Also keep in mind that once you annuitize the annuity (trade the market value, AKA accumulation units, in for an income stream, AKA annuity units), then you are totally 100 % stuck with this for life with zero hope of ever getting anything out of the insurance company but
your little paltry yield, which most of the time DOES NOT EVEN INCREASE WITH COST OF LIVING INFLATION!
The earnings
yield on enormous blue - chip stocks such as Wal - Mart, which had
little chance to grow at historical rates due to sheer size, was a
paltry 2.54 % compared to the 5.49 % you could get holding long - term Treasury bonds.