Annuity's Many Benefits #5: Lifetime Income Stream

August 24, 2006 10:50 AM

Why should you consider annuity as an integral part of your investment plan? Here is our point-by-point breakdown of annuity's many benefits:

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Lifetime Income Stream

A lifetime immediate annuity converts an investment into a stream of payments that last as long as you do. In concept, the payments come from three “pockets”: Your investment, investment earnings and money from a pool of people in your group who do not live as long as actuarial tables forecast. It’s the pooling that’s unique to annuities, and it’s what enables annuity companies to be able to guarantee you a lifetime income.

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