Growth: Potentially enables you to benefit from investment gains and to help keep pace with inflation. The tradeoff can be exposing your savings
to market fluctuations.
Guaranteed Income: Helps provide income to cover essential expenses. The tradeoffs may be less flexibility or potentially higher fees.
Flexibility: Gives you full access to and control of your money. The
tradeoff may be accepting variable or predictable income instead of guaranteed income.
Principal Preservation: Helps you meet your retirement expenses
without spending down your savings. The tradeoffs are it may be difficult
to live off interest earnings alone, and your assets may not keep pace
with inflation.