The following Letter Type O, or variations thereof, was submitted by individuals or entities.
Letter Type O:
File No. S7-14-08
I am a member of the Financial Planning Association, and I support the proposed rule regarding SEC oversight of Indexed Annuities. There have been too many cases of the elderly being abused by unregistered and unregulated salesmen.
- the rule is a reasonable and balanced approach to enhancing state enforcement efforts
- the vulnerable aging population needs additional protection from aggressive sales agents
- consumers are often mislead regarding the benefits of an indexed annuity
- liquidity risks, surrender charges, and other suitability factors are not always clearly disclosed or understood
- not all states have adopted suitability standards for annity sales, nor do most insurance commissioners have adequate enforcement resources available
- some agents misrepresent themselves as offering a single retirement solution when in fact retirement planning is generally a complex planning process
Thank You,
http://www.sec.gov/comments/s7-14-08/s71408-3121.htm