February 11, 2025
Why a Longer-Term MYGA Could Be a Smart Financial Move in Uncertain Times
With recent market volatility creating uncertainty for many people, long-term Multi-Year Guaranteed Annuities (MYGAs) can help to provide a stable and secure solution. A long-term MYGA, such as 7, 8, 9 or 10 years, offers unique advantages that cater to individuals seeking peace of mind and predictable growth amid economic fluctuations. Let’s dive into why this product stands out.
Why Choose a Longerhttps://kskjlife.com/income-later/-Term MYGA?
1. Stability in an Uncertain Market
With the stock market experiencing frequent swings recently, people are looking for safe havens to protect their savings. A longer-term MYGA eliminates market risk, ensuring that your principal and earnings remain secure regardless of economic downturns. While equity investments can be unpredictable, this annuity provides a sense of calm by offering guaranteed returns.
2. Competitive Rates That Outpace Other Options + The Power of Compounding
A longer-term MYGA often offers a higher rate than shorter terms or comparable financial vehicles, such as certificates of deposit (CDs) or bank savings accounts. If you’re looking to lock in a long-term, competitive return, this product ensures steady growth that can compound over the years. Longer terms allow the power of compounding to work more effectively, as the interest earned each year adds to your principal, leading to exponential growth over time.
For example, with a $50,000 contribution into a 10-Year MYGA at a guaranteed rate of 5.40% APY, your balance would grow to $84,178* after 10 years thanks to the compounding effect.
3. Protection Against Market Volatility
Over the last decade, the stock market has seen its share of ups and downs, with recent days bringing heightened uncertainty. For those nearing or in retirement, such volatility can be unnerving. A MYGA shields your principal and ensures consistent growth without market-related fluctuations.
4. Predictable and Transparent Growth
With a KSKJ Life MYGA, there are no hidden fees, complicated investment strategies, or surprises. The growth is clear from day one, allowing for more effective financial planning. The longer the term, the greater the predictability, as your investment remains unaffected by economic or market changes.
5. Tax-Deferred Growth
MYGAs allow your earnings to grow tax-deferred, meaning you won’t owe taxes on your gains until you withdraw them. This feature enables your contribution to compound faster than it would in a taxable account, further amplifying the benefits of a longer-term commitment.
6. Longevity Matches Long-Term Goals
A 10-year horizon, for example, aligns well with long-term financial objectives, such as saving for retirement, funding future expenses, or creating a legacy for loved ones. It’s an excellent choice for those who can afford to set aside funds without needing immediate liquidity.
KSKJ Life offers a wide range of MYGA terms ranging from 2-10 years, with competitive guaranteed rates to help secure your financial future.
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*Example based on a KSKJ Life 10-Year MYGA with a current rate of 5.40% APY (rate effective as of 12.18.2025 and is reviewed frequently and subject to change). 10-year total assumes no surrenders or withdrawals during surrender period. Not FDIC insured. We are not financial planners or tax advisors. Please consult with a financial planner concerning investment products.
