IRI VISION: A HELPING HAND(BOOK) TO UNDERSTAND ANNUITIES

Frank O’Connor
Vice President, Research

Annuities play an important role in the investment portfolios of America’s workers and retirees, helping millions save for retirement and secure guaranteed lifetime income. Annuities come in many shapes and sizes, and different types of annuities offer different benefits to investors.

IRI’s latest resource, The Retirement Saving and Income Handbook, puts each type of annuity on a single page, simply explains their structures, and highlights their benefits and limitations.

Speaking knowledgeably about annuities with clients is a critical skill for financial professionals. Nine in 10 American workers ages 40 to 73 believe it is important that income generated from their savings is guaranteed for life. More workers desire guaranteed lifetime income as a feature of a retirement income investment than any other tra it, including investment ratings and past performance.

This Handbook should be a go-to resource for financial advisors to help them address their clients’ retirement income needs.

Practical Information at Your Fingertips

The Retirement Saving and Income Handbook is uniquely constructed to present information about annuities in relation to common non-annuity alternatives, define commonly used annuity terms, and show how annuity and non-annuity solutions work through simple illustrations. This format is the first of its kind in annuity educational materials and can help advisors recommend solutions to their clients.

A simple example of the format is a fixed annuity relative to a certificate of deposit (CD). Each of the other annuity types is similarly outlined in conjunction with an alternative to surface the advantages and limitations of either approach.

Make it Your Own

IRI member firms can customize the Handbook to include logos, additional disclosures, and links or QR codes to product information pages.

Stay Tuned

IRI is committed to developing resources to help advisors effectively utilize annuities in their practices. The Retirement Saving and Income Handbook is the first in a series of annuity resources IRI plans to create. Future publications designed to complement the Handbook will delve more deeply into the features and benefits of annuities.