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Spicuzza

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"There is no asset category that outperformed them. We were extremely surprised, really just amazed," says David Babbel, professor emeritus of insurance and risk management, who conducted a study of  fixed indexed annuity returns beginning in 1995.

Since 1995 when indexed annuities were first introduced there is no asset category that outperformed them.

No stocks, bonds, mutual funds or any bank CD or money market account has outperformed fixed indexed annuities since 1995 to present.

The reason for this is simple math. A 25% loss in one year will require a 47% gain the following year to break even with a fixed indexed annuity that's just limping along at 5% per year.

Since 1995 the market has crashed twice, the 2001 crash wiped out about 25% of the market's value. The 2008 crash wiped out about 39% of the market's value.

No one who is age 60 or above in 2008 will ever make up their losses.

A 39% loss of principal in 2008 requires a 72% gain the following year to just break even with what people have lost.

Fixed Indexed Annuities have "averaged" 5.57% per year gain since 1995.



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Gary D. Spicuzza,
Agent-in-Charge

The Trust Group
2435 U.S. Hwy. 19
Suite 140
Holiday, FL 34691

Office: 727-945-8599