based upon the gain in a financial market index.
Interest earnings
that is predictable and guaranteed
for life.
Locked-in gains.Once credited, cannotdecline in the future.
Account protectionfrom potential financialmarket index losses.
Retirement income
Understanding a
Fixed Indexed Annuity
An Educational Presentation by
Titan Brokerage Services
One the most useful…… and most misunderstood…
… tools for retirement.
FOR EDUCATIONAL USE ONLY – NOT INTENDED AS SPECIFIC ADVICE.
An Annuity is acontract with a life insurance
company.Annuities are used for risk transfer and risk management.
Risk ofLosing Money
RISK TRANSFER
Risk ofOutliving Money
(Income)
FOR EDUCATIONAL USE ONLY – NOT INTENDED AS SPECIFIC ADVICE.
An Annuity is acontract with a life insurance
company.
$$$ (Premium)
Guarantees
The type of annuity determines the guarantees and benefits.
FOR EDUCATIONAL USE ONLY – NOT INTENDED AS SPECIFIC ADVICE.
“A Tale of Two Lines”
An example of how a Fixed Indexed Annuity provides principal protection, interest earnings, and lifetime guaranteed income.
FOR EDUCATIONAL USE ONLY – NOT INTENDED AS SPECIFIC ADVICE.
ISSUEStart Value
$100,000
An example of how a Fixed Indexed Annuity provides principal protection, interest earnings, and lifetime guaranteed income.Stock Market Account Value1
Annuity Account Value2
Hypothetical For Educational & Concept Example Purposes Only.1 Value shown assumes an account that exactly tracks the annual performance of the S&P 500 index (without dividends).S&P 500 Index is an unmanaged equity index.2.Fixed Indexed Deferred Annuity with account allocated to an Annual Point-to-Point Indexed Interest Strategy with Annual Cap of 5.00% for all years; this rate may no longer be available. Used for example purposes only, does not imply or guarantee performance of any specific annuity. Surrender charges apply to surrenders or withdrawals in excess of the free withdrawal provision during the Surrender Charge Period. Participation Rates and Interest Caps apply; may change annually on Contract Anniversary. Guarantees are based upon the claims-paying ability of the issuing insurance company.
This presentation is intended as educational only and does not constitute an offer for a specific Fixed Indexed Deferred Annuity. The intent of this presentation is only to enhance understanding of the how indexed interest strategies function. There are many important details relating to the potential purchase of an annuity, and this presentation does not cover them all. Those considering the purchase of an annuity should carefully review the specifications,
disclosures, and materials provided by the issuing insurance carrier, and ask their representative to clarify anything that they do not understand.All guaranteed values are based upon the claims-paying ability of the issuing insurance company.
FOR EDUCATIONAL USE ONLY – NOT INTENDED AS SPECIFIC ADVICE.
“A Tale of Two Lines”
ISSUE Yr 1Start EndValueValue
INDEX:-13.04%
$100,000$100,000
$ 86,960 Account protectionfrom potential financial
market index losses.
When the index falls:No decline in account value.
Hypothetical For Educational & Concept Example Purposes Only.1 Value shown assumes an account that exactly tracks the annual performance of the S&P 500 index (without dividends).S&P 500 Index is an unmanaged equity index.2.Fixed Indexed Deferred Annuity with account allocated to an Annual Point-to-Point Indexed Interest Strategy with Annual Cap of 5.00% for all years; this rate may no longer be available. Used for example purposes only, does not imply or guarantee performance of any specific annuity. Surrender charges apply to surrenders or withdrawals in excess of the free withdrawal provision during the Surrender Charge Period. Participation Rates and Interest Caps apply; may change annually on Contract Anniversary. Guarantees are based upon the claims-paying ability of the issuing insurance company.
This presentation is intended as educational only and does not constitute an offer for a specific Fixed Indexed Deferred Annuity. The intent of this presentation is only to enhance understanding of the how indexed interest strategies function. There are many important details relating to the potential purchase of an annuity, and this presentation does not cover them all. Those considering the purchase of an annuity should carefully review the specifications,
disclosures, and materials provided by the issuing insurance carrier, and ask their representative to clarify anything that they do not understand.All guaranteed values are based upon the claims-paying ability of the issuing insurance company.
