I am 33 years old and my financial consultant suggested for me to transfer a city pension to an annuity.?

Question

Five years ago I changed job and left a 401a pension on previous employer.  That amount double in five years, but now I am 40% down.  Should I transfer this account to an annuity.

Answer 1

Anytime you move funds from one asset class to another there are transactional cost, commissions, etc. And annuities have amongst the highest commissions and fees as any of them. Looks like your financial advisor is looking for ways to pad his own pocket. Nothing wrong with leaving your 401K with your previous employer and managing the assets there.

Answer 2

You are 33 years old and considering an annuity.
Why not a cd?
Please consider ALL the fees associated with annuities.  
I hate the fact that they are money makers for salesmen.
Consider what will happen down the road if you break that annuity - big fees.
Please do your research, I hate to think that he is doing this just to make money off from you.
My number one rule:  do not let anyone else handle your money - it's easy to do it yourself.  Go to Charles Schwab or Fidelity Investments. /

Answer 3

How much is this "consultant" getting paid to sell you an annuity?  No.  Annuties are crappy investments - and absurd for someone as young as you.

Roll that 401(k) into an IRA and drop that "consultant" like a hot potato.