9. Annuities Are Personal Pensions
“...Annuities are bad investments because they are expensive, confusing and sold by shady insurance salesmen....”
Annuities are likely one of the most misunderstood and confusing investments in the financial universe. The word annuity itself can describe many different instruments, which can be very different from each other. Annuities have received an unbelievable amount of bad press and publicity—some of it justified, some not—yet few people realize that these products are implicitly contained within every single defined benefit (DB) pension plan as well as Social Security. They are the underlying ingredients of retirement plans around the world. Hopefully, this chapter can help clear up some of the ...