American Equity Choice Annuity
- The S&P 500 index is a list of stocks from 500 different industry leaders. This index is usually thought of as the top benchmark to measure stock market performance in the U.S..
- The S&P 500, Dividend Aristocrats® Daily Risk Control 5% Index is a volatility control index that consists of the S&P 500 Dividend Aristocrats Index and a cash (accruing interest at 3 Month LIBOR) component. The Index is dynamically adjusted between the two components to target a 5% level of volatility. The S&P 500 Dividend Aristocrats Index is made up of S&P 500 members that have followed a policy of consistently increasing dividends every year for at least 25 consecutive years. This Index is well diversified across all market sectors.
- Dow Jones Industrial Average (DJIASM) is the oldest continuing stock market index in the world. Many of the stocks represented in the DJIA are leaders in their industries.
- 10-Year U.S. Treasury Bond is a government-issued debt designed to mirror general market interest rates.
- The values of an index can vary each day and certainly are not predictable.
- Your contract is backed by American Equity.
- You are not purchasing either shares of stock, bonds or any indexes.
Benefits and Features of Our Fixed Indexed Annuity
- Tax-deferred growth
- Clients do not pay taxes on earned interest unless and until they make a withdrawl from the contract.
- Ability to choose both how they calculate the interest and which index they use.
- Systematic withdrawals of either interest or amounts to satisfy IRS minimum distributions available immediately**
- 10% penalty-free withdrawals after the first contract year
- Each annuity contract gives you access to some of your money without a penalty after the first contract year
- Lifetime Income Benefit***
- The Lifetime Income Benefit Rider allows you to take a guaranteed lifetime income from your annuity without losing control of your retirement assets
- In Addition, under certain circumstances you are able to liquidate more of the annuity. These circumstances are; if the annuitant is either placed in a nursing home or has the diagnosis of a terminal illness. This amount varies by both state and product as well as issue age.
- In fact, surrender charges may apply for early withdraw.