Why Are Variable Annuities Good Investments? 
Product suitability determined by a personal financial profile that establishes risk tolerance and tax deferral as a priority , must first be developed . A non-qualified variable annuity not invested in the guaranteed interest account has market risk to principle deposited . The allocation of separate sub accounts may have greater or lesser risk determined by the asset mix . The economic goals of the investor must correlate to the variable annuity and its asset allocation mix and the length of holding period needs to match up to the investors economic timeline . A variable annuity is neither good nor bad ; however the recent variable annuity designs may not be as consumer centric as they were before 2007 . 