Today’s retirees, and others who are counting on their nest eggs to provide for them, are frustrated and angry. They feel that the banks are taking advantage of the economy to create obscene profits.

Although CD’s are insured by an agency of the US Government and alternatives may not be, people can do much better with their savings! As with anything else, knowledge is the key. The banks are making more money than ever and hope the average person will not bother to learn about alternatives. The bankers want people to keep their money tied up at disgusting low rates, and know a lot of us will not move because of the fear of the unknown.

Equity Indexed Annuities (EIA's) were established by insurance companies to compete with very popular indexed mutual funds. Equity indexed annuities track a particular stock-market index, such as the S&P 500, NASDAQ, or DOW, with the rate of return usually being a set percentage of the increase that index shows in a given year. These make very attractive annuities for many investors because the principal investment is protected and guaranteed from losses in the equity market, while gains add to the annuity's return.

Equity indexed annuities also provide a guarantee on the downside, which is why many investors in equity indexed annuities accept a conservative ceiling on their gains. For individuals who do not want to take any downside risk, equity indexed annuities are one of the best options available.