September 4, 2008
Index Annuities are in fact not securities. This appears to be just another attempt by a government agency to expand its power and overregulate another product and industry.
All fixed annuities, whether indexed or not, have a component that allows for crediting of interest over and above the guaranteed interest rate. Does that mean ALL annuities must be classified as securities. I would think not.
I hope that the SEC reconsiders this ill thought out action and does not classify Fixed Index Annuities as securities.