4/1/2015 – The Long and Short of it (Financial Advisor)

Americans are living longer than ever before. And to make sure their retirement income goes the distance, they’ve turned to a number of alternatives, including one whose entire reason for being is to solve this problem: the longevity annuity.

A type of deferred-income annuity—as opposed to an immediate annuity—the longevity annuity was developed more than a decade ago to help retirees hedge against outliving their savings and retirement income. Also called “advanced life delayed annuities,” longevity annuities are typically purchased by retirees when they are about 65, on the brink of retirement, for a guaranteed payout 15 or 20 years later

Read the full article at Financial Advisor.