A bond replacement is replacing the percentage of bonds within your portfolio by investing in fee-efficient, accumulation-based, fixed indexed annuities. Bonds traditionally provide income and negative market correlation versus stocks, but they also carry significant risk, including interest rate risk, reinvestment risk, and systematic and unsystematic market risk.
Many investors today have chosen to invest in fixed indexed annuities that can generate market-like gains without the traditional market risk. Investors are especially pleased to eliminate portfolio management and advisory fees that are often associated with bonds by investing in fixed indexed annuities.
A bond replacement strategy is strongest when investing in an accumulation-based fixed indexed annuity and avoiding income rider fees that are typically associated with income-based annuities. Please note that all guarantees associated with fixed indexed annuities are based on the claims-paying ability of the issuing life insurance or annuity company.
Why are you taking unnecessary reinvestment risk and interest rate risk by investing in bonds?
If you replace your bonds with a Fixed Indexed Annuity, you can eliminate unnecessary risks and get market-like gains without the market risk! Our report will cover the different risks associated with bonds and how a Fixed Indexed Annuity can change your portfolio for the better!
What is interest rate risk? Learn why bonds are subject to this type of risk.
What is reinvestment risk? Learn how this will affect those who choose to invest in bonds.
What is market risk? Learn why bonds are sensitive to market risk and why Fixed Indexed Annuities avoid this type of risk.
What do our customers have to say
about bond replacement?
"I learned about the important concept of bond replacement by reading this report. It just makes sense to eliminate the advisory fees that I was paying to get income from bonds. Thank you for simply laying out the fee-efficient advantages of replacing bonds with Fixed Indexed Annuities!"
- Michael D.
- Doug & Dusty G.
"We invest conservatively and believe, like Mark Twain did, that the return of our principal is far more important than the return on our principal. Getting an estimated 6.94% average rate of return with an immediate 10% bonus by investing in an accumulation annuity with Ford during this difficult time with the COVID-19 pandemic without market risk made us feel a lot better."