Definition - What does Fixed Annuity mean?
Fixed Annuity is an insurance contract where the insurance company guarantees fixed payments to the annuitant usually until the annuitant’s death.
Testopedia explains Fixed Annuity
A fixed annuity will offer the annuitant a guaranteed rate of return but that rate of return may not sufficient to keep pace with inflation. A fixed annuity will not subject the annuitant to principal risk but the annuitant will be subject to purchasing power risk.