The net assets of the U.S. variable annuity industry posted an increase for the first time in five quarters, leading one industry expert to suggest a “turning point.”

The Insured Retirement Institute (IRI) said third-quarter results were up 1.2% from the same period in 2008.

The last time this comparison posted an increase was in March 2008, at 1%.

Cathy Weatherford

“The growth in asset value from this time last year marks a significant turning point for the entire financial industry, signaling a welcome expansion of investment value as the market regains strength,” said Cathy Weatherford, president and CEO of IRI, in a statement.

“With this new data we see that annuity asset values have regained their pre-market decline values, reporting the largest worth in 15 months,” Weatherford said. “We are encouraged by this progress, as it bolsters the comprehensive value of insured retirement strategies.”

Variable annuity sales for the third quarter were $31 billion, down slightly from $31.8 billion in the previous quarter. Third quarter 2009 net sales were at $2.8 billion, compared to second quarter net sales of $6.1 billion. There were $20.8 billion in qualified sales and $10.2 billion in non-qualified in the third quarter, according to the IRI.