The mass affluent investors want more annuities and don’t even know it! Mass Affluent investors (those with $150,000 – $250,000 of annual income) are quite receptive to learning about annuities according to a new poll by Nationwide Financial. These affluent investors have become increasingly concerned about the impact of increased taxes on their investments and seem quite anxious to learn about any products that have tax-deferral and other tax-advantaged benefits (hence annuities).
Furthermore, the broader mass-affluent segment (investors with $250,000 + of investable assets) were quite eager to learn more about annuity products with 41% of them raising their hand to know more in this poll. These investors are also more open to adjustments in their portfolio as 52% of them believe that there are some changes that can be made to avoid some of the future tax changes. Eric Henderson, senior vice president of Life Insurance and Annuities for Nationwide said, “According to our survey data, men and women between 35 and 64 with income of $150k to $250k may represent the ripest sales opportunity for advisors”. Finally, the survey also revealed that middle age investors (35-54) were more likely to want education on annuities over older investors.
As we have been predicting, all of this is lining up for the future perfect fixed and fixed indexed annuity storm!