• The right annuity can bring extra income.money money money image by Arman Zhenikeyev from Fotolia.com
  
  

Annuities are Long-term Investments

• Investing in an annuity is a financially sound decision if the income being sought over time outweighs the amount of money put into the annuity in the beginning.
  
  

Payments are a Shortfall

• Most annuities are set up to provide monthly or yearly dividend payments to the investor. Due to the long-term nature of this type of financial investment, it may not be wise to open an annuity if you are expecting to gain a large amount of money immediately from using the annuity fund instead of regular payments over years.
  
  

Bottom Line

• Opening an annuity is considered a safe and wise financial decision if you need to establish an investment portfolio as well as an income stream for retirement and other life events.