2015 – The Year of the Fixed Annuity – Message from NAFA

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  • The Way Forward

NAFA will continue its mission and dedication to promoting the awareness and understanding of fixed annuities and their benefits to consumers. Noted S. Christopher Johnson, Chairman of the NAFA Board of Directors, “NAFA is well-positioned for significant growth. We are confident NAFA’s next Executive Director will have all the tools, staff, and resources needed to exceed NAFA’s goals in the future.”

A good example is the work NAFA is planning this year to expand awareness about annuities in bank channels and with broker-dealers, even as we continue to serve the independent marketing channel, carriers and producers.

The NAFA Board of Directors has begun the process of finding a replacement to fill the position of Executive Director. During the transition, I will assume those duties and look forward to working directly with all of you.

2015 Represents a Banner Year for Fixed Annuities –
In More Ways Than One!

  • As we reported in the January/February 2015 issue of the magazine, the fixed indexed annuity celebrates 20 years. Introduced in 1994, who could have imagined that roughly $400 billion in FIAs would be purchased by millions of consumers? Looking ahead to 2015, LIMRA projects another 10 to 15 percent gain in FIA sales and some are predicting, in the not too distant future, that FIA sales could reach a $100 billion year.
  • The Annual NAFA Annuity Leadership Forum returns to Washington, D.C. on June 17-19, 2015. The Annuity Leadership Forum is an exceptional opportunity to connect with fixed annuity leaders and decision makers from around the country. The forum provides attendees the opportunity to speak to their representatives and educate them about our business in Washington with an afternoon full of appointments on the Hill. Prior to the Hill walk, key speakers will address:
    • Tax reform legislation and impacts on annuity policy
    • The future of annuity taxation
    • Retirement legislation promoting annuity solution
    • Methods to increase fixed annuity sales
    • How best to capitalize on market changes
  • 2nd Annual National Annuity Awareness Month – Fellow trade associations will provide educational material, webcasts and social media communications to help educate financial professionals and the public on the important role annuity products play in helping Americans save for retirement as part of a secure retirement savings plan.  An array of educational resources will be available to help educate consumers throughout the month containing both positive and accurate messages regarding annuities. The Coalition for Annuity Awareness will spend the beginning of this year and up to June 2015 in a grassroots effort to obtain proclamations from state governors proclaiming June as National Annuity Awareness Month. The Coalition is also searching for a representative to sponsor a Congressional resolution declaring June as National Annuity Awareness Month.
  • 7th Annual Fall Summit – The 7th Annual Annuity Distribution Summit (formerly the IMO Summit) sets its sights on Coral Gables, FL on October 14-16, 2015 at the historic Biltmore Resort. This year’s eventwill provide the opportunity to come together with other prominent professionals to discuss the key issues that are essential to you and the future of your respective businesses. Attendees will also have access to cutting-edge information and insights from accomplished experts in the marketplace.
  • Legislative Update – The first month of the new 114th Congress passed calmly with calls for bipartisanship in the House and Senate to solve many pending policy issues. However, the release of the President’s budget last month and the corresponding negative response from Republican leaders, reveal the simmering tensions that are likely to escalate as policymaking moves forward. NAFA is closely monitoring tax reform efforts to make sure there are no harmful impacts to the retirement and annuity market. The new chairmen of the tax writing committees in the House and Senate will release discussion drafts for reform in the near future. Unfortunately, the President’s proposed budget contained recommendations that would result in increased taxes on retirement products and limit retirement savings. NAFA signed a joint statement from the Secure Family Coalition addressing our concerns. On a positive note, NAFA recently met with the Department of Treasury to discuss allowing fixed indexed annuities to be treated as qualified longevity annuity contracts (QLAC). NAFA strongly believes that FIA’s provide the guarantees, predictability and lifetime income options that the Treasury seeks. The meeting was positive and we remain optimistic about our ongoing discussions with Treasury.

Stay Active. Stay Informed. Stay Involved.

In 2015, NAFA is laser-focused on promoting the awareness and understanding of fixed annuities during a year which, by all reports, is sure to see the fixed annuity rise to a level of success never before witnessed in this industry. There has never been a time when it was more important to protect your business.

Remember, NAFA is the only fixed annuity organization:

  • That informs on issues specifically facing this industry;
  • Supports professional goals through educational topics specific to our industry;
  • Advances the industry through its grassroots advocacy efforts.

Additionally, NAFA provides numerous financial benefits to its members and regularly shares insider knowledge and perspectives on critical regulatory and legislative matters. NAFA offers varying levels of membership so, if you’re not already a member or need to renew your membership, you may do so by visiting NAFA.com/membership. Who is going to be able to sell fixed annuities by the end of 2015? Be a VOICE!



NAFA, the National Association for Fixed Annuities, is a national trade association exclusively dedicated to promoting the awareness and understanding of fixed annuities. NAFA is the only association whose sole purpose is advocating for the fixed annuity product.

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