FOR EDUCATIONAL USE ONLY – NOT INTENDED AS SPECIFIC ADVICE.
An example of how a Fixed Indexed Annuity provides principal protection, interest earnings, and lifetime guaranteed income.Stock Market Account Value1
Indexed Interest Value2
“A Tale of Two Lines”
Yr 2End
Value
ISSUE Yr 1Start EndValueValue
INDEX:-13.04%
$100,000 $100,000$100,000
$ 86,960
INDEX:-23.37%
$ 66,637
An example of how a Fixed Indexed Annuity provides principal protection, interest earnings, and lifetime guaranteed income.Stock Market Account Value1
Indexed Interest Value2
Hypothetical For Educational & Concept Example Purposes Only.1 Value shown assumes an account that exactly tracks the annual performance of the S&P 500 index (without dividends).S&P 500 Index is an unmanaged equity index.2.Fixed Indexed Deferred Annuity with account allocated to an Annual Point-to-Point Indexed Interest Strategy with Annual Cap of 5.00% for all years; this rate may no longer be available. Used for example purposes only, does not imply or guarantee performance of any specific annuity. Surrender charges apply to surrenders or withdrawals in excess of the free withdrawal provision during the Surrender Charge Period. Participation Rates and Interest Caps apply; may change annually on Contract Anniversary. Guarantees are based upon the claims-paying ability of the issuing insurance company.
This presentation is intended as educational only and does not constitute an offer for a specific Fixed Indexed Deferred Annuity. The intent of this presentation is only to enhance understanding of the how indexed interest strategies function. There are many important details relating to the potential purchase of an annuity, and this presentation does not cover them all. Those considering the purchase of an annuity should carefully review the specifications,
disclosures, and materials provided by the issuing insurance carrier, and ask their representative to clarify anything that they do not understand.All guaranteed values are based upon the claims-paying ability of the issuing insurance company.
FOR EDUCATIONAL USE ONLY – NOT INTENDED AS SPECIFIC ADVICE.
“A Tale of Two Lines”
Account protectionfrom potential financial
market index losses.
When the index falls:No decline in account value.
Yr 3End
Value
Yr 2End
Value
ISSUE Yr 1Start EndValueValue
INDEX:-13.04%
INDEX:-23.37%
$100,000 $100,000$100,000
$ 86,960
$ 66,637
INDEX:+26.38%
$105,000
$ 84,216
Interest earningsbased upon the gain in afinancial market index.
When the index rises:The gain, subject to a limit,
is credited as interest.This example assumes an annual gain limit of 5%.
Hypothetical For Educational & Concept Example Purposes Only.1 Value shown assumes an account that exactly tracks the annual performance of the S&P 500 index (without dividends).S&P 500 Index is an unmanaged equity index.2.Fixed Indexed Deferred Annuity with account allocated to an Annual Point-to-Point Indexed Interest Strategy with Annual Cap of 5.00% for all years; this rate may no longer be available. Used for example purposes only, does not imply or guarantee performance of any specific annuity. Surrender charges apply to surrenders or withdrawals in excess of the free withdrawal provision during the Surrender Charge Period. Participation Rates and Interest Caps apply; may change annually on Contract Anniversary. Guarantees are based upon the claims-paying ability of the issuing insurance company.
This presentation is intended as educational only and does not constitute an offer for a specific Fixed Indexed Deferred Annuity. The intent of this presentation is only to enhance understanding of the how indexed interest strategies function. There are many important details relating to the potential purchase of an annuity, and this presentation does not cover them all. Those considering the purchase of an annuity should carefully review the specifications,
disclosures, and materials provided by the issuing insurance carrier, and ask their representative to clarify anything that they do not understand.All guaranteed values are based upon the claims-paying ability of the issuing insurance company.
FOR EDUCATIONAL USE ONLY – NOT INTENDED AS SPECIFIC ADVICE.
