Clients Tired of Low Rates? Check Out our Increased Interest Crediting Potential!
Corporate bond and U.S. treasury yields are down.1,2,3 And CD rates are at all-time lows.4,5 But that doesn’t mean your clients who like the “safety” of traditional deposit products have to settle.
Effective February 16, we’re increasing the earnings potential for Choice Accumulation II, a fixed index annuity with greater growth opportunity with no worrisome market losses:
Choice Accumulation II fixed index annuity
| Crediting strategy | Before | Effective 2/16 |
|---|---|---|
| Franklin US Index two-year point-to-point with spread | 6.25% | 5.25%6 |
| PIMCO Balanced Index one-year point-to-point with participation rate | 60% | 70%7 |
Rates shown are based on 10 year surrender charge period, premium of $100,000 or greater.
See how the Franklin US Index offers your clients growth potential in changing market conditions.
1 https://fred.stlouisfed.org/series/AAA
2 https://ycharts.com/indicators/10_year_treasury_rate
3 There are a multitude of different products that may be accessed for retirement income needs. For example, stocks, bonds, mutual funds, and variable annuities are securities and have different risk/reward characteristics, liquidity properties and tax consequences, particularly when compared to products such as CDs, savings accounts, money market accounts, fixed annuities and fixed index annuities. Certificates of Deposit (CDs) are bank products that are FDIC insured. Money Market funds are securities and are not FDIC insured, and although these funds seek to preserve the value of an investment at $1.00 per share, there is no guarantee they will maintain this value.
4 https://www.bankrate.com/banking/cds/historical-cd-interest-rates/
5 Traditional deposit products may be FDIC insured. FIAs are not FDIC insured and are based on the claims-paying ability of the issuing company.
6 Effective February 16, 2021. Index crediting spreads are subject to change at any time for new issues. Once issued, the spread is guaranteed for the first strategy term and is subject to change for future terms. Other interest strategies are available with distinct rates, caps and spreads.
7 Effective February 16, 2021. Index crediting participation rates are subject to change at any time for new issues. Once issued, the participation rate is guaranteed for the first strategy term and is subject to change for future terms. Other interest strategies are available with distinct rates, caps and spreads.