The funny thing about preparing for retirement is that there is always the possibility of a curveball during the process. After all, it goes without saying that people who had a plan locked in during 2019, may have seen things go up in smoke just a few months later. When times and circumstances change, it can mean that an old way of preparing for things doesn’t work as well anymore.

This is certainly true for those who were overly-invested in the stock market. Think about the unlucky Baby Boomers who did everything right, except for accounting for a retirement safety net. They went into retirement with a strong portfolio, and then had to navigate some horrifying times while the waters were choppy. Most likely they either pulled out of the market too soon or not soon enough, thus having a negative impact on their retirement nestegg either way.  Then when it comes down to getting back in the market, most usually get back in too late and those large gains are not realized.  Is that really how you want to live your retirement? There are so many more fun things to do than always keeping one eye on the stock market.

Fortunately, there are types of financial retirement plans that account for any type of market environment. These are generally the safer practices, and can help you survive when economic times are rougher. The only problem is that traditional safe money vehicles like CDs, bonds, and money markets just don’t provide a growth rate that can take you through your golden years.

The good news is that the right annuity can absolutely change the game. Think about what guaranteed lifetime income and protection from market risk could do for your retirement strategy. All of a sudden, you can realize consistent and reliable asset growth, without exposing yourself to the dangers of market volatility. Not to mention, the peace of mind, clarity and confidence that naturally becomes a by product with a strategy that involves a safety first based approach which is another incredible benefit for your financial strategy.

If you are looking for a fixed indexed annuity with a lot of options, the American Equity IncomeShield 10 represents a strong consideration. This annuity provides ways for you to grow your money at a fixed rate (set growth), or an indexed way (upside market potential , but protected from losses). Plus, with available market index strategies such as the benchmark S&P 500 and S&P 500 Dividend Aristocrats Daily Risk Control Index, you will be investing in proven indexes backed by the 0% guaranteed floor commonly found in fixed index annuities that shields your nestegg from downside market performance.

The IncomeShield 10 boasts a premium bonus, where any premium invested in the first year of your contract gets boosted by 7%. This is an incredible way to jumpstart your income value, and allows for some major growth as the years add up. Additionally, the IncomeShield fixed index annuity provides for a Lifetime Income Benefit Rider. If selected, your income benefit value will grow at a guaranteed compounded roll-up rate of 4%-7.25% (at the time of writing this review) depending on how long you defer the income start date .  The Lifetime Income Benefit Rider with the IncomeShield Annuity also allows for guaranteed lifetime income payments starting as early as 30-days after the contract is issued or you can decide to defer the income stream to a later time, ideal for those approaching retirement within 10 years and wanting to shield a portion of their nestegg from market declines. There are a number of options available, and the duration selected will help determine the percentage that you can earn. And, within the Lifetime Income Benefit Rider, you can choose a Wellbeing Benefit Option that increases the income payments for those who become unable to perform certain Activities of Daily Living. This is a great feature for those who are especially concerned with long-term care needs.

It is important to consider that an annuity can’t take care of every key area.  A fixed index annuity such as the IncomeShield from American Equity is another tool to accommodate the rest of your retirement plan and should be used as such.  In this case, the Income Shield 10 is a lifetime income focused annuity and that is the role it plays most commonly in a retirement plan.  It does really well when used as a deferred income annuity.  In other  focus areas where annuities can be used such as safe accumulation, legacy planning, or long term care benefits, the Income Shield fixed index annuity is outshined by other annuities available on the market that have a stronger focus in these areas. 

When it comes to deciding if the American Equity Income Shield Fixed Index Annuity is right for your personal situation, it's best to do your due diligence and compare this annuity to the many others.  An annuity specialist that understands your needs and has the right tools to sort and sift through the various annuities can be a great resource.