In light of our markets being very volatile and our taxes increasing, I’ve had many Clients ask me “do you know of a safe haven for some nest egg money? – money that I hope I don’t need tomorrow, but on the other hand, I don’t want to take the chance of losing principal in the market.
So, our choices become, bank products at one end, being our most liquid and our most conservative products, and at the opposite end, we have the market (stocks, bonds, mutual funds, capital REITs, etc.). So, where’s the happy medium.
We have tax deferred, fixed annuities that are offering fantastic rates of return tax-deferred. If this is the fulcrum in the teeter-toter, it’s a good mid-way point. Here’s what I like about these products: you’ve heard a lot of dirt and read a lot of articles lately about annuities. They are of a particular nature. The ones I’m referring to are not those types of annuities. The annuity I’m referring to offers you a guarantee of your principal, your interest accrues tax deferred and thus accrues very nicely. You have no broker fees and you do have access. These are being offered for both tax qualified (Roth IRAs and IRAs) and non-qualified funds. These can also be used to provide a guaranteed income for life or for a specified period. My company of choice is EMC National Life Company.