Should you have a variable annuity inside of an IRA? Absolutely not, learn more about why this is not an investment strategy you should be employing.

1. Mullooly Asset Management Podcast
October 30, 2013
Mullooly Asset Management October 2013

2. An Example
 Client of Mullooly Asset has an annuity she wants to
surrender
 Her CPA suggested NOT surrendering
Mullooly Asset Management October 2013

3. The Facts
Client began with $205,000
 Received $5,000 each year as required minimum
distribution – 11 years x $5,000 = $55,000
 Should be $150,000 today if annuity earned nothing
 Today’s value : $87,000
Buried in the annuity contract is this gem:
Annual Management Expenses - 2.95%
Mullooly Asset Management October 2013

4. The Annuity is Inside an IRA
If you have an annuity within an IRA and are age 59.5:
 You can surrender that annuity
 (In most cases) surrender charge will be waived
because it is considered an IRA distribution
 You will have 60 days to deposit the funds into another
IRA
Mullooly Asset Management October 2013

5. Annuities and IRA’s Don’t Mix
 There are no benefits in having a tax deferred
investment (the annuity) inside of a tax deferred
account (the IRA)
 By doing so you may also be limiting what investments
you can own
 It also probably increases the expenses of the IRA by
generating fees or commissions for the broker
Mullooly Asset Management October 2013

6. None of the securities mentioned in this (or any) podcast or
video represent past specific recommendations of Mullooly
Asset Management.
This video is NOT a recommendation to buy or sell any of the
securities mentioned here.
If you’re relying on a podcast for investment advice, you are
likely making a huge mistake.
We strongly urge our listeners to consult with their
investment advisor before they make a decision to buy or sell
any investment.
Mullooly Asset Management October 2013

7. Mullooly Asset Management, LLC
support (at) mullooly (dot) net
732-223-9000
www.mullooly.net
Mullooly Asset Management October 2013