Registered Indexed Annuity

A Registered Indexed Annuity (RIA) is a type of annuity product that combines features of fixed and variable annuities, offering a balance between potential growth and protection against market downturns.

RIAs are registered with the Securities and Exchange Commission (SEC) and are considered securities, unlike their non-registered counterparts.

The performance of a Registered Indexed Annuity is tied to a market index, such as the S&P 500, which allows for growth potential when the market performs well.

One of the key attractions of Registered Indexed Annuities is their ability to participate in market gains while offering a buffer against losses. This is typically achieved through a cap on returns and a floor on losses.