Majority of Annuity Money Used to Create Guaranteed Income

Half of the money invested in annuities was used to create guaranteed income, according to an analysis of 2016 annuities by the LIMRA Secure Retirement Institute.

The study, called Annuity Buyer Metrics, found annuity buyers state one of three reasons for buying an annuity: market accumulation, principal preservation, or creation of guaranteed income.

The study also found those who bought annuities designed for accumulation tended to be under 61 years of age, while those over 62 tended to purchase annuities designed to create guaranteed income.