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Is there risk associated with annuities?

April 26, 2017annuities associated risk

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Is there risk associated with annuities?

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Yes, like any investment, annuities do carry some element of investment risk. Variable annuities, which offer investment in underlying investment portfolios, carry the risk of investing in these portfolios, including loss of principal. Fixed annuities rely upon the financial strength of the issuing insurance company, and carry the risk that the insurance company will not be able to meet its obligations.