Need some assistance on moving from variable to fixed indexed

[ValeRosso]

I have a client who has three variable annuities, and I'm trying to determine what approach I should take regarding moving from variable to fixed indexed. He's never going to use the money from these annuities, these are solely for legacy purposes.

Here are the 3 annuities if you have any remarks on them (im not familiar with any, other than brief research on them)

1. Transamerica Axiom III Variable
Since annuity start date, has had a 2.2% growth rate, had it about 12 years

2. Pacific Life Pacific Journey Select
Since annuity start date, has had a 2.8% growth rate, had it about 10 years

3. Venerable Golden Select Premium Plus
Since annuity start date, had 1% growth rate per year, had it for 25 years.

What would you do in this situation? Obviously coming at it from the angle of "we can absolutely put you in a better position, protecting your money from the market, while earning you more than what you're making now.". Is there another approach you'd include or recommend? I want to give it the best shot that I can.

 

[Tahoe Ray]

I have a client who has three variable annuities, and I'm trying to determine what approach I should take regarding moving from variable to fixed indexed. He's never going to use the money from these annuities, these are solely for legacy purposes.

Here are the 3 annuities if you have any remarks on them (im not familiar with any, other than brief research on them)

1. Transamerica Axiom III Variable
Since annuity start date, has had a 2.2% growth rate, had it about 12 years

2. Pacific Life Pacific Journey Select
Since annuity start date, has had a 2.8% growth rate, had it about 10 years

3. Venerable Golden Select Premium Plus
Since annuity start date, had 1% growth rate per year, had it for 25 years.

What would you do in this situation? Obviously coming at it from the angle of "we can absolutely put you in a better position, protecting your money from the market, while earning you more than what you're making now.". Is there another approach you'd include or recommend? I want to give it the best shot that I can.

Death benefit rider.

Global Atlantic - 7% simple for up to 15 years. Athene will give 150% credits to a benefit base that can be accessed on death, multiple other carriers that offer different flavors.

 

[ValeRosso]

Thanks for this. 7% simple is great.

 

[Allen Trent]

I have a client who has three variable annuities, and I'm trying to determine what approach I should take regarding moving from variable to fixed indexed. He's never going to use the money from these annuities, these are solely for legacy purposes.

Here are the 3 annuities if you have any remarks on them (im not familiar with any, other than brief research on them)

1. Transamerica Axiom III Variable
Since annuity start date, has had a 2.2% growth rate, had it about 12 years

2. Pacific Life Pacific Journey Select
Since annuity start date, has had a 2.8% growth rate, had it about 10 years

3. Venerable Golden Select Premium Plus
Since annuity start date, had 1% growth rate per year, had it for 25 years.

What would you do in this situation? Obviously coming at it from the angle of "we can absolutely put you in a better position, protecting your money from the market, while earning you more than what you're making now.". Is there another approach you'd include or recommend? I want to give it the best shot that I can.

Are you sure the client hasn't been taking money out of those? Would be shocked if they have been owned that long and only had that much growth. Only explanation I can think of is client took money out or had it all allocated to fixed separate accounts

 

[ValeRosso]

Are you sure the client hasn't been taking money out of those? Would be shocked if they have been owned that long and only had that much growth. Only explanation I can think of is client took money out or had it all allocated to fixed separate accounts

I asked, no money was taken out. Crazy low interest.

 

[Sheryl J Moore]

I have a client who has three variable annuities, and I'm trying to determine what approach I should take regarding moving from variable to fixed indexed. He's never going to use the money from these annuities, these are solely for legacy purposes.

Here are the 3 annuities if you have any remarks on them (im not familiar with any, other than brief research on them)

1. Transamerica Axiom III Variable
Since annuity start date, has had a 2.2% growth rate, had it about 12 years

2. Pacific Life Pacific Journey Select
Since annuity start date, has had a 2.8% growth rate, had it about 10 years

3. Venerable Golden Select Premium Plus
Since annuity start date, had 1% growth rate per year, had it for 25 years.

What would you do in this situation? Obviously coming at it from the angle of "we can absolutely put you in a better position, protecting your money from the market, while earning you more than what you're making now.". Is there another approach you'd include or recommend? I want to give it the best shot that I can.

We have specs for the Axiom II and Pacific Journey Select on AnnuitySpecs, if that helps. sjm

 

[Sheryl J Moore]

Are you sure the client hasn't been taking money out of those? Would be shocked if they have been owned that long and only had that much growth. Only explanation I can think of is client took money out or had it all allocated to fixed separate accounts

The contracts likely have optional riders, which have fees that are eating into the gains. sjm

 

[DoctorDu]

Annuities not ideal for legacy purposes as they are income-in-respect-of-a -decedent and don't get a basis step up. If insurable (alone or possibly in conjunction with spouse) would consider annuitization and/or equivalent (living benefit distribution rider) and using distributions to fund a life insurance policy. Would then focus on whether best guaranteed distribution stream can be generated by one or more of the existing contracts or found in a 1035 exchange. Yes, there would be taxes on distributions but proceeds would be tax free.