Tina, a single 37 -year-old, wants to invest in the stock market on a tax deferred basis from now until she retires. She believes that the stock market will fluctuate up and down over time, but over the long-term will be significantly higher than it is today. She does not want to pay for product features that she does not value. What type of annuity is most suitable for Tina?
Tina, a single 37 -year-old, wants to invest in the stock market on a tax deferred basis from now until she retires. She believes that the stock market will fluctuate up and down over time, but over the long-term will be significantly higher than it is today. She does not want to pay for product features that she does not value. What type of annuity is most suitable for Tina?
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Tina, a single 37 -year-old, wants to invest in the stock market on a tax deferred basis from now until she retires. She believes that the stock market will fluctuate up and down over time, but over the long-term will be significantly higher than it is today. She does not want to pay for product features that she does not value. What type of
A) A flexible variable annuity.
B) A single-premium, variable annuity.
C) Adeferred, fixed annuity:
D) An equity-indexed annuity.
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