How Annuities Protect You from Market Volatility

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Hi there, Stan the Annuity Man,

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America's annuity agent, licensed in all

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50 states. Boy, today's topic is a good

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one. My director and all the smart

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people behind the camera is like, "Stan,

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don't yell. Please don't yell for this

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topic." Why? Why did they say that?

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Because the topic is annuities

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versus market volatility. Now, some

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background is I used to work for Dean

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Witter, which turned into Morgan

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Stanley. Then I went to Payne Weber,

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which turned into UBS, Union Bank of

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Switzerland. So, I've been on that side.

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I was in the marble offices and wore the

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suit. Man, I look good in a suit, man.

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Double breasted. I was sharp. Now, I'm

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doing the warm-up stuff. But, you know,

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I've been there. I've done that. I

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understand the markets. You know, the

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reason that I'm standing nuity man, the

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reason that our our whole saying is you

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own an annuity for what it will do, not

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what it might do, is I'm I'm out here

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talking about annuities the way they

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should be talked about. In my opinion,

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these are contracts and we're looking to

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solve for contractual guarantees for

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people that are going into chapter two

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of their lives, which is typically

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retirement. But we're going to talk

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about annuities and market volatility

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and some of the things you need to know

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so you can make good decisions.

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Annuities might not be for you, and

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that's fine, but you need to understand

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what they do solve for and how they

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might work in conjunction with your

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market products and enhance them. How

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about that? and we'll do that after the

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music.

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[Music]

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All right, full disclosure, market

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volatility. I'm not doing the market

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stuff anymore. Um, I sell fixed

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annuities. There's many different types

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of fixed annuities. You know, Migas,

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indexed annuities, SPAS, DAS, QAX, I

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mean traditional fixed, there's all

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kinds. Okay. Um, we sell contractual

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guarantees only. But market volatility,

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I think if you're getting older and

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you're kind of going toward retirement,

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you probably want to lessen that

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exposure to that those volatile markets.

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With 13,000 people turning age 65 at the

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time of this taping, that's the number

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that's turning age 65 every single day.

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um those people are trying in most cases

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to transition some or part of their

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portfolio that's attached to the markets

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to contractual guarantees. Now,

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annuities solve for four things:

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principal protection, income for life,

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legacy, long-term care, confinement

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care. That acronym is pill. And if you

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if you need to solve for one or more of

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those items contractually, then an

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annuity type could be for you. What I

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would tell you to look at if you still

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want to remain in the markets, I have

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nothing against that. Nothing. You can't

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go all in on annuities. I'm the first

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one to say that. A lot of people don't

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need annuities. But what you can do is

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put your income floor in place using

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lifetime income. And combining with the

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annuity that you already own out there,

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player, social security, it's the best

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inflation annuity on the planet. to

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combine with that and if a p if you have

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a pension if you're so fortunate with

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your employer so that income floor is in

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place so you don't have to disrupt the

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stuff the investments you have in the

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market. That's the way that annuities

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can combine with and enhance your market

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strategies. Now you might be the person

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out there that wants to go all in on the

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markets. You know how to manage it or

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you have a very good person managing it

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for you. Go for it. Knock yourself out.

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I mean, but for the people out there

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that want that stability and security

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with at least a portion of their

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portfolio, you can do that. You don't

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have to buy lifetime income products.

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You at the time of this taping, you can

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lock in very, very good contractual

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yields. Sound mas multi-year guarantee

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annuities, which is the annuity or the

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annuity industry version of a CD. You

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can lock those in and just peel off

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interest and never touch the principal.

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You can do that or you can just let them

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grow and compound tax deferred. That's

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your call. So there's many different

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ways to do that, but I think it's a hard

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transition

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for people to go from all into the

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markets to then transitioning out of the

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markets. There's that FOMO, fear of

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missing out. It's hard. It's hard to

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take money to the sidelines when you're

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always looking for that what they call

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in the business the tin beggar. You

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know, you you buy it for $10, it goes to

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100. you know, hindsight's 2020, but I

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think the older that we all get, the

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less of that market volatility we

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probably want. That's not for every I

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mean, that's not um a saying for

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everybody. There's some people out there

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that and I got a call the other day, guy

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was like 81 or 82. We went through the

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conversation and you know, his market

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stuff was doing good. He understood it.

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He was very good at it. I said, "You

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know what? You really don't need an

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annuity at this point in time. Just keep

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if it ain't broke, don't fix it, as they

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say in the South." So, you know,

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typically I kind of go off on the market

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volatility part of it. And the reason

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that I go off on it because there are

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some sales pitches in the annuity

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industry that will

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promise unfortunately and and I don't

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know if it's fraudulently that you can

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have the market and protect the

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principal. You cannot. If it sounds too

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good to be true, it is every single

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time. If someone says you can get market

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returns and protect the principal, it's

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not true. I don't care. I don't care

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what they're saying. I don't care about

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any of that. U because I know um I was

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around. Typically, that's a sales pitch

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attached to what's called a fixed index

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annuity. Those are CD products. They're

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put on the planet in 1995 to create CD

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returns. And guess what? Since 1995,

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they have. But that's not how they're

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sold. They're sold as have your cake and

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eat it too. You know, forget market

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volatility. We can strip all that out

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and you still get the market returns and

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you get the principal protection. Do not

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be that gullible. Please do not be that

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gullible. I mean, don't fall for that.

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That's just a sales pitch and they're

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getting they just want you to buy

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something. Okay? It doesn't work like

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that. Index annuities are great

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products, but they're CD products.

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Nothing more, nothing less. And there's

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another CD product called a multi-year

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guarantee annuity that at this time of

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this taping, I think is a better uh

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choice for you. Even though the agent,

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you know, the built-in commissions are

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so so much lower that um you know,

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that's the reason everyone at the bad

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chicken dinner seminar circuit is trying

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to pitch you an index annuity. It is a

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high commission product that make it a

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bad product, but it's a potential

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product. I think you buy annuities for

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what they will do, not what they might

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do. And those are might do products. Buy

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the will do. Buy the contractual

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guarantee. So when it comes to annuities

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and market volatility,

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just look at the look at the balance

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that you can put in place. And like I

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said, I really believe from looking at

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both categories. Use the annuity part to

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protect the principal and or create a

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lifetime income stream. you you know and

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enhancing that income floor in

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combination with social security and

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you'll be a better investor because you

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don't have to disrupt that amount of

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that money in the markets to create

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income. You've got the income. Okay,

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that's coming from Stan the Annuity Man,

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America's annuity agent, licensed in all

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50 states, the top annuity YouTube

7:07
channel on the planet and growing every

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day. Thank you so much and we'll see you

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on the next Stan the Annuity Man YouTube

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video. Heat.

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Heat.