Article Summary:
For do‑it‑yourself planners looking for steady growth without market uncertainty, a Multi‑Year Guarantee Annuity (MYGA) can offer a compelling option. This article explains how MYGAs provide guaranteed interest rates, principal protection, and tax‑deferred growth, making them a stable complement to a diversified portfolio. It highlights why predictable returns and long‑term security are increasingly appealing in today’s volatile market environment.
Financial security isn’t just about chasing high returns—it’s about having a reliable strategy that balances risk and reward. You take pride in building a diversified portfolio and carefully selecting options that align with your long-term goals. But in a world of market volatility and fluctuating interest rates, how do you ensure stable, predictable growth?
A fixed deferred Multi-Year Guarantee Annuity (MYG Annuity) from American National Insurance Company offers exactly that: guaranteed rates, steady growth, and financial security. If you’re looking for a way to protect and grow your wealth—without being impacted by uncertain market exposure—an MYG Annuity from American National Insurance Company could be a smart addition to your financial plan.
A well-structured portfolio usually includes assets that provide dependable, fixed returns. Stocks can be unpredictable, bonds fluctuate with interest rates, and even cash alternatives like money market funds can offer inconsistent yields.
That’s where an MYG Annuity from American National Insurance Company stands out. It provides a guaranteed interest rate for a set period with no market exposure, ensuring that your money grows on a predictable schedule—no guesswork, no surprises.
Who Benefits Most from Predictable Growth?
With an MYG Annuity, your principal is protected—unlike stocks or mutual funds, there’s no risk of losing money due to market downturns. Your earnings are locked in from the start, so you always know what to expect.
How Does It Compare to Other Fixed-Rate assets?
|
Feature |
MYG Annuity |
CDs |
Bonds |
Money Market Funds |
|---|---|---|---|---|
|
Rate of Return |
Typically, higher than CDs |
Typically lower, especially at banks |
Varies with market rates |
Low and fluctuating |
|
Guaranteed Growth |
Yes |
Yes |
Varies by issuer
|
No |
|
Tax Deferral |
Yes |
No |
No |
No |
|
Market Risk |
No Exposure |
No Exposure |
Exposure |
Minimal Exposure |
|
Money Access |
Up to 10% annual penalty free withdrawals |
Penalties may apply |
Penalties may apply |
Typically, no penalties |
The advantage? A powerful combination of competitive rates, guaranteed growth, and tax-deferral allows an MYG Annuity to deliver risk-free growth without market exposure. It also allows limited liquidity through annual penalty-free withdrawals, providing both security and access when needed.
As a do-it-yourself planner, you know that balancing risk and reward is essential. While stocks and other high-growth holdings play a role in long-term wealth building, having a portion of your portfolio in a guaranteed, tax-advantaged asset can provide stability and peace of mind.
An MYG Annuity from American National Insurance Company delivers:
1At the end of the selected interest rate guarantee period, you can surrender the contract free of surrender charges and any market value adjustment. The request for the surrender must be made within the 30-day period following the end of the selected guarantee period. This special surrender option applies to a full surrender only and is not available for partial withdrawals or systematic withdrawals. Penalty-free withdrawals allow up to 10% of the annuity value at the beginning of the year to be withdrawn annually, free of surrender charges. Any withdrawals, including interest-only withdrawals, will reduce the amount of interest credited to your contract. Withdrawals of earnings are subject to income tax. A 10% IRS penalty may be imposed for withdrawals before age 59 1/2.
Information herein is not intended to be legal or tax advice. You should consult with your own attorney and tax advisor for your specific circumstance. Current U.S. tax law provides that earnings from an annuity are taxable only upon withdrawal as ordinary income. Any withdrawals in excess of the surrender free amount are subject to surrender charges and any market value adjustments. Bonds are generally taxed annually unless held in a tax-advantaged retirement account. Municipal bonds may be exempt from federal taxes and sometimes state/local taxes.
American National is a group of companies writing a broad array of insurance products and services and operating in all 50 states. American National Insurance Company was founded in 1905 and is headquartered in Galveston, Texas. Not all products and services are available in all states. Form Series: MYG24; AI20 (Forms may vary by state). CA Form: MYG16(04).