The Product that Never saw the Light of Day, Redux

I love my readers.  How many Variable Annuity [VA] products got mentioned to me as a result of yesterday’s article? Four, out of 2 emails, 3 comments, and one clever guy who figured out my phone number (no, I don’t keep it secret).

  1. Vanguard’s VA offerings
  2. Fidelity’s VA offerings
  3. Symetra’s VA offerings
  4. Jefferson National’s VA offerings

In my opinion these are some of the better VA options out there.  It’s not quite what I proposed in my article, where every major mutual fund would offer T-shares, but they are close.

My main differences with these products is that:

  • the expense charges going from taxable to annuity should be smaller.
  • there should be more choices, aside from Jefferson National.
  • it would be better if the mutual fund companies took the lead in these matters.

As an aside, I pushed for products like this from 1996-2006.  By the time I gave up, I concluded that there was no one willing to offer variable annuity products that were truly cost-efficient.  Now we have at least four contenders, though I think my product idea would be better still.

But incremental improvement is a good thing.  Thanks to those who commented, emailed, and called.