Annuity Pros - Blog #Hedging

Annuity Facts Cheat Sheet

Thu, 21 May 2026 12:08:06 -0700

Annuity Facts Cheat Sheet

Annuities may lack 100% liquidity, however in exchange clients receive a host of benefits from guaranteed annuity products.

You should never put all of your assets in annuities, however allocating up to 50% of your investments to annuities provides a simple low risk hedge against the unexpected.

Lack of liquidity? Yes. Pros of hedging risks? Far greater. Read more below.

Here are several key annuity facts that alleviate the lack of liquidity hurdle with which many clients struggle.

Annuities Provide

Protection from creditors
Assets Avoid Probate
Tax-Deferred Growth
100% Principal Protection
Growth Guarantees
Income for Life Guarantees
Joint Income for Life Options
Beneficiary Income for Life Options
Zero Underwriting
No limit on contributions
Any account type
Tax-Free Transfers between Annuities (called a 1035 exchange)
Tax-Free Transfers from Life Insurance Cash Value to an Annuity (called a 1035 exchange)
Hedge risk against stock market declines, out-living savings, interest rate fluctuations, inflation risk, mental acuity risk, income risk, inheritance conflicts, fraud risks, administrative risks and more!

New annuity products have low fees, transparency and diversified index investment options. Don't live on the myths of old annuity products!

If you’re considering an annuity, it’s crucial to work with Annuity Pros to evaluate your goals, time horizon, and the specifics of each product type. The right annuity, used the right way, can make all the difference in your financial future.

Individuals and businesses who would like to connect with Annuity Pros can get in touch instantly via our enquiry form.

Annuity Pros Clientele

Our clientele consists of Family Offices, RIAs (Registered Investment Advisors), Broker Dealers, Advisors, Attorneys, CPAs and Accounting Firms, Claims Adjusters, Plaintiffs, Tax Preparers, Trust Companies, Consulting Firms, Banks, Insurance Brokers, Financial Advisors, Financial Consultants, Wealth Management firms, Mortgage Brokers, Human Resources Departments, Real Estate Agents, other business professionals and private individuals.

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9 Risks you can hedge using Annuities

Wed, 11 Mar 2026 13:33:25 -0700

9 Risks you can hedge using Annuities

While annuities are a powerful financial tool, they are often misunderstood. Many people rely on outdated information or misconceptions when evaluating whether an annuity fits their portfolio. In fact, here are nine risks you can hedge using annuities today:

1. Fraud Risk (think Bernie Madoff, Stanford, Al Parish, Enron, Worldcom, etc..)

2. Administrative Risk (think managing real estate rentals, time-shares, investment portfolio management)

3. Inheritance Risk (think heirs arguing over assets or spending lump-sums frivolously)

4. Income Risk (income is automatically directly deposited)

5. Mental Acuity Risk (increases with age)

6. Inflation Risk (annuity ladders can solve this)

7. Interest Rate Risk (annuity rates are strong at present)

8. Longevity Risk (outliving your investments & savings)