Affluence comes with its own set of needs and challenges. WilLo Financial Group provides attentive service to help high-net worth individuals develop effective wealth and investment management strategies.
We work in conjunction with clients’ CPAs and lawyers to provide comprehensive wealth management services. If you desire generational income, estate planning, income tax strategies, or have philanthropic goals, we can help develop a tailor-made plan for you and your family.
WilLo Financial Group provides a wide range of services that can help affluent and high-net worth individuals grow and preserve their wealth so they can pass it on to their family and heirs in the most tax-efficient manner.
For more than two decades, the wealth managers at WilLo Financial Group have helped affluent families in the Purcell, Oklahoma area grow and preserve their wealth with services that include:
- IRA Legacy Planning
- Long-Term Care Policies
- Asset Preservation Strategies
- Estate Planning Services
- Tax-Saving Strategies
Annuities
Annuities often get bad press for the same reason other income strategies sometimes do: the financial media and many financial advisors have a vested interest in keeping you tied to growth-based financial strategies, even after you should have shifted your focus to income.
Many of the advisors who badmouth annuities simply don’t have the knowledge to manage, or even offer, most of the tools in an income portfolio, including annuities. That’s why there’s a lot of misinformation about annuities, even though they’re versatile and can be an effective part of your income strategy.
As you may know, an annuity is a financial contract between you and an insurance company. A fixed annuity is designed to generate income based on a minimum interest rate for the life of the contract. Market changes might force the insurance company to raise or lower its rate, but that wouldn’t affect your income return.
Annuities are also categorized by risk and how they generate earnings. That’s why you have fixed annuities in the conservative category and indexed annuities in the moderate category. Indexed annuities pay interest based on the performance of a specific market index, such as the S&P 500. While this gives them more growth potential, it – again – also makes them riskier.
Variable annuities are what some people consider a great way to maintain all the risk of the stock market in the single most expensive way possible. Variable annuities typically lack liquidity, meaning they can tie up your money for long periods of time. If an emergency comes up and you need to access your money, you will be hit with surrender penalties.
There are rare occasions when a variable annuity might make sense, such as a doctor who wants to protect his or her assets from malpractice suits or creditors, but they are very few and far between.
The bottom line is that certain types of annuities can be effective in helping you achieve your income goals in retirement. With that said, you must be very careful to select the right type of annuity so you can avoid costly mistakes.
