How Annuities Work: Uncovering the Hidden Fees, Risks, and Fine Print | Pt. 2

In the second part of this three-part miniseries on annuities, Matt peels apart the layers of the complex financial machinery that makes annuities tick. He examines how insurance companies make money with annuities, and how various risks are spread between the underwriter of the annuity and the annuitant(s). Matt also breaks down how the various fees for annuities are calculated, including the crucial difference between the annuity's benefit base and it's actual cash value.

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Investments are subject to risk, including the loss of principal. Some investments are not suitable for all investors, and there is no guarantee that any investing goal will be met. Past performance is no guarantee of future results. Talk to your financial advisor before making any investing decisions.

Annuities are long-term, tax-deferred investment vehicles designed for retirement purposes. Variable annuities are sold by prospectus. Please consider the investment objectives, risks, charges, and expenses carefully before investing. The prospectus, which contains this and other information, can be obtained from a financial professional. Be sure to read the prospectus carefully before deciding whether to invest.

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