Variable Universal Insurance policy guarantees cash value on a fixed account and it fluctuates depending
on subaccount performance.
While we will maintain separate information
on each subaccount for regulatory reporting purposes, all information reported to you will be consolidated.
Not exact matches
Earnings based
on the performance of the investment options (or «
subaccounts») you select from among those offered under the annuity.
You hereby grant Juicy Juice a worldwide, royalty - free, non-exclusive, sublicensable, transferable license to perform such acts with respect to the Content as may be necessary, in Juicy Juice's sole discretion, in connection with the conduct of Juicy Juice's business or its administration of the Website, including the right to: (i) deliver Content in accordance with the preferences you set using your account and any authorized
subaccounts; (ii) secure, encode, reproduce, host, cache, route, reformat, analyze and create algorithms and reports based
on access to and use of the Content; (iii) use, exhibit, broadcast, publish, publicly display, publicly perform, distribute, promote, copy, store, and / or reproduce (in any form) the Content
on or through the Juicy Juice Websites and any administration thereof; and (iv) utilize Content to test Juice Juice's internal technologies and processes.
Each month we will allocate the balance in your checking account between the two
subaccounts based
on allocation formulas that we may change from time to time.
Internal transfers between the two
subaccounts will have no practical impact
on you.
The
subaccount seeks to capitalize
on the strength of the health - care sector, targeting companies of all sizes.
The
subaccount seeks to capitalize
on those market sectors and maturities
The prospectus contains details
on the variable annuity, the
subaccounts, contract features, fees, expenses, and other pertinent information.
You specify how much of your annuity will be invested in the various
subaccounts and your return will be based
on the performance of the investments you select.
With an emphasis
on high - quality, short - term fixed - income securities, this
subaccount seeks to protect principal by attempting to maintain a constant $ 1.00 share price while providing shareholders with easy access to their money.
Due to the mechanics used to generate earnings to pay interest to index - linked
subaccounts, the profit an insurer makes
on IUL policies is subject to the premiums charged for buying options
on the indices being tracked.
This extra expense can cause them to adjust the cap and participation rates to reduce the amount of interest they pay
on index - linked
subaccounts to maintain their profit margins.
Allocation to these
subaccounts are generally credited with an amount of interest based
on the growth of the relevant index over a certain period of time, often called the index period, using two methods used to determine the crediting rate:
Where IUL differs from UL is that these policies enable policyholders to invest some or all of their available cash account in a
subaccount option based
on the performance of market indices such as the S&P 500 or the NASDAQ 100.
The failure to mention the separate
subaccount rule (or the rule for pre-1987 after - tax contributions) was either an oversight or a choice made based
on space limitations in the newsletter.
Returns are based
on the performance of these
subaccounts.
Variable annuities» interest rates are based
on their underlying investment accounts, known as
subaccounts.
On a sixth transfer during a calendar month, any funds in the savings
subaccount will be transferred back to the checking
subaccount.
If you don't then it's not a fair comparison, because the exact same fees in the VUL
subaccount are not deducted (or another way to look at it is that they're double - counted
on the IC investment accounts).
Whether your payment rises, however, depends
on, among other things, how the
subaccounts fare over time.
Investment earnings have to be allocated to this
subaccount according to IRS rules, but it remains separate from other portions of your overall retirement account, including your pre-tax contributions, employer matching dollars, and investment earnings
on these amounts.
This is because they usually just use it to steer money into the
subaccount managers that are
on a temporary hot streak (AKA «chasing hot funds,» so you'll always be buying high and selling low).
What happens to the Plus games
on my wife's
subaccount PS3 syustem when I get a PS4?
Earnings in a variable annuity are based
on performance of investment
subaccounts that range from stocks and bonds to equity and money market funds.
Earnings based
on the performance of the investment options (or «
subaccounts») you select from among those offered under the annuity.
Find information
on how annuity
subaccounts work.
Instead, fixed universal life policies generally earn an interest rate in the cash value, while variable universal life policy returns depend
on the performance of the funds offered within each policy's
subaccounts, which are analogous to mutual funds, except that the insurance company owns the shares rather than the policy owner.
For contract owners invested in the PIMCO VIT Money Market Portfolio, any value remaining in this
subaccount on the Liquidation Date will be transferred automatically to the Fidelity VIP Government Money Market