An example of how a Fixed Indexed Annuity provides principal protection, interest earnings, and lifetime guaranteed income.Stock Market Account Value1
Indexed Interest Value2
“A Tale of Two Lines”
Yr 4End
Value
Yr 3End
Value
Yr 2End
Value
ISSUE Yr 1Start EndValueValue
INDEX:-13.04%
$100,000 $100,000$100,000
$ 86,960
INDEX:-23.37%
$ 66,637
INDEX:+26.38%
$105,000
$ 84,216
INDEX:+8.99%
$110,250
$ 91,787
An example of how a Fixed Indexed Annuity provides principal protection, interest earnings, and lifetime guaranteed income.Stock Market Account Value1
Indexed Interest Value2
Hypothetical For Educational & Concept Example Purposes Only.1 Value shown assumes an account that exactly tracks the annual performance of the S&P 500 index (without dividends).S&P 500 Index is an unmanaged equity index.2.Fixed Indexed Deferred Annuity with account allocated to an Annual Point-to-Point Indexed Interest Strategy with Annual Cap of 5.00% for all years; this rate may no longer be available. Used for example purposes only, does not imply or guarantee performance of any specific annuity. Surrender charges apply to surrenders or withdrawals in excess of the free withdrawal provision during the Surrender Charge Period. Participation Rates and Interest Caps apply; may change annually on Contract Anniversary. Guarantees are based upon the claims-paying ability of the issuing insurance company.
This presentation is intended as educational only and does not constitute an offer for a specific Fixed Indexed Deferred Annuity. The intent of this presentation is only to enhance understanding of the how indexed interest strategies function. There are many important details relating to the potential purchase of an annuity, and this presentation does not cover them all. Those considering the purchase of an annuity should carefully review the specifications,
disclosures, and materials provided by the issuing insurance carrier, and ask their representative to clarify anything that they do not understand.All guaranteed values are based upon the claims-paying ability of the issuing insurance company.
FOR EDUCATIONAL USE ONLY – NOT INTENDED AS SPECIFIC ADVICE.
“A Tale of Two Lines”
Interest earningsbased upon the gain in afinancial market index.
When the index rises:The gain, subject to a limit,
is credited as interest.This example assumes an annual gain limit of 5%.
INDEX:-13.04%
$100,000 $100,000 $100,000
$ 86,960
INDEX: INDEX:INDEX:
-23.37% +26.38% +8.99%
$ 66,637
$105,000
$ 84,216
$110,250
$ 91,787
$113,558
$123,444$119,235
$ 94,541
$107,418$111,209
INDEX:+3.00%
INDEX:+13.62%
INDEX:+3.53%
An example of how a Fixed Indexed Annuity provides principal protection, interest earnings, and lifetime guaranteed income.Stock Market Account Value1
Indexed Interest Value2
Hypothetical For Educational & Concept Example Purposes Only.1 Value shown assumes an account that exactly tracks the annual performance of the S&P 500 index (without dividends).S&P 500 Index is an unmanaged equity index.2.Fixed Indexed Deferred Annuity with account allocated to an Annual Point-to-Point Indexed Interest Strategy with Annual Cap of 5.00% for all years; this rate may no longer be available. Used for example purposes only, does not imply or guarantee performance of any specific annuity. Surrender charges apply to surrenders or withdrawals in excess of the free withdrawal provision during the Surrender Charge Period. Participation Rates and Interest Caps apply; may change annually on Contract Anniversary. Guarantees are based upon the claims-paying ability of the issuing insurance company.
This presentation is intended as educational only and does not constitute an offer for a specific Fixed Indexed Deferred Annuity. The intent of this presentation is only to enhance understanding of the how indexed interest strategies function. There are many important details relating to the potential purchase of an annuity, and this presentation does not cover them all. Those considering the purchase of an annuity should carefully review the specifications,
disclosures, and materials provided by the issuing insurance carrier, and ask their representative to clarify anything that they do not understand.All guaranteed values are based upon the claims-paying ability of the issuing insurance company.
FOR EDUCATIONAL USE ONLY – NOT INTENDED AS SPECIFIC ADVICE.
