Which of the following is a characteristic of a deferred annuity?

This statement describes immediate annuities rather than deferred annuities. In a deferred annuity, payments do not start until a specified future date, allowing the investment to grow over time before any distributions are made. Thus, the characteristic of immediate payment initiation does not apply.

While some annuities may offer riders or features that allow for guaranteed withdrawals, this is not a universal characteristic of all deferred annuities. The availability of guaranteed withdrawals varies based on the specific contract and options chosen, making it not a defining feature of deferred annuities in general.

Many deferred annuities impose surrender charges if the investor withdraws funds before a certain period, which is contrary to the statement. These charges are designed to discourage early withdrawals and protect the insurance company’s investment, thus making "no surrender charges" a misleading characteristic for most deferred annuities.