Who Has Up To 10% Commission ?

[VolAgent]

Dan,
Third, taking 10% out of a mutual fund might reduce the fees for the year if you did it on the first day of the year. However, that would not be true on any other day of the year. A 10% free withdrawal from an annuity is a 10% free withdrawal regardless of which day of the policy year it is taken.

Now who is the one talking out of his ***. Most fees, whether that be mutual fund, managed money, or annuity with charged expenses, compute the fees either daily or quarterly and tend to charge them quarterly. So, with the same fee charge cycle, taking the money out of an annuity on day 200 is the same as taking it out of a mutual fund on day 200. The fees are reduced in equal proportion for the rest of the year.

I agree with Dan, annuities are great for the right person and the right situation. And fortunately, there are millions of right people in the right situation. In fact, there are so many for whom annuities make sense, we don't need to stretch the truth to sell them. It is just like permenant life insurance, it is a great product, there is no need to smear it by giving the client bad information.

 

[padthaiforlunch]

Such a civil fight amongst gentlemen. This thread needs more expletive deleted's, so it can get moved to fight club.

Alas, more time wasted reading a boring-ass, geriatric pissing-contest thread.

 

[scagnt83]

Such a civil fight amongst gentlemen. This thread needs more expletive deleted's, so it can get moved to fight club.

Alas, more time wasted reading a boring-ass, geriatric pissing-contest thread.

Well we are glad that you decided to contribute to the pissing contest by bumping up the thread!... lol

 

[NPCOACH]

Now who is the one talking out of his ***. Most fees, whether that be mutual fund, managed money, or annuity with charged expenses, compute the fees either daily or quarterly and tend to charge them quarterly. So, with the same fee charge cycle, taking the money out of an annuity on day 200 is the same as taking it out of a mutual fund on day 200. The fees are reduced in equal proportion for the rest of the year.

Absurdity refutes itself. All mutual funds that I am aware of charge fees. Dan couldn't name any that didn't. So I'll expand that to include all mutual funds that Dan is aware of also charge fees. And they charge the fees whether the fund goes up or goes down - whether a client withdraws money or does not withdraw money.

All fixed annuities do not charge fees. If you have a fixed annuity guaranteed to pay a client 4% interest for 5 years - they get 4% interest for 5 years. Not 4% minus some management fee or sales load - they get 4% for 5 years. If the contract allows for a 10% free withdrawal (and most do after the first year and some even in the first year) - there is no charge for the withdrawal. Hence the name "free withdrawal".

Obviously, some indexed annuities charge some fees under some conditions - but not all. And I am unaware of any annuity that charges a fee when their is no gain in the crediting method. And a premium for a GWB is an optional premium for an optional benefit - it is not a fee.

Dan has dragged this discussion far afield. Go back and read the beginnings of this thread. He has made up quotes to deliberately skew statements from fellow posters.

Annuities are appropriate for many people. So are mutual funds. Pointing out that all mutual funds have fees is not smearing mutual funds. Pointing out a 10% free withdrawal feature in an annuity is not deceptive. And accusing someone that you have never met of giving the industry a "black eye" is not "gentlemanly".

 

[padthaiforlunch]

Meh. Get a Happy Meal and let it go.

 

[0b1kanobee]

FIA annuities are designed (with the exception of immediate and variable) to provide an income stream for life, protect against downside risk and provide upside potential and they do it very well.