Posts tagged as:

Annuity

Beneficiary

by TheProAdvisor on September 24, 2009

Beneficiary - The recipient(s) of the proceeds from an insurance or annuity policy.

Tagged as: , , , , ,

{ 0 comments }

Annuity

by TheProAdvisor on September 24, 2009

Annuity - A policy sold by an insurance company designed to be a low risk investment option.  Annuities can provide a guaranteed income in the form of payments to the holder at specified intervals, usually after retirement.  All annuities grow tax-deferred.  Fixed and Indexed annuities guarantee a certain interest rate, while variable annuities do not.

Tagged as: , , , ,

{ 2 comments }

Qualified, Non-qualified, and ROTH – What’s the Difference?

August 26, 2009

When it comes to investments, there are generally two types – Qualified and Non-qualified.  So what exactly do these two terms mean?  They specifically relate to the tax treatment of the investment, or in simpler language, how the investment is taxed. A Qualified investment is one where the taxes on the invested dollars and interest [...]

0 comments Read the full article →

Fixed, Variable, or Indexed – Which Is Right For You?

August 4, 2009

In today’s complex world of insurance, annuity, and investment products – three terms are thrown about without much explanation: Fixed, Variable and Indexed.  These terms define how interest is credited or earned on the investment. Unfortunately, many advisors routinely fail to present all three as valid investment choices for their clients because they are unable [...]

0 comments Read the full article →

Index Reset Period

August 3, 2009

Index Reset Period – The period that a cap or participation rate applies to an Indexed investment.  Generally an annual or monthly period and described as an Annual point-to-point or Monthly point-to-point.  They can also be Annual or Monthly Averages.

0 comments Read the full article →

Cap Rate

August 3, 2009

Cap Rate – Normally relating to Indexed investments, it is the maximum percentage of growth in a particular stock or Index that the owner of the investment can benefit from.  An example of this would be an investment with a 8% cap rate on the S&P 500 Index.  If the Index were to grow by [...]

1 comment Read the full article →

Participation Rate

August 3, 2009

Participation Rate – Normally relating to Indexed investments, it is the percentage of growth in a particular stock or Index that the owner of the investment gets to benefit from.  An example of this would be an investment with a 50% participation rate on the S&P 500 Index.  If the Index were to grow by [...]

1 comment Read the full article →

Investment Load

August 3, 2009

Investment Load – A load is a fee paid to purchase or sell a specific investment. It is expressed as a percentage of the amount invested and is most often used when discussing mutual funds or variable annuities.

0 comments Read the full article →

Call Option

August 3, 2009

Call Option – The buyer of a call option wants the price of the underlying instrument to rise in the future; the seller either expects that it will not, or is willing to give up some of the upside (profit) from a price rise in return for the premium (paid immediately) and retaining the opportunity [...]

0 comments Read the full article →

Option

August 3, 2009

Option – Options a commonly used in real estate and investing and there are two typical types of options – a call option and a put option.  An option is the choice or opportunity to purchase a specified quantity of an investment at a later date for a pre-determined price.  The buyer pays a fee [...]

2 comments Read the full article →

← Previous Entries