There are two types of Annuities, a Fixed or Fixed Indexed Annuity or a Variable Annuity. The Variable Annuity is fully invested in Mutual Funds and has annual fees of 1-4% of assets. It serves a purpose for the few clients who are willing to "risk" their invested principal.

At Strategic Choices, our philosophy is that money, especially retirement should be "protected" and not "risked." Clients who have extra disposable money and have the tolerance for risk, are more suitable for taking a risk with Mutual Funds, or Variable Annuities to possible gain higher upside potential.

We believe in and strongly recommend Fixed Indexed Annuities (FIA), which is simply a contract between you, the investor, and an Insurance company. An FIA is very much like a Bank CD, which is really a contract between you and the bank. They both have principal protection, no annual fees and with no fees includes a contract period. FIA are stronger than CD's for longer term goals.