NU Online News Service, Aug. 20, 2003, 5:22 p.m. EDT – U.S. variable annuities attracted $33 billion in premiums during the second quarter, up from $29 billion in premiums during the second quarter of 2002, according to the National Association for Variable Annuities, Reston, Va.
Because withdrawals slowed even more than deposits increased, the net flow of cash into variable annuities climbed 88%, to $12 billion.
Total VA net assets reached $880 billion at the end of the quarter, up from $831 billion a year earlier.
NAVA figures show that consumers who put money in variable annuities are being a little more aggressive. The percentage of VA assets parked in fixed accounts fell to 29% at the end of June, down from 31% at the end of the first quarter. The percentage in stock accounts increased to 47%, from 46%.