Assured Annuities provides a way for buyers to buy previously owned structured settlement payments for above average fixed rates. The way these investments work is that the buyer buys an assignment of the payment rights from the former annuitant, who gives it up in exchange for a lump sum. The buyer gets an effective interest rate on the payment stream?that allows them to enjoy a positive yield on their investment.
In some regards, these investments almost work as if the buyer held a mortgage that paid out to them every month. The interest rate combined with a long payment term means that, over time, these annuities can pay out quite a bit of money and that money can be added to a retirement portfolio or any other type of portfolio.
Legal Issues
Assured Annuities takes care of the initial legal transfer process, so buyers do not have to deal with?that part of process. In fact, the buyer will simply become the assignee on the annuity payment rights either directly or indirectly through a third party servicing company after the original annuitant gives up their right to the payments.
The yield on a long-term annuity purchase can be relatively higher as compared to other similar types of investments with similar risks. If you have the money to pay for an annuity upfront and you’re looking for a way to add a fixed income asset to your portfolio, these can be excellent financial instruments to look at and may provide the stability and profitability that you