The Aspida Advisory MYGA provides multiple durations (2, 3, 5 or 7 years) to help advisors accurately address the needs of the portfolio .
Since their introduction in the Commission-Free space, MYGAs (multi-year guaranteed annuities) have become one of the most popular DPL Member solutions for improving fixed income allocations. Generating reliable returns above today’s yields1 for a lesser duration, these simplified products can help advisors gather assets that would otherwise be held in cash or CDs, protect principal from market volatility, and ultimately improve portfolio performance.
Why DPL Likes the Aspida Advisory MYGA
The Aspida Advisory MYGA offers multiple guaranteed interest rates, including the shortest duration (2 years) on DPL's platform. Premium is protected from market downturns and accumulates tax-deferred, allowing for greater growth potential when compared to traditional fixed income instruments like bonds. The minimum premium required is $25,0002.
How to Think About Commission-Free MYGAs
When your client needs:
PRINCIPAL PROTECTION: MYGAs are typically used for clients nearing or in retirement, as they protect principal from market downturns, yet provide a minimum guaranteed rate of return.
FIXED INCOME: MYGAs provide a consistent stream of income for clients that are looking to de-risk their portfolios from equities.
CASH REPLACEMENT: MYGAs can be used instead of cash investments, such as CDs or money market funds, to help generate better returns subject to the terms of the contract.3
Product information provided by Aspida Life Insurance Company.
1MYGA rates available through DPL compared to US Treasury Yield Curve, and comparable CDs via BankRate.com.
2$25,000 premium minimum to $1,000,000 maximum apply to both qualified and non-qualified plans. A premium of more than $1,000,000 may be accepted with prior approval from Aspida.
3Surrender charges, market value adjustments and other contract charges may apply that can reduce the premium. A surrender during the surrender charge period could result in a loss of premium. Surrender charge structures and guarantee periods may vary by state.
Guarantees are backed by the claims-paying ability of Aspida Life Insurance Company (“Aspida”). Annuities are designed for long-term accumulation of money; surrender and withdrawal fees may apply on early withdrawals. Annuity withdrawals are subject to income tax, and withdrawals prior to age 59½ may also be subject to an IRS penalty.
This piece provides a brief summary of product features. The contract associated with the product will contain the actual terms, definitions, limitations, and exclusions that apply. Product features and availability vary by state and are solely the responsibility of Aspida. Aspida Advisory MYGA-2, -3, -5, and -7 contract form series ICC22C-MYGA1012 and C-MYGA1012, and application series ICC22A-4014 and A-4014. Some exclusions and exceptions apply. Please refer to the contract for the actual terms and conditions that apply.
The statements and comments offered in this communication are provided as general information and ideas. They are not intended to be, nor should they be relied on as, investment, legal, tax advice, or recommendations. Before making a decision or giving advice about any matter contained in this communication, agents or individuals should consult their own attorney, tax, or investment advisor.
Products and services are underwritten and/or provided by Aspida (Administrative Office: Durham, NC), licensed in 48 states (excluding New York and Connecticut) and the District of Columbia. Products and services may not be available in all states.
Aspida is the trade name of Aspida Life Insurance Company and its affiliates. Each company is solely responsible for its own financial conditions and contractual obligations.