“A Tale of Two Lines”
ISSUE Yr 1 Yr 2 Yr 3 Yr 4 Yr 5 Yr 6 Yr 7Start End End End End End End EndValue Value Value Value Value Value Value Value
INDEX:-13.04%
INDEX:-23.37%
$100,000 $100,000 $100,000
$ 86,960
$ 66,637
INDEX:+26.38%
$105,000
$ 84,216
$110,250
$ 91,787
$113,558$119,235
$123,444
$ 94,541
$107,418$111,209
INDEX:+8.99%
INDEX:+3.00%
INDEX:+13.62%
INDEX:+3.53%
$ 68,405
$123,444
INDEX:-38.49%
An example of how a Fixed Indexed Annuity provides principal protection, interest earnings, and lifetime guaranteed income.Stock Market Account Value1
Indexed Interest Value2
Hypothetical For Educational & Concept Example Purposes Only.1 Value shown assumes an account that exactly tracks the annual performance of the S&P 500 index (without dividends).S&P 500 Index is an unmanaged equity index.2.Fixed Indexed Deferred Annuity with account allocated to an Annual Point-to-Point Indexed Interest Strategy with Annual Cap of 5.00% for all years; this rate may no longer be available. Used for example purposes only, does not imply or guarantee performance of any specific annuity. Surrender charges apply to surrenders or withdrawals in excess of the free withdrawal provision during the Surrender Charge Period. Participation Rates and Interest Caps apply; may change annually on Contract Anniversary. Guarantees are based upon the claims-paying ability of the issuing insurance company.
This presentation is intended as educational only and does not constitute an offer for a specific Fixed Indexed Deferred Annuity. The intent of this presentation is only to enhance understanding of the how indexed interest strategies function. There are many important details relating to the potential purchase of an annuity, and this presentation does not cover them all. Those considering the purchase of an annuity should carefully review the specifications,
disclosures, and materials provided by the issuing insurance carrier, and ask their representative to clarify anything that they do not understand.All guaranteed values are based upon the claims-paying ability of the issuing insurance company.
FOR EDUCATIONAL USE ONLY – NOT INTENDED AS SPECIFIC ADVICE.
“A Tale of Two Lines”
Locked-in gains.Once credited, cannotdecline in the future.
ISSUE Yr 1 Yr 2 Yr 3 Yr 4 Yr 5 Yr 6 Yr 7 Yr 8Start End End End End End End End EndValue Value Value Value Value Value Value Value Value
INDEX:-13.04%
$100,000 $100,000 $100,000
$ 86,960
INDEX:-23.37%
$ 66,637
INDEX:+26.38%
$105,000
$ 84,216
$110,250
$ 91,787
$113,558$119,235
$123,444
$ 94,541
$107,418$111,209
INDEX:+8.99%
INDEX:+3.00%
INDEX:+13.62%
INDEX:+3.53%
$123,444
INDEX:-38.49%
INDEX:INDEX:
+23.45% +12.78%
INDEX:0.00%
INDEX:+13.45%
INDEX:+29.55%
INDEX:+11.39%
INDEX:-0.73%
$129,617
$136,097 $136,097
$142,092
$150,047
$157,550 $157,550
$ 84,446
$ 95,238 $ 95,238
$108,048
$139,976
$155,919 $154,781
$ 68,405
Stock Market Account Value1
Indexed Interest Value2
An example of how a Fixed Indexed Annuity provides principal protection, interest earnings, and lifetime guaranteed income.
Hypothetical For Educational & Concept Example Purposes Only.1 Value shown assumes an account that exactly tracks the annual performance of the S&P 500 index (without dividends).S&P 500 Index is an unmanaged equity index.2.Fixed Indexed Deferred Annuity with account allocated to an Annual Point-to-Point Indexed Interest Strategy with Annual Cap of 5.00% for all years; this rate may no longer be available. Used for example purposes only, does not imply or guarantee performance of any specific annuity. Surrender charges apply to surrenders or withdrawals in excess of the free withdrawal provision during the Surrender Charge Period. Participation Rates and Interest Caps apply; may change annually on Contract Anniversary. Guarantees are based upon the claims-paying ability of the issuing insurance company.
This presentation is intended as educational only and does not constitute an offer for a specific Fixed Indexed Deferred Annuity. The intent of this presentation is only to enhance understanding of the how indexed interest strategies function. There are many important details relating to the potential purchase of an annuity, and this presentation does not cover them all. Those considering the purchase of an annuity should carefully review the specifications,
disclosures, and materials provided by the issuing insurance carrier, and ask their representative to clarify anything that they do not understand.All guaranteed values are based upon the claims-paying ability of the issuing insurance company.
