July 2019: 10 Year Treasury Yields Drop Below 2%

Published July 8, 2019

It continues to be a wild ride in the financial markets. You’d think that trade war fears and some soft recent macroeconomic data would push markets lower. But that’s not what has happened at all. The stock market had its best first half of the year in recent memory. And bond prices have risen to such a point that 10 Year Treasury yields are now below 2% (bond prices and yields move in opposite directions). That’s put pricing pressure on annuities. Read more here.

Annuity Intelligence Report

Most insurers decreased their immediate annuity, longevity annuity and fixed annuity further in July, as treasury yields fell below 2.00%. Click to download July 2019’s Annuity Intelligence Report.

 

My colleague Matt has written a couple recent articles on Forbes.com. First, here’s a summary of Vanguard’s decision to exit the annuity business and what that means for annuities in general and your purchase decision specifically. Second, Matt wrote about the ways that insurers need to work to make your annuity purchase easier than it is today.

With product launches like (1) the fully digital, $100 minimum deferred income annuity offered in partnership with Next by Pacific Life this April, (2) the fixed annuity marketplace last fall, (3) and the Personal Pension last spring, Blueprint Income is committed to continuing to make fixed and income annuities easier to understand, compare, and purchase. But much more work remains.

Have a question? Please give us a call or email us at [email protected]. We’d love to help!

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Nimish Shukla

Nimish Shukla

Financial Planning Professional

Nimish has spoken with thousands of customers about retirement spending. As a CFA Charterholder and licensed fixed annuity producer he values the importance of building an income stream for retirement. In addition to his work at Blueprint Income he is also a regular contributor to Nerdwallet.

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