“Indexed annuities are currently the hottest and most over promoted product in the annuity world, and the dream-return scenarios that are too often being pitched are translating into record sales.
I am one of the few people in the annuity world that hasn't drunk the hybrid annuity Kool-Aid because indexed annuities were actually designed to compete with CDs, not market returns. High-income rider percentages veiled as yield along with upfront bonus teasers combine with the false narrative of no downside with market upside . This annuity nonsense has created a toxic formula of over hyped sales madness that is sweeping the country. The fact that Internet, TV, radio, and print promotions go largely unregulated and without repercussion has spawned a new breed of annuity elixir carnival barkers.
Buyer beware is an understatement.” Read: Confessions of an indexed-annuity insider http://www.marketwatch.com/story/confessions-of-an-indexed-annuity-insider-2014-04-29