Perspective: Annuities -- Lifetime security in a defined contribution plan

Annuities may make a comeback in defined contribution (DC) plans as demographic and marketplace trends prompt a fresh look at this distribution option. Less than a third of today's DC plans offer annuities, citing high fees, poor investment performance, limited flexibility, administrative burdens, and fiduciary concerns. But annuity providers now offer products with inflation protection, liquidity options, flexible structuring, and other features designed to overcome annuities' fall from favor. This Perspective looks at factors spawning new interest in annuities and their roles in DC plans.  (Perspective, 19 Apr 2007, 1 page)

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