Final answer:
Indexed annuity consumers who emphasize bonus are looking for a type of annuity that offers a bonus feature. The bonus provides an immediate boost to their investment and can help offset potential losses. However, it's important to carefully evaluate the terms and conditions of these annuities.
Step-by-step explanation:
Indexed annuity consumers who emphasize bonus are looking for a type of annuity that offers a bonus feature. An indexed annuity is a financial product that provides a fixed return linked to the performance of a specific market index, such as the S&P 500. The bonus feature is an additional amount of money added to the annuity's account value.
This bonus can be attractive to consumers because it provides an immediate boost to their investment. It can also help offset any potential losses in the annuity's value during market downturns. However, it's important to carefully evaluate the terms and conditions of an indexed annuity with a bonus, as it may have restrictions or limitations.
For example, some annuities with a bonus may have longer surrender periods or higher fees compared to annuities without a bonus. Therefore, it is crucial for consumers to thoroughly consider their financial goals and risk tolerance before investing in an indexed annuity with a bonus.