Jackson Fixed Index Accumulation™ Advisory

Why DPL Likes Jackson Fixed Index Accumulation™ Advisory

Jackson Fixed Index Accumulation™ Advisory offers five index options (S&P 500, Dow Jones Industrial Average, Nasdaq-100, Russell 2000, and MSCI EAFE) that can be allocated in any combination, offering investors a broad selection of equity exposures in the market.¹ Terms are available in 5- and 7-year options, offering choices based on retirement timelines and individual needs. Fixed Index Accumulation Advisory offers an embedded guaranteed minimum accumulation benefit (GMAB).² This feature guarantees that, at the end of the withdrawal charge/market value adjustment period, the contract value will be at least 100% of the premiums paid, adjusted for withdrawals.

How to Think About Commission-Free FIAs

One advantage of utilizing fixed indexed annuities (FIAs) is to leverage the scale of insurance carriers to deliver strong pricing in a packaged product, making it comparatively easy to implement, while also getting guaranteed downside market protection from the carrier.

Many FIAs offer optional guaranteed lifetime income riders for an additional cost. While guaranteed income options from FIAs are typically lower than can be achieved through single premium immediate annuities (SPIAs), they tend to have greater liquidity and flexibility.

When your client needs:

PRINCIPAL PROTECTION: With the principal protection from market risk provided by FIAs, they should be considered for clients nearing or in retirement to help mitigate sequence of returns risk.

FIXED INCOME: FIAs can be viewed as a fixed income replacement as client portfolios are de-risked from equities. They provide sequence of returns protection for those entering or in retirement, with an overall return above 6%, based on historic averages.³

GUARANTEED LIFETIME INCOME: Through the use of a living benefit, FIAs can be used to generate guaranteed lifetime income with allocation flexibility and liquidity (beyond the surrender period).⁴

Advisor Materials:

Product Brochure

Jackson Fixed Index Accumulation Advisory 5 Overview

Jackson Fixed Index Accumulation Advisory 7 Overview

5 Year Rates

7 Year Rates

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Disclosures:

1 A fixed indexed annuity is a contract purchased from a life insurance company that is designed for long-term retirement goals.

While the interest rate credited to an indexed account is linked to the performance of an underlying index, premium payments made to a fixed index annuity are never directly invested in the stock market.

2 Guarantees are backed by the claims-paying ability of Jackson National Life Insurance Company.

3 Fixed Indexed Annuities as a Fixed Income Alternative for Near-Retirees, Wade Pfau. (May 2019).

4 FIAs may be subject to surrender charges, market value adjustment, and taxation for early withdrawals.

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