Why will a person with high net worth (say 2m) need endowment, annuity or retirement plans?

I'd think it depends on the stage of life this person is at.

Usually, the rich will still want to get richer. So I find it may be quite unlikely they will go for dividends paying ETF.

If he/she is still accummulating wealth, then they may invest in high growth companies that could 2x-100x their $2m.

However, if he/she is near retiring or retired, the important thing is capital preservation.

Although dividend-paying ETF may be an attractive way to receive regular income, at their calibre they may have other financial vehicles that could be better suited to preserve wealth.

After all, no man is an island. A high networth person will likely consider estate planning.

Hi Anonymous,

It depends on that someone's financial objectives. Different individuals have different objectives. To some, endowment policies, including annuities, may be a suitable fit. If that someone is unsure of the objectives, he/she may seek advice from a financial advisor.

Disclaimer: PolicyWoke is a traded endowment policies broker.