August 9, 2008
I truly believe Fixed Indexed Annuities are insurance products, and not Securities, for the simple good reason that there is no risk of loss of principal to the client, even if the Market or the underlying index goes down every year. What is troubling me, however, is the fact that some insurance company, were able to have their product APPROVED FOR SALE by Departments of Insurance, having 20 years surrender charges, 20% per year, 19.75% the 2st year etc.... 2 tiers annuities etc...... May be the entities that need the most supervision, are the 50 Department of Insurance????? How did they approve for Sale some of the "Garbage" products that are responsible for 99% of the complaints ????????
And now the insurance agents are the BAD GUYS ? We only sells what is APPROVED for Sale.