Many individuals purchase variable annuities as part of their investment strategies. Reading the prospectus and talking with a licensed financial professional is important. Understanding what a variable annuity is, how it works, and the relevant charges helps determine whether a contract is right for you.   What Is a Variable Annuity? A variable annuity  is a contract between you and an insurance company. You make a single payment or a series of payments, and the insurer make

A variable annuity is a type of insurance contract that combines investment with retirement income protection. Because the contract is invested in subaccounts tied to underlying investments, such as stocks, bonds, and mutual funds, it can offer higher returns than fixed annuities.   A variable annuity might be a good option if you want to stay ahead of inflation and increase the value of your retirement savings. The following information can help determine whether one might b