Millennials Are Hungry for Growth and Protection Potential, According to Lincoln Financial Group

According to a recent study from Lincoln Financial Group (NYSE: LNC), millennials under age 40, called “younger investors,” plan to purchase insurance products within the next five years – and in greater numbers than ever before.¹ And, thanks to interest rates, market volatility and student loan debt, younger investors are looking to the future, with products like annuities to help ensure protected lifetime income in their retirement.

Since the start of the Great Recession in 2008, annuity ownership among millennials has increased significantly and has continued to rise.² Tim Seifert, senior vice president and head of Retirement Solutions Distribution at Lincoln Financial Distributors, said: “The unique life experiences of the millennial generation have led people under age 40 to seek investment options to help protect and grow their income. Additionally, these younger investors are digitally savvy and accustomed to doing their own research, giving Lincoln Financial the opportunity to connect with and educate consumers in new and exciting ways.”

In recognition of Annuity Awareness Month, Lincoln Financial shares how annuities can offer younger investors the growth potential and downside protection they’re seeking, with optional benefits and riders to custom-fit their unique retirement income goals.

Ready, Set … Grow!

Annuities with additional cost benefits offer guaranteed growth potential and provide investors with lifetime income they can use to help maintain their lifestyle in retirement. This growth potential is a key feature of annuities, with different options and benefits to customize the growth that best suits the investor. Like buying a car or house, these options allow them to select the features that are most important and valuable to them.

A quarter of younger investors surveyed agree that an annuity is a better option for growth opportunities in the current interest rate environment than a savings account.² Yet, only 12% were aware of the opportunity for tax-deferred growth provided by an annuity.¹ With an annuity, the buyer’s money can grow tax-deferred until it is withdrawn, maximizing the investment’s growth potential.

The Power of Protection

The majority of millennials surveyed are most concerned about volatility (61%) and market loss (63%).¹ Annuities with benefits can help ensure that retirement income is protected even when there are downturns in the market – providing income protection is unlike other insurance products.