What The Difference Between Fixed And Variable Annuities? 
What are the differences between fixed and variable annuities ? Well , the biggest difference would be the investment pool you work from . A fixed annuity investment choices are made by the insurance company and you receive a stated % return for that year . You do n't have to do anything . A variable annuity shifts the investment risk onto the individual and they , not the insurance company -LRB- to a degree -RRB- decide what the annuity will be invested in . The Risk shifts to the insured and while the possibility exists to outgain the fixed annuity , the possibility of loss , even loss of existing balance exists . A variable annuity REQUIRES attention to a much great degree than a fixed . 