Heading 1
1 A variable annuity is an insurance contract and includes underlying investments whose value is tied to market performance. When markets are up, you can capture the gains, but you may also experience losses when markets are down.
5 Converting some or all of your savings to income benefits (referred to as “annuitization”) is a permanent decision. Once income benefit payments have begun, you are unable to change to another option.
variable annuities can play an important role in that plan, offering monthly income for the rest of your life with the opportunity to see your income grow—along with the choice to continue payments to others.1
1 A variable annuity is an insurance contract and includes underlying investments whose value is tied to market performance. When markets are up, you
can capture the gains, but you may also experience losses when markets are down.
Once retirement capital is converted to lifetime income benefits (”annuitization") and payments begin, you cannot change to another payment option. But you retain lifelong agency over the underlying investments accounts whose value is tied to market performance. As many as 283 accounts.
delivering income designed to keep pace with inflation
Grosse point capital management provides bespoke fee-based advice, sales, underwriting and compliance support in this unique segment of the retirement landscape, with bespoke integration for those approaching or enjoying retirement withbased on their unique goals and risk tolerance.
Retirement income decisions are often permanent, yet most investors receive little guidance on the complex world of variable annuities and lifetime income planning. Our specialized approach combines independent advice, product expertise, underwriting support, and compliance oversight to help you evaluate your options with confidence before making irrevocable retirement income elections.
Whether you are considering annuitization, reviewing an existing contract, or seeking to maximize retirement income while maintaining investment flexibility, Grosse Pointe Capital Management provides personalized guidance tailored to your goals, risk tolerance, and legacy objectives. Schedule a consultation to discover how a customized retirement income strategy can help secure your financial future.
What to Know
Payment Certainty. Purchasing Power Uncertainty.
Retirement doesn't end inflation—it simply shifts who bears the risk. While fixed lifetime income provides payment certainty, it cannot guarantee that those payments will maintain their purchasing power throughout retirement.
A $1,000 monthly payment purchased in January 2020, immediately before the highest inflation surge in more than forty years, had the purchasing power of approximately $785 by the beginning of 2026.
Professionally managed variable lifetime income takes a different approach by combining guaranteed lifetime payments with continued participation in the capital markets. While future payments fluctuate with investment performance and are not guaranteed to increase, they have the opportunity to grow over time—helping address one of retirement's greatest long-term financial risks: the erosion of purchasing power.
onger Lives. Lasting Income.
One of retirement's greatest uncertainties isn't how the markets will perform—it's how long your income will be needed. As life expectancy continues to increase, retirement income may need to support twenty-five, thirty, or even forty years of spending.
Variable annuitization transfers longevity risk to an insurance company while preserving professionally managed market participation. Through mortality credits, retirees who live longer continue receiving guaranteed lifetime income—an economic benefit that investment portfolios alone cannot create.
Consider the longevity probabilities for 65-year-olds in average health:
-
Most men are expected to live beyond age 86; most women beyond age 89.
-
Approximately one in four men will live beyond age 92; one in four women beyond age 94.
-
About one in ten opposite-sex couples can expect at least one spouse to reach age 100.
Longer lives require more than larger portfolios—they require a retirement income strategy designed to last as long as you do.