Choosing the Right Protection: Matching Products to Goals

Key Takeaways

• MYGAs, FIAs, and RILAs each serve different purposes depending on your risk profile, timeline, and income goals.
• Retirement success relies on customization—not one-size-fits-all solutions.
• Work with your advisor to identify the product mix that best fits your specific financial plan.

Understanding the differences between protected growth solutions is important. But determining the right fit requires a personalized approach. Choosing the right mix means weighing your risk tolerance, retirement timeline, existing income sources, and liquidity needs together—not in isolation from your overall financial plan.

A Simple Framework:

Low Risk & Certainty: A Multi-Year Guaranteed Annuity (MYGA) is the ideal starting point, offering guaranteed return and complete principal protection, free from market volatility.

Conservative Growth: A Fixed Index Annuity (FIA) maintains full principal protection while linking growth to market indices. It can also be structured to provide guaranteed lifetime income.

Moderate Risk & Higher Upside: A Registered Index Linked Annuity (RILA) offers higher growth potential by accepting a defined level of downside risk, allowing for greater upside through higher cap rates.

Many investors utilize a layered strategy, pairing MYGAs for near-term certainty with FIAs or RILAs for long-term growth and income. This approach balances safety, growth, and flexibility across every stage of retirement.

The most important step? Partnering with the right advisor—specifically a fiduciary advisor, who is legally required to act in your best interest rather than simply recommend a “suitable” product. Combined with commission-free annuities, working with a fiduciary means the products recommended to you are chosen because they fit your plan, not because of how anyone is compensated.

To put this framework into practice, explore your options and connect with a fiduciary advisor at dplfp.com/avenew.

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Disclosures:

This material is provided for educational purposes only and does not constitute investment, legal, tax, or insurance advice. It should not be relied upon as are commendation to purchase, sell, or exchange any security or insurance product. Investors should consult their financial, tax, and legal professionals before making financial decisions.

Annuities are insurance products issued by insurance companies. Guarantees are subject to the claims-paying ability and financial strength of the issuing insurer. Product features, limitations, fees, surrender charges, and availability vary by contract and carrier.

Bonds and annuities are different financial products with different risks, costs, liquidity features, guarantees, and tax treatment. Comparisons are intended solely to illustrate general concepts.

Multi-year guaranteed annuities (MYGAs) are not FDICinsured and are not bank deposits.

Fixed index annuities are not directinvestments in an index or the stock market.

Registered Index-Linked Annuities (RILAs) involve investment risk and may lose value. Buffers and floors provide limited protection and do not eliminate investment risk. Investors should carefully consider the product's objectives, risks, charges, expenses, and limitations before investing.