.

[@kciis]

This is why you need to look for a good companies. Just like anything, there’s always good and bad. And many times more bad than good. This is why we are independent and we represent over 50 plans. Most do not know the differences between their companies. Feel free to give us a call if you like to learn the difference. Thanks for watching! Kai & Ann Chung 408-502-7080

[@kevinedward-jt2vs]

@@kciis Said the spider to the fly. Just can't post those real world historic returns, can you? Hmmm, I wonder why?

[@Rudy-e3f]

THANK YOU!

[@kciis]

You’re welcome! Thank you for watching. If you enjoyed this video, here is our entire playlist if you would like to watch it. 😊 kzbin.info/aero/PLhy55v5WCqkAmvcJtMqy2g6VsCSknV7vy&si=9OinimdCbFphS4bb

[@stanleychiu8189]

Hybrid income annuity you discussed in this video is basically FIA with a life time income rider. By choosing a life time income rider, are you basically annuitizing ? By annuitizing, you lose control of your assets? Isn't that the biggest disadvantage of this type of annuity?

[@kciis]

No, you do not “annuitize.” It would not be a “rider” if it is annuitized. Please watch our annuity playlist to learn of the 5 types of annuities and also the 5 types of income riders. Thanks for asking!

[@kciis]

kzbin.info/aero/PLhy55v5WCqkAmvcJtMqy2g6VsCSknV7vy&si=vlicCIeXOO5-kjs0

[@kciis]

The above is the playlist for all annuity types.

[@kciis]

kzbin.info/aero/PLhy55v5WCqkBbebnWQrfWGdLMhOA1geXM&si=6pQUl0aobvrs7-az

[@kciis]

The second link is to help you better understand Hybrid Pensions and how they work. Feel free to reach out to us as well. Kai & Ann Chung 408-502-7080

[@pebelleeb5422]

why not just get a high yield savings account that have no fees etc.

[@kciis]

Because you do not know how the rates will be. From 2009 to 2022 the rate less than 1%. CDs were only 2% and MYGAs were only 3%. You should watch our laddering out and lettering in video where we talk about the comparison. #1 Strategy to BEAT INFLATION: Laddering OUT & IN Annuities Explained kzbin.info/www/bejne/hJLcdmV_qMufbc0 Kai & Ann Chung 408-502-7080

[@barbie3139]

Gracie is adorable. Very good info

[@kciis]

Thank you! 😊

[@NS-lq2kz]

Yes, sort of....the 5 reasons are scary enough to stay away from FIA's, but then you say in other videos that you support buying them. What's confusing is that you try to include all "walks of life" (young investors - retired investors) etc. How about doing just videos for each "walk of life" that way it's focused and more easily understood by each of us in their arena of life. For me, at 68 and interest rates falling, I am looking for something like a bond that is ultra-safe, not in the market directly and pays a better interest rate then bonds/cd's/treasuries. I do not want a payout schedule....I want safe growth and savings that would benefit my age group only. Then, like I suggested, reach out to the other groups that want what a more aggressive annuity for their age group. You both are very cute and I like how you feature your sweet Gracie! I will call this week. Thanks for doing these videos!

[@guzzi95]

I have two 5 year FIA's. They are a couple of years old now. Doing Quite well. Okay, so what is 5% of 300,000.00? Much better than the markets of 2008. And if you take a look around, I bet you find many videos on a stock market crash coming soon. I also have a 5 cd ladder that isn't losing any money. My 401k continues to go up and down like a yo-yo.. I have no fees because I have no riders, etc.

[@kciis]

Thanks for your feedback! This is what viewers need to see.

[@guzzi95]

@@kciis One of my Annuities reached the end of another year and made me over $26,500 dollars. It has a couple more years to reach the 5 year maturity date. I am thankful for the 8.5% I received and it didn't matter what the markets were doing. If there is a disadvantage to one, I would say it is if you need the money for any reason, before it matures. Otherwise it is a no brainer.

[@plant4table]

The general rule is that if you can not understand a financial product inside and out, stay away from it. It is that easy.

[@MariaN-rf5vx]

Are you financial advisors?

