Annuity Dart Throw or Contractual Rifle Shot?: Shootin’ It Straight With Stan

0:00
Welcome to Shooting It Straight with

0:01
Stan. I am your host, Stan the Annuity

0:04
Man, America's annuity agent, licensed

0:06
in all 50 states in Puerto Rico. I know

0:09
you're saying, Stan, do you do you speak

0:10
Spanish? No, but I have a group here

0:11
that does. We have a Spanish division,

0:13
which I'm very, very proud of, taking

0:15
care of that community from a

0:17
contractual standpoint. I am the pioneer

0:19
of contractual guarantees only, CGO,

0:23
which means we only look at annuities

0:26
from a contractual standpoint. No

0:28
hypothetical theoretical projectioned

0:30
back tested which leads me to the topic

0:32
for today which is are you going to do

0:35
an annuity dart throw or take a

0:37
contractual rifle shot and let me talk

0:40
about that in the annuity industry

0:43
[clears throat] there there are some

0:44
products that are dart throws. Um I'm

0:47
not saying they're bad products but I'm

0:48
saying if you're looking for market

0:50
growth

0:52
a reasonable rate of return. I always

0:54
hear that. Hey I'm just looking for a

0:55
reasonable rate of return. What does

0:56
that mean? Please be specific. That's

0:59
not specific, Zeke. That's specific. P.

1:02
When anytime I say the word specific,

1:04
Zeke looks up thinking we're back in

1:06
Hawaii. You know, he's from Hawaii. So,

1:09
uh, no, it's specific. Be specific. So,

1:12
you've got variable annuities that were

1:14
introduced in 1954 for tax deferred

1:16
growth using mutual funds, of which the

1:18
annuity industry calls those mutual

1:19
funds separate accounts. Don't ask me

1:21
why.

1:22
Then you have the newest entry to the

1:24
game, Ryland's registered index linked

1:26
annuities. Listen, I used to work for

1:28
Morgan Stanley, Dean Witter, Payne

1:30
Weber, UBS securities license, worked on

1:32
Wall Street, World Trade Center, too.

1:33
Been there, done that, understand it,

1:36
but rather require securities license,

1:38
but I can comment on them, give you my

1:39
opinion. They're just fancy index

1:41
annuities, which leads to the third dart

1:43
throw is index annuities. index

1:45
annuities put on the planet in 1995 to

1:47
compete with CD returns to compete with

1:50
CD returns to compete with CD returns

1:52
and the reason I repeat that is every

1:55
Johnny Apple Seed agent out there is

1:56
going you can get market upside with no

1:58
downside son I mean you can get market

2:00
participation with principal protection

2:04
come on man I mean you can't be that

2:06
that that doofus that believes that as

2:10
they say in Vegas if you don't know who

2:11
the sucker is at the poker table it's

2:14
you. So, if you believe that exists,

2:16
well, look at these back tested numbers,

2:18
Mr. Jones. If you'd only 10 years ago,

2:21
you you'd have made this, give me a

2:24
break. Give me a break. You're throwing

2:26
a dart at it. I'm not going to go into

2:28
the into details of each product, but

2:32
with each of them, there's limitations

2:34
on the upside, and in a lot of cases,

2:37
the carrier, the the in the life

2:39
insurance company that's issuing the

2:40
annuities can change the rules at their

2:42
discretion.

2:44
And with variable annuities that's kind

2:46
of losing favor for I think Rialas are

2:49
taking that space. Um

2:52
the typical annual fee last time I

2:54
checked was anywhere from 2 to 3%

2:56
annually on a variable annuity which

2:59
means that I'm going to get market

3:01
upside this where you're starting at

3:03
minus two or minus three every year.

3:04
Unless you're like Gordon Gecko himself

3:07
that's a pretty big hill to climb. Index

3:10
annuities are CD products since 1995.

3:13
Guess guess what they've in the biggest

3:15
raging bull market of all time? They

3:18
return CD returns, CD type returns.

3:21
Well, how's that possible? The Scott

3:22
told me, how's that possible? Because

3:24
they were designed to do that. Right now

3:26
in the index annuity world, there's over

3:27
800

3:31
index annuity choices, all designed to

3:33
get about the same thing, CD returns.

3:36
Now you might have an anomaly year where

3:38
you got some more. But blended returns

3:40
since 1995 CD returns. RiyAlas of all

3:44
the three probably have the most

3:45
potential for upside. But again, if

3:47
you're [clears throat] going to your

3:48
advisor, you go, you know what? I'm

3:50
going to pay a fee to manage my money.

