Several annuity companies are now offering what the Insured Retirement Institute calls an innovative product: the growth-oriented variable annuity (GOVA). The annuity, IRI said, is designed to grow and protect the annuity holder's asset base, knowing that it can be converted to a guaranteed income stream at a later date.
The GOVA market is expected to grow in 2014 as more companies begin to offer this product, IRI said.
This year will likely bring more product development, which IRI said will be driven by "consumer demand and risk diversification by annuity providers." More companies, IRI predicted, will also offer some variation of growth-oriented VAs.
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