FOR EDUCATIONAL USE ONLY – NOT INTENDED AS SPECIFIC ADVICE.
“A Tale of Two Lines”
ISSUE Yr 1 Yr 2 Yr 3 Yr 4 Yr 5 Yr 6 Yr 7 Yr 8 Yr 9 Yr 10 Yr 11 Yr 12 Yr 13 Yr 14 Yr 15Start End End End End End End End End End End End End End End EndValue Value Value Value Value Value Value Value Value Value Value Value Value Value Value Value
Yr 4Yr 3Yr 2Yr 1
INDEX:-13.04%
Yr 0
$100,000 $100,000 $100,000
$ 86,960
INDEX:-23.37%
$ 66,637
INDEX:+26.38%
$105,000
$ 84,216
$110,250
$ 91,787
Yr 7Yr 6Yr 5
$113,558$119,235
$123,444
$ 94,541
$107,418$111,209
INDEX:+8.99%
INDEX:+3.00%
INDEX:+13.62%
INDEX:+3.53%
$123,444
Yr 15Yr 14Yr 13Yr 12Yr 11Yr 10Yr 9Yr 8
INDEX:-38.49%
INDEX:INDEX:
+23.45% +12.78%
INDEX:0.00%
INDEX:+13.45%
INDEX:+29.55%
INDEX:+11.39%
INDEX:-0.73%
$129,617
$136,097 $136,097
$142,092
$150,047
$157,550 $157,550
$ 84,446
$ 95,238 $ 95,238
$108,048
$139,976
$155,919 $154,781
$ 68,405
Stock Market Account Value1
Indexed Interest Value2
“A Tale of Two Lines”
Hypothetical For Educational & Concept Example Purposes Only.1 Value shown assumes an account that exactly tracks the annual performance of the S&P 500 index (without dividends).S&P 500 Index is an unmanaged equity index.2.Fixed Indexed Deferred Annuity with account allocated to an Annual Point-to-Point Indexed Interest Strategy with Annual Cap of 5.00% for all years; this rate may no longer be available. Used for example purposes only, does not imply or guarantee performance of any specific annuity. Surrender charges apply to surrenders or withdrawals in excess of the free withdrawal provision during the Surrender Charge Period. Participation Rates and Interest Caps apply; may change annually on Contract Anniversary. Guarantees are based upon the claims-paying ability of the issuing insurance company.
This presentation is intended as educational only and does not constitute an offer for a specific Fixed Indexed Deferred Annuity. The intent of this presentation is only to enhance understanding of the how indexed interest strategies function. There are many important details relating to the potential purchase of an annuity, and this presentation does not cover them all. Those considering the purchase of an annuity should carefully review the specifications,
disclosures, and materials provided by the issuing insurance carrier, and ask their representative to clarify anything that they do not understand.All guaranteed values are based upon the claims-paying ability of the issuing insurance company.
FOR EDUCATIONAL USE ONLY – NOT INTENDED AS SPECIFIC ADVICE.
An example of how a Fixed Indexed Annuity provides principal protection, interest earnings, and lifetime guaranteed income.
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015Start End End End End End End End End End End End End End End EndValue Value Value Value Value Value Value Value Value Value Value Value Value Value Value Value
Understanding the Concept; An Analogy
Sometimes goes fast……sometimes slows down…
…but NEVER GOES BACKWARDS!INDEX-BASED ACCOUNT VALUE
MARKET RISK (UNPROTECTED)
Sometimes goes fast……sometimes slows down…
…AND CAN GO BACKWARDS VERY QUICKLY!
Which track matches your risk tolerance?
FOR EDUCATIONAL USE ONLY – NOT INTENDED AS SPECIFIC ADVICE.
