Most variable annuity products distributed today are complex commodities with an abundance of moving parts - indexed annuity products even more so. It is due to this complexity that regulatory authorities take a harsh view at the sale of these products. Very few securities face the disclosure requirements of a variable or indexed annuity; in that a variable or indexed annuity is an insurance product and a security product, they often face the burden of overcoming the high degree of scrutiny from multiple regulatory agencies at both the state and federal levels. Yet given the level of complexity and the level of regulatory scrutiny, funds invested in variable annuities have reached well over one trillion dollars; a lot of money no matter who you are.It is only when a registered representative fully understands the advantages and disadvantages of a variable or indexed annuity that a decision can be made by the prospective client that the annuity is the proper investment product to include in their retirement or financial plan.
