The hypothetical historical performance provided herein showcases the annualized return of allocation strategies, representing the investment's annual growth rate considering compounding effects. Similar analyses can be found for each account in official fixed index annuity illustrations provided by insurance carriers.

What's not reflected:
The annualized return does not encompass rider charges, strategy fees, or applicable premium bonuses.

Notes on rates:
The information presented assumes the annuities' current caps, spreads, participation rates, and other related rates, without guarantee.

No guarantees:
These actual elements are subject to change over time, resulting in potentially higher or lower outcomes. Additionally, no single index consistently outperforms in every scenario. It is advisable to consult with a properly licensed and educated annuity professional before making any decisions.

• First Year Withdrawals: None
• The penalty-free full withdrawal is available after 10 years
• Cumulative Withdrawals: No
• RMD Friendly: Yes
• Years 2+ Withdrawals: 10%
   

Crediting methods are mathematical formulas used to determine how much an indexed interest the annuity receives based on index changes during the ‘crediting period.’ Power Select Advisory beneficiaries can choose among the following crediting methods:

• Annual point-to-point with an index rate cap
• Annual point-to-point with a participation rate
• Annual point-to-point with a performance-triggered rate

The Power Select Advisory comes with no surrender charge. 

The Power Select Advisory annuity has several features. Here’s an overview of the Power Select Advisory annuity’s key features, such as its market value adjustment (MVA), RMD, Minimum Value Withdrawal, and Premium.
 

Market Value Adjustment (MVA)

• Any withdrawals made during the first 5 to 7 years are subject to an MVA.
• This adjustment may either decrease or increase the amount the client receives and is determined by a formula which is in the contract that reflects any changes.
• These changes are subject to an external index since the contract was issued.
• There’s no MVA for any withdrawals of up to 10% of the premium in the first year or 10% of the contract value from the second year onwards.

Required Minimum Distributions (RMDs)

• RMDs do not have any MVAs, and failure to meet the RMD requirements may result in a tax penalty.

Minimum Withdrawal Value 

• Upon surrendering the payment of death benefit or annuitization, the client receives less than 87.5% of the premium, which is also less than the net withdrawals. 
• Commonly, they receive the amount growing at the annual rate specified in the contract. 
• Net withdrawals are typically equal to the amount paid in withdrawals after any MVA has been assessed prior to any taxes.

Premium

• The initial premium for both qualified and non-qualified is $25,000 and a maximum of $2,000,000.
• Any TSP (Thrifty Special Plan) funds must be rolled into an IRA. The IRA can be inherited with the condition that it can be stretched and provided no GLBs(Guaranteed Living Benefits) have been elected.