How can I decide which insurer offers the best variable annuity policies?
Because a variable annuity is a security, each insurer who offers you an annuity contract must provide you with a prospectus. The prospectus includes important information about how the variable annuity works, the investment choices you can make and the risk those investments involve. Read each prospectus you collect to decide which insurer offers the policy that best meets your needs. Explore the performance of the funds offered and the annuities annual fees first. You want a good track record with low fees. Explore the fee issue thoroughly. Some are very high. A low fee may make all the difference. Can variable annuities be used as part of an asset allocation strategy? A variable annuitys investment alternatives should have fundamentally sound objectives that seek long-term superior investment returns commensurate with the market risks assumed by an investor. For example, the Vanguard Variable Annuity Plan offers these investment choices: money market portfolio, high-grade bond portf