[@kciis]

No, we are not. We mentioned that in quite a few videos. Financial advisor, sell stocks and bonds. You must be insurance license in order to sell annuities. That’s what financial advisors and broker-dealers do not want you to know. They want you to think that a financial advisor license gives them the authority to talk about annuities. Financial advisors look at a bigger picture, than insurance agents, but they are not annuity experts. Insurance agents that only sell annuities are more experts, but unfortunately they are typical pushy sales people. We hope to be true experts but not pushy sleazy sales people. Glad you enjoyed it!

[@davidhill2677]

I'm confused by the title "Don't buy FIAs, and the character saying "Stay away from FIA". You information did not quite say that. Be careful seems like a better title. I'm 62 and all my retirement saving are in 401K or IRA, so it's all in the market. I'm missing the base of your triangle. It seems that I should be protecting some of my savings. The US debt is 35 trillion. Do we think that will never come home to roost?

[@kciis]

Thanks for the suggestion. We titled that since that what people are told. You’re not the only one concerned of our debt. We hope you give our office a call to discuss the bottom part of your triangle which not only protects your principal from the market but also replaces your salary or pension in retirement. Kai & Ann Chung 408-502-7080

[@BigPoppa-t3z]

I'm 66 I'm looking for income. If I was 50 maybe even 55 imm going on 66 income

[@kciis]

Great! Give us a call! Kai & Ann Chung 408-502-7080

[@jean-bernardremy8387]

The information shared could have been delivered a bit better

[@kciis]

What’s your suggestion?

[@JurnyAlone]

Why are all you life insurance people giving out all this information on "annuities are good"... "annuities are bad" your confusing the shit out of people myself included.

[@kciis]

I’m sorry you’re confused. The whole point of our videos is to give clarity that like everything, there are good ones and they are bad ones. This video is to discuss the disadvantages first since most insurance sales people always talk about their advantages. But the point of this video is to talk about both sides. Keep in mind, This is only one video. I would encourage you to go to our channel and go to the playlist and look for steps 1-4 playlist. This will give you the foundation so that you’ll have more clarity. In the meantime, feel free to give us a call if you would like to get learn more. Kai & Ann Chung 408-502-7080

[@kathyjennings3907]

This is a great analogy with knives and spoons!

[@honmingwong5759]

Like

[@kciis]

Thanks so much! Kai & Ann Chung

[@vincentmaloney5835]

This video is not helpful at all. Everything is about the CONs (disadvantages). Almost nothing about Pros.

[@kciis]

Our goal was to provide an honest and transparent overview of both the Pros & Cons of FIAs in this video. If you are looking for a deeper dive into the purpose of different annuities, I recommend watching this video. kzbin.info/www/bejne/bl7HfWOdh5yal9ksi=TzJUHHXSGBm37oTh

[@paulbrungardt9823]

Buy Term Life Insurance and invest the difference in no load mutual funds.... Life insurance salesmen get rich buy selling annuities to ignorant and gullible folks.

[@kciis]

Yes while that’s mostly true, this is why we make these videos to help people NOT be ignorant and gullible! Also, there are 5 types annuities. Which type are you saying to avoid?

[@paulbrungardt9823]

@@kciis " . Which type are you saying to avoid? " -- Avoid all of them, Buy Term insurance & invest the difference.

[@nomaster5647]

FIXED INDEX. Do not buy INDEX. Buy Fixed only Again, a FIXED annuity is like a CD with NO market risk.

[@kciis]

Thanks, but the Fixed Indexed Annuities have NO market risks as well. Are you thinking of Variable Annuities?

[@swright5690]

25 minutes? C’mon…. I don’t have that kind of time. Keep your content under 10 minutes.

[@kciis]

Thanks for your suggestion

[@John-yb2xp]

Lmao 😂

[@pdptrix]

@@kciis dont shorten your video. More detail the better! Ppl don’t have the patience for finical knowledge usually don’t have much invested

[@NS-lq2kz]

Yes, keep them short by addressing different age groups from the young newbies to the retired. That should help you keep them to 10 minutes...besides, it's too confusing and time consuming for a retiree to have to listen to what's appropriate for a newbie and vice versa.

[@SidneyMcBride-ul6du]

Just stop watching when you get tired