Yr 4Yr 3Yr 2Yr 1
INDEX:INDEX:
-13.04% -23.37%
$100,000 $100,000 $100,000
Yr 0
$ 86,960
Yr 7 Yr 15Yr 14Yr 13Yr 12Yr 11Yr 10Yr 9Yr 8
$ 66,637 $ 68,405
INDEX:INDEX:
+26.38% +8.99%
$105,000
$ 84,216
$110,250
$ 91,787
Yr 6Yr 5
$113,558$119,235
$123,444 $123,444
$ 94,541 $ 95,238 $ 95,238
$107,418 $108,048$111,209
INDEX: INDEX:INDEX:+3.00% +13.62% +3.53%
INDEX: INDEX: INDEX:-38.49% +23.45% +12.78%
INDEX:0.00%
INDEX: INDEX:INDEX:
+13.45% +29.55% +11.39%
INDEX:-0.73%
$129,617
$136,097 $136,097
$ 84,446
$142,092
$150,047
$157,550 $157,550
$139,976
$155,919 $154,781
What about
FOR EDUCATIONAL USE ONLY – NOT INTENDED AS SPECIFIC ADVICE.
retirement income?2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015Start End End End End End End End End End End End End End End EndValue Value Value Value Value Value Value Value Value Value Value Value Value Value Value Value
Yr 4Yr 3Yr 2Yr 1
INDEX:INDEX:
-13.04% -23.37%
$100,000
Yr 0
$100,000
$ 86,960
$100,000
$ 66,637
INDEX:+26.38%
$105,000
$ 84,216
$110,250
$ 91,787
Yr 7Yr 6Yr 5
$ 94,541
$107,418$111,209
INDEX:+8.99%
INDEX:+3.00%
INDEX:+13.62%
INDEX:+3.53%
Yr 15Yr 14Yr 13Yr 12Yr 11Yr 10Yr 9Yr 8
INDEX:-38.49%
INDEX:INDEX:
+23.45% +12.78%
INDEX:0.00%
INDEX:+13.45%
INDEX:+29.55%
INDEX:+11.39%
INDEX:-0.73%
$ 84,446
$ 95,238 $ 95,238
$108,048
$ 68,405
$113,558$119,235
$123,444 $123,444
$129,617
$136,097 $136,097
$142,092
$150,047
$157,550 $157,550
$139,976
$155,919 $154,781
$116,000
$125,280
$133,920
$142,560
$151,200$159,840
$168,480
$177,120
$185,760
$194,400 $194,400 $194,400 $194,400 $194,400 $194,400
FOR EDUCATIONAL USE ONLY – NOT INTENDED AS SPECIFIC ADVICE.
Optional benefit provides guaranteed growth3for lifetime income value .
Not a withdrawal value. Income Base value is used to determine amount ofannual lifetime income only. Annual growth of Income Base shown is 8% simple interest annually until income benefit start.
Hypothetical For Educational & Concept Example Purposes Only.1 Value shown assumes an account that exactly tracks the annual performance of the S&P 500 index (without dividends).S&P 500 Index is an unmanaged equity index.2.Fixed Indexed Deferred Annuity with account allocated to an Annual Point-to-Point Indexed Interest Strategy with Annual Cap of 5.00% for all years; this rate may no longer be available. Used for example purposes only, does not imply or guarantee performance of any specific annuity. Surrender charges apply to surrenders or withdrawals in excess of the free withdrawal provision during the Surrender Charge Period. Participation Rates and Interest Caps apply; may change annually on Contract Anniversary. Guarantees are based upon the claims-paying ability of the issuing insurance company.3.The Income Base is not a withdrawal or contract value, it is a mathematical formula used only to determine the amount of a lifetime income withdrawal. Example shown assumes an initial Income Base bonus of 8% of premium, increasing each year on an 8% simple interest for ten contract years, or until lifetime income benefit is commenced.
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015Start End End End End End End End End End End End End End End EndValue Value Value Value Value Value Value Value Value Value Value Value Value Value Value Value
Understanding the Concept; An Analogy
Sometimes goes fast……sometimes slows down…
…but NEVER GOES BACKWARDS!INDEX-BASED ACCOUNT VALUE
MARKET RISK (UNPROTECTED)
Sometimes goes fast……sometimes slows down…
…AND CAN GO BACKWARDS VERY QUICKLY!
Consistently moves forward...…until you begin your lifetime income benefit.
INCOME BASE GROWTH
FOR EDUCATIONAL USE ONLY – NOT INTENDED AS SPECIFIC ADVICE.
“A lot of models”Fixed Indexed Annuity
A lot of important details.
FOR EDUCATIONAL USE ONLY – NOT INTENDED AS SPECIFIC ADVICE.