How an Annuity Can Protect Against Sequence of Returns Risk in Early Retirement

In this episode of Annuities with Fexingo, Lucas and Luna tackle a fear that keeps many retirees up at night: sequence of returns risk. They explain how a bad market in the first few years of retirement can permanently damage a portfolio, and why a single premium immediate annuity (SPIA) can act as a shield. Using a concrete example of a 65-year-old with $500,000, they show how annuitizing 20% of savings can cover fixed expenses, allowing the rest of the portfolio to weather downturns without forced selling. They discuss the trade-offs: loss of liquidity versus guaranteed income, and how inflation riders can help. The episode also touches on how this strategy complements the 4% rule and bucket approaches. Perfect for pre-retirees ages 55-70 who are building an income plan. #SequenceOfReturnsRisk #RetirementIncome #SinglePremiumImmediateAnnuity #SPIA #RetirementPlanning #GuaranteedIncome #LongevityRisk #MarketDownturn #EarlyRetirement #AnnuityLadder #IncomePlanning #FinancialPlanning #RetirementStrategy #FexingoBusiness #BusinessPodcast #FinancePodcast #Investing #PersonalFinance Keep every episode free: buymeacoffee.com/fexingo