How a Fixed Annuity Can Hedge Sequence of Returns Risk in Early Retirement

In this episode of Annuities with Fexingo, Lucas and Luna explore how a fixed annuity can act as a buffer against sequence of returns risk — the danger of retiring into a bear market. Using the example of a couple retiring in 2008 with a $1 million portfolio, they show how allocating 30% to a single premium immediate annuity (SPIA) preserved their portfolio for later withdrawals. They discuss the mechanics: how guaranteed income reduces the need to sell assets when markets are down, and how free up remaining assets for growth. They also compare a SPIA to a bond ladder, noting that annuities offer mortality credits that bonds don't. The hosts emphasize that annuities aren't for everyone, but for retirees worried about market timing at retirement, a fixed annuity can be a powerful risk-management tool. The episode includes a brief, organic listener-support mention: why ad-free shows rely on small contributions, and a link to support at buymeacoffee.com/fexingo. #SequenceOfReturnsRisk #FixedAnnuity #SPIA #RetirementPlanning #FinancialRiskManagement #EarlyRetirement #BearMarket #PortfolioProtection #IncomePlanning #MortalityCredits #BondLadder #GuaranteedIncome #AssetAllocation #Finance #FexingoBusiness #BusinessPodcast #AnnuitiesWithFexingo #RetirementIncome Keep every episode free: buymeacoffee.com/fexingo