Business / Taxes / Hybrid Annuity: With a hybrid annuity, you allocate part of your annuity’s assets to providing fixed income payments and part to making variable income payments. For example, you could buy a hybrid immediate annuity with a lump sum of $50,000, and allocate $35,000 to fixed payments and $15,000 to variable payments. The fixed portion would lock in a specific yearly income, while income from the variable portion would depend on the performance of the underlying investments you selected. This approach allows you to combine the advantages of both types of annuities — regular income from the fixed and growth potential from the variable — in a single package.
Hybrid Noun Synonyms: mixture, cross-breed, half-breed, mongrel, cross, composite, combination, compound
Business / Finance / Life Annuity: An annuity that pays a fixed amount for the lifetime of the annuitant. MORE
Business / Finance / Joint And Survivor Annuity: A type of annuity opened by and intended for two people, that makes payments for the entire lifetime of both beneficiaries, even if one of them dies. MORE