The Power of Protection in Retirement Income

Historic Examples: S&P corrections demonstrate the power of protection and value of time saved in recouping from index volatility.

A fixed index annuity guarantees principal protection and allows for ongoing growth opportunities through interest credits based on increases in the index.

All annual interest credits are locked in and cannot be lost due to index volatility, allowing for bear market protection and guaranteed retirement income.


*For demonstrative purposes only. Participation rates can change annually. The graph is based on actual rates for the time period shown for the S&P 500® only. Past performance does not guarantee future results. Indexed annuities were not available for the entire period shown, except for 1995-Present. The hypothetical fixed index annuity in this example uses the annual point-to-point index method based on changes in the S&P 500® to calculate the indexed rate for each term. For purposes of these charts an Annual Point to Point 50% Participation Rate is applied for all terms in the period. Assuming $100,000 initial premium. Indexed interest is credited only on amounts held for the entire term. This example assumes no money is withdrawn from the annuity. Surrender charges will apply if money is withdrawn during the surrender charge period.1995 is the year fixed index annuities (FIA) products became available. 1996 is the year American Equity Life Insurance Company had an FIA available with the participation rate strategy. Source: Bloomberg Membership only database. 04/19/2018. • The S&P 500® replaced the 90 stock Composite Price Index in March 1957. • PR=Participation RateThe “S&P 500®” is a product of S&P Dow Jones Indices LLC (“SPDJI”), and has been licensed for use by American Equity Life Insurance Company (“AEL”). Standard & Poor’s® and S&P® are registered trademarks of Standard & Poor’s Financial Services LLC (“S&P”); Dow Jones®is a registered trademark of Dow Jones Trademark Holdings LLC (“Dow Jones”). These trademarks have been licensed to SPDJI and sublicensed for certain purposes by AEL. AEL’s products are not sponsored, endorsed, sold or promoted by SPDJI, Dow Jones, S&P, or their respective affiliates, and such parties make no representations regarding the advisability of investing in such product(s) and have no liability for any errors, omissions, or interruptions of the S&P. The S&P 500 Index (SPX) is a price return index and does not include dividends paid on underlying stocks. Guarantees are based on the financial strength and claims paying ability of American Equity and are not guaranteed by any bank or insured by the FDIC.

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