3:52
And they hit you with a RIA.

3:55
What the what? I thought you were going

3:56
to manage my money. And if someone has

3:58
the audacity to say they want to charge

4:00
you an annual management fee on index

4:03
annuity, just start picking things up

4:05
off their desk and throwing it at them.

4:07
Preferably a stapler. That's insanity.

4:10
So that's throwing annuity darts. I

4:12
don't think you need to throw annuity

4:13
darts. You know why? Good question. Glad

4:16
you asked. Because annuities are

4:18
contracts issued by life insurance

4:21
companies. So, if they're contracts

4:23
issued by life insurance companies, we

4:25
should be buying them for the

4:27
contractual guarantees only, not some

4:29
hypothetical theoretical unicorn chasing

4:32
the darn butterflies, which they never

4:34
catch ever. I've yet to have one person.

4:37
I've been doing this for a long time. I

4:39
know you're saying, Stan, that's

4:39
impossible. You're so younglooking and

4:42
vibrant and energetic. Energetic has to

4:44
do with coffee. Zeke, I don't drink.

4:46
Listen, I don't do I don't do what Zeke

4:49
is in the morning drinks like lava

4:50
juice. I mean, it's like from lava. I

4:52
mean, he he cools the lava down. I I

4:55
don't know. I mean, I don't understand.

4:57
The point is, see, I didn't lose my

5:00
train of thought. I'm back in

5:02
right there. Annuity companies, life

5:05
insurance companies are issuing

5:06
contracts. So, shouldn't you base your

5:09
decision rhetorical question on the

5:11
contractual guarantees? Yes. Don't buy

5:14
dreams because you're going to own

5:16
contractual realities. Buy an annuity

5:18
for what it will do, not what it might

5:20
do. Which leads me to not throw in

5:22
annuity darts. We're taking annuity

5:24
contractual rifle shots. Contractual

5:28
guarantees only. Pioneer of that. If you

5:30
go to my site and you run quotes, you're

5:31
only going to run quotes and see the

5:33
contractual guarantees. Not some

5:35
hypothetical, not some theoretical. Hey,

5:37
Mr. Jones, if you own it 10 years ago.

5:39
No. And I on a side note,

5:43
there are companies out there that have

5:45
analytics that look at potential

5:47
hypothetical index and RER returns.

5:51
What I would rather you go look at your

5:53
palm of your hand, you go, you know

5:54
what, look at all those lines. There's

5:56
one, two, and start counting them. It it

5:59
makes more sense. Annuities solve for

6:02
four things. Principal protection,

6:03
income for life, legacy, and long-term

6:05
care. You ask two questions, only two

6:07
questions, not three. The two questions

6:09
are, what do you want the money to

6:10
contractually do? When do you want those

6:12
contractual guarantees to start? That's

6:14
it. That's it. Now, from those two

6:17
questions, we can tell you if you need

6:20
an annuity and or not. And if you don't,

6:22
we'll say you don't need annuity.

6:24
Thanks. Thanks for calling. But if if

6:26
you do, then we're going to tell you the

6:27
ones that's going to give you the

6:28
highest contractual guarantee for your

6:30
specific situation. If it's lifetime

6:32
income, meaning you're going to get paid

6:34
as long as you're breathing, and we

6:35
structure the policy so that 100% of any

6:37
used money goes to your beneficiary when

6:39
you die. Yes, the evil annuity company

6:41
doesn't keep a penny. I know you say,

6:43
"I'd never buy an annuity, son, for

6:45
lifetime income because if I die,

6:46
annuity company keeps the money." No,

6:48
they don't. Unless you hate your

6:50
beneficiaries and your family and you

6:52
want to set it up life only. But 99.9%

6:54
of the people set it up where it's

6:56
lifetime income as long as you're

6:57
breathing.

