the financial industry is a machine that lets you transmute a dollar into a reliable stream of ~4 cents a year ~forever (or vice versa). also, it gives you a risk knob you can turn that increases the expected value of the stream, but also the variance (or vice versa; you can take your risky stream and pay the financial industry to convert it into a reliable stream or lump sum)
the financial industry is a machine that lets you transmute a dollar into a reliable stream of ~4 cents a year ~forever (or vice versa). also, it gives you a risk knob you can turn that increases the expected value of the stream, but also the variance (or vice versa; you can take your risky stream and pay the financial industry to convert it into a reliable stream or lump sum)