Fixed indexed annuities are often pegged as a safer way to invest in the market. As such, many financial advisers spurn the product due to its perceived inefficiencies in growing wealth when compared to straightforward investment strategies.
This is based on a huge misconception of the FIA product, which many people incorrectly view as nothing more than a tax-advantaged wrapper that allows insurance companies to take a cut off the top when they’re actually just buying into the S&P or another underlying index security.