6:58
And when you die, the money goes the

7:00
leftover money, whatever's in the

7:01
account goes to the list of

7:02
beneficiaries of the policy. At this

7:05
point in time, the contractual rifle

7:06
shot for lifetime income makes sense

7:08
because life expectancy tables are in

7:10
your favor, but they're getting ready to

7:12
change against you because of AI medical

7:14
breakthroughs, GOP1s, whatever you want

7:16
to call it. And as soon as the annuity

7:18
companies can prove that your life

7:19
expectancy is going to be longer,

7:20
whether they care or not, it's going to

7:22
be longer, which means the payments are

7:24
going to be lower. So, right now is a

7:26
bargain for that. Contractual rifle shot

7:29
could also be a MIGA, multi-year

7:30
guarantee annuity, the annuity industry

7:33
version of a CD, okay? So that you could

7:36
just lock in a rate for a specific

7:38
period of time. We have that on our site

7:39
as well. I encourage you to go to my

7:40
site at theanuityman.com. Shop around,

7:43
run quotes, download the six owners

7:45
manuals that I've written, okay? For

7:47
free. Everything's free. The only time

7:49
someone's going to call you is if you

7:52
schedule a call. If you schedule a call,

7:54
it's a free consultation, keyword free.

7:57
We're going to use our ears and mouth

7:58
and proportion, two to one, and we're

8:00
going to listen to you and we're going

8:01
to provide the information, quotes,

8:03
illustrations that you need. If you need

8:05
to speak with me personally, I don't

8:06
want to speak with him. I want to speak

8:07
with no underling. I want to speak with

8:10
the man. Then email me

8:12
stantheanuityman.com.

8:13
I answer all my emails. Been married for

8:15
37 years. Zeke, you know this. When

8:17
you're married for that long, you don't

8:18
really have a life. You just answer

8:20
emails. And I live and breathe this

8:21
stuff. You haven't figured it out.

8:23
Everything that I wear except my

8:24
underwear, Zeke, but I'm working on

8:26
that. Zeke's behind the camera, man. I

8:28
mean, he's he's the guy has my logo on

8:31
it. I mean, I walk through airports,

8:33
people either run up and hug me or flip

8:34
me off. I hate annuities. Okay, great.

8:36
call the social security department and

8:38
and and cancel that payment that's

8:40
coming to you because that's an annuity

8:42
player. Okay.

8:46
Have I made myself clear? I think I

8:47
think I have Hey, one last thing. See

8:49
this hat? I mean, one of the things I

8:51
do, I have all kinds of hats, but this

8:53
hat, this light blue hat that you see,

8:56
it's I mean, it's got all kinds of cool

8:58
things on it. Um, we got a bunch of them

9:00
in and um I'm sending them out. If

9:02
you're a client out there and you're

9:03
watching this and you're saying, "Oh,

9:04
you ain't sending me no hat, son." Then

9:07
email me. Let us know. We'll send you a

9:08
hat. If you're not a client, but you're

9:09
thinking about being one, send me an

9:11
email, [email protected],

9:13
and convince me why you're so

9:16
important that you need a hat. No,

9:18
kidding. I'll probably send you one. I

9:20
mean, I want you to consider annuities

9:22
for what they're for. Contractual

9:23
guarantees, not an annuity dart throw.

9:26
So, if you're at a bad chicken dinner or

9:27
expensive steak dinner seminar, swallow

9:30
the food, not the pitch.

9:32
Think about the dude up there or doodad

9:34
up there going, "This is the best deal.

9:36
You get a 20% upfront bonus." By the

9:38
way, upfront bonus is candy for the

9:40
stupid. It's candy for the stupid. It's

9:43
one It's part of the the contractual

9:44
guarantee, just part of that. We'll

9:46
quote that. But typically, the

9:48
contractual guarantees, the highest

9:50
ones, aren't attached to the bonuses.

9:52
There's no philanthropists that get up

9:54
in the morning go, you know what? I

9:56
really would love to just give money

9:58
away.

9:59
No.

10:01
They're not out there. Not in the life

10:03
insurance business. That's capitalist

10:05
pigs, son. That's why I mean, let me

10:07
tell you something. The products are

10:09
great. They're transfer risk products

10:11
and lifetime income primarily based on

10:13
life expectancy, not interest rates.

10:14
Don't say, "I'm waiting on the Fed."

10:16
Don't. You're analyzing the wrong thing.

10:18
Okay? Look, you're you're looking over

10:20
here. I need you to look over here. Life

10:22
expecties. Okay? So, when you think

10:25
about annuities, you own them for what

10:27
they will do, not what they might do.

10:28
You do not throw darts at returns. You

10:32
take a contractual rifle shot at it. Got

10:35
it. Good. My name is Stan the annuity

10:38
man. That is shooting it straight with

10:41
stamp.