Could rising interest rates derail your future plans?
After more than a decade of impressive stock market growth, recent volatility may have you looking for ways to protect your earnings.
Traditionally, fixed-income investments are used to bring safety and stability to a financial portfolio. But, with interest rates on the rise, these investments come with risk, too.
As interest rates go up, bond fund values generally go down. This could mean trouble if you are counting on bond investments for reliable retirement income.
The hidden risk of rising rates
Consider how the value of a $100,000 investment in a bond fund can be affected by a one-time interest rate increase.
Don’t let increasing interest rates derail your retirement plans. Fixed-indexed annuities provide principal protection and growth opportunity that can help avoid some of the negative side effects of rising rates.
MassMutual Ascend Life Insurance Company is not an investment adviser and the information provided is not investment advice. You should consult your financial professional for advice based on your personal circumstances and financial situation.
Duration is a measurement of a bond fund’s sensitivity to interest rate fluctuations. It is not the same as the bond fund’s average time to maturity or average term.
Example assumes starting interest rates of 2.52% for 2-year duration bond fund, 2.64% for 3-year, 2.80% for 5-year, 2.97% for 10-year and 3.11% for 30-year.
Speak with an annuity expert for no pressure, thoughtful insight to help plan a perfectly protected retirement.
More About MassMutual Ascend
As a leading provider of annuities, we see our products as more than just contracts. Our annuities are transparent and easier to understand, so you always know what to expect.
At MassMutual Ascend, we offer a broad range of annuities to help meet your unique needs: immediate, fixed, fixed-indexed and registered index-linked annuities.