Understand The Value In The Secondary Market Annuity

When we say ‘Secondary Market Annuity’ we simply refer to period certain, fixed term annuities that are available to you on the secondary market.

These are contracts and payment streams owned by individuals who wish to sell their future payments for cash today.  We connect buyers who want these future payments with the sellers, and manage the entire transaction in a highly regulated, court approved and attorney reviewed process.

Annuity Straight Talk, the owner of this website, is one of the nations largest retailers of Secondary Market Annuities.

What Benefits Do I Get With A Secondary Market Annuity?

A Secondary Market Annuity offers security, safety, and an absolute guarantee.  They are perfect for investors who want a known outcome from their investment, payable to themselves or their heirs.

Secondary Market Annuities- sometimes abbreviated ‘SMA’- are also a good way to ensure an inheritance or income for someone else in the future- the payments are absolute and once purchased, will be paid no matter what.

A Secondary Market Annuity can produce a wide variety of payment streams to suit many planning situations.  Our Secondary Market Annuities inventory page is arranged in the following major categories:

Immediate Income

Deferred Income

Short and Long Term Lump Sum

As you would suspect by these categories, the duration and timing of income from each case varies.

When compared to CD’s and period certain annuities, the yields from a Secondary Market Annuity is 2-4% higher.  For example, period certain immediate annuities have an effective yield of 1.5 to 2%, whereas a Secondary Market Annuity is 4-6%.

Quite simply, you get more income for a lower cost.

Who Should Not Consider a Secondary Market Annuity

Investors who may anticipate needing liquidity from their investment should not consider a Secondary Market Annuity.  While we can facilitate the re-sale of a payment stream, a Secondary Market Annuity should be considered il-liquid and can not be easily cashed in.

Also, investors specifically seeking a lifetime income they can not outlive should consider Hybrid Annuities, Deferred income Annuities, or Immediate Annuities instead, to buy longevity protection.

How To Buy a Secondary Market Annuity

To buy Secondary Market Annuities, it’s best if we have a conversation about the purchase process and to understand just what you are seeking. Because this market moves quickly, often we can reserve a case for you before it becomes publicly available.

Once you have bought one, the process is easy and most of our clients buy from 3 to 10 cases depending on their needs, to build a diversified portfolio of the income they seek.