Allocation Insights Tool
The allocation options available on your fixed index annuity (FIA) and fixed index universal life (FIUL) insurance policy determine the amount of interest credited on your contract or policy. The allocations are made up of an index and a crediting method (a fixed interest allocation is also available). It’s important to understand that these allocation options will work differently from each other in a variety of market conditions. However, with an external index your policy does not directly participate in any equity or fixed income investments – you are not buying shares in an index.
This tool allows you to see which allocations you may want to consider based on your perspective on equity markets, market volatility, and interest rates. This tool is intended to be educational – as a first step, not tailored to an individual’s needs, and not meant to be a substitute for working with a financial professional. No matter which allocation option(s) you choose, you cannot lose value due to negative index performance. The allocation options only determine the amount of interest credited in positive years, or the likelihood of zero interest years.
The indexes available within the contract or policy are constructed to keep track of diverse segments of the U.S. or international markets, or specific market sectors. These indexes are benchmarks only. Indexes can have different constituents and weighting methodologies. Some indexes have multiple versions that can weight components or may track the impact of dividends differently. Although an index may affect your interest credited, you cannot buy, directly participate in, or receive dividend payments from any of them through the contract or policy.
Do you anticipate strong growth, moderate growth, or a negative outlook on the horizon?
What do you anticipate the markets looking like over the next year – do you expect a smooth ride or are there some ups and downs on the road ahead?
Do you anticipate interest rates will be on the climb, steady, or falling over the next year?