Skip to main content

Norfolk/Wrentham - Local Town Pages

Stock Market Uncertainty? A Fixed Indexed Annuity Can Help Put You At Ease

A crystal ball into the investing world – wouldn’t that be useful! Unfortunately, predicting market performance to a T is not exactly possible. When markets experience downs, it is important to ask yourself: What can I do to help protect my savings and ensure future gains?

Market Uncertainty Heightens

With the stock market currently in a bear market and down substantially from its highs, it’s reasonable to ask whether we’re seeing another market crash. While the market has declined, it hasn’t been the type of sharp and sudden selling that typically accompanies market crashes. The declines have come as investors try to sort out the impact of high inflation, rising interest rates and a potential recession.

We Must Diversify!

When markets decline, financial portfolios ultimately go down in value. Get ahead of the curve by checking in on the risk tolerance of your financial portfolio and making sure to diversify accordingly.

Diversifying may be the most important part of retirement planning. While there is no one right answer – or guaranteed sure thing – having a balanced financial plan is a proven strategy for income growth and wealth protection. Diversifying can mean a mix of 401(k) funds, IRAs and Roth IRAs, fixed indexed annuities (FIAs), mutual funds, stock investments, and more.

Protect Your Principal

With the stock market, there is no guarantee of upcoming returns. This is a continuous reminder to think about how we can continue to build our retirement income strategy. A smart first step is to evaluate savings vehicles that protect against market volatility. Enter a fixed indexed annuity (FIA).

An FIA helps protect your principal even in a negative market return. At the same time, it offers the opportunity to earn interest that is tied to the performance of a well-known index, such as the S&P 500, Dow Jones, NASDAQ, etc. The index is used as an external benchmark – you do not actually invest your funds in it. In all, FIAs are contracts with insurance companies, where potential interest earned is linked to an external index. Expect a guaranteed minimum rate of return and tax-deferred growth as well.

What’s Next?

What will happen in the stock market? Anything is possible. Until a crystal ball can accurately tell us what we can expect, it is up to retirement savers to make decisions that will protect them from what lies ahead.

Adding an FIA to your retirement portfolio could be part of the answer. Talk with a financial professional at Northeast Financial Strategies to understand the specific product features and if the benefits ladder up to your goals.

For your chance to win $100 Visa Gift Card, find the NFS ad on this page, scan the QR Code and then look for the “March 2024 Survey” link on our website. Good Luck!

Jeffrey Schweitzer can be found at Northeast Financial Strategies Inc (NFS) at Wampum Corner in Wrentham. NFS works with individuals and small businesses providing financial and estate planning, insurance, investments and also offers full service accounting, bookkeeping, payroll, income tax preparation, and notary public services. For more information, stop by the office, call Jeffrey at 800-560-4NFS or visit online to set up an appointment - 


Sponsored articles are submitted by our advertisers. The advertiser is solely responsible for the content of this article.