The only people that want to defer tax to later through a complicated investment are those in a very high tax bracket today, that have maxed out all government registered plans available.
I must say, these people do not need annuity income today, so the payments should not start for quite a while, too... right?
So, assuming that is the case, then I would look at investments that offer flow through expense deductions to reduce your tax today and provide $$ later. (For those maxed out on everything with lots of income tax on wage income each year)
OR, you know, that is exactly what capital gains do -- defer taxes until years later when sell.
What do you see the advantage of tax deferred annuities to be?
I actually like a basic, immediate, proscribed annuity, for people looking to create their own pension -like security in retirement, for whom their money running out if they live past 80 is a very real thing, and want protection in return for a little less return and no estate to pass on to the kids.
