If you decide to surrender your annuity contract outright it may trigger tax consequences. This might not

be in your best interests.

 

Many alternative investments are available via a 1035 tax-free exchange to mitigate the tax burden. A 1035 exchange is a provision in the tax code that allows you, as a policyholder, to transfer funds from a life insurance policy, endowment, or annuity to a new policy, without having to pay taxes.

 

Here are some of the reasons that selecting a new contract may meet your investment objectives better:

 

• Lower cost

• Better death benefit selections

• Better income benefit selections

• Adding a spouse to a new contract

• Diversifying insurance carriers

• Investment options available

• Higher crediting interest rates

• More investment potential

• Elimination of stock market risk

• Possible access to alternatives and hedge funds

 

It is very difficult to predict what your needs might be. This must be carefully evaluated. Please contact us immediately to learn about your options.

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All new annuity contracts are sold through our broker dealer, Arete Wealth Management, LLC