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in 2019 retirees and pre-retirees invested over 73.5 billion with a b dollars into fixed indexed annuities if youre over the age of 50 at some point youre going to be approached with this tool to be added to your portfolio by someone most likely you want to make sure youre armed with the knowledge and you understand the basics as well as some of the more sophisticated concepts so you can make a good decision of whether this tool can fit into your retirement strategy [Music] hi im troy sharp ceo of oak harvest financial group certified financial planner professional and host of the retirement income show were going to talk about what is a participation rate what is a cap what is a spread and what is a reset period which is the very basic elements of a fixed indexed annuity contract which again these fixed indexed annuity contracts are issued from life insurance carriers as a promise made to you they come with 100 principal protection but the ways they earn interest vary across the