Subject: File No. S7-14-08
From: Mr. CFP

July 9, 2008

This proposal to regulate Fixed Indexed Annuities as a Securities by the SEC is nothing more than an attempt to grab more dollars for Broker Dealers. I have been a Stock Broker for decades and my Broker Dealer has been trying to get their hands on more of my money every month for years. They would prefer that I send all of my insurance business through them, for WHAT I ASK, THEY DO NOTHING to earn that money.

This is a MONEY grab nothing else.

A FIXED Indexed Annuity is a SAFE place for my clients during this economic mess that we are in. Broker Dealers are losing clients and money right and left. This is their attempt to get some of the money that is LEAVING them.

How on Earth is a Fixed Annuity that GUARANTEES every dime back plus a minimal interest rate of 1 to 3% considered a SECURITY?

People use Fixed Indexed Annuities BECAUSE they offer a FIXED guarantee. The potential higher indexed return is only a secondary objective. Most of the people using these accounts are older with a STRONG desire for safety. They don't want ANY losses. Show me any securities that offers no losses?

The Variable Annuities that the SEC already regulates is the WORST product ever designed by the industry. The FEES are outrageous. They are the MOST abused product I have ever seen. I can't tell you how many people come into my office WEEKLY complaining about a VA that some broker sold to them that was NOT supposed to lose money. I can't wait to see how the Broker Dealers will screw up Fixed Annuities as well, if this goes through.

By the way as a footnote to the SEC many of the Variable Annuities prospectus are often over 500 pages long, and I have yet to see ONE person EVER read the prospectus NOT ONE in over 20 years in this business. When I show them in black and white how their VA really works MOST want OUT.

The SEC should FIRST fix all the problems with THEIR own Variable Annuities before trying to get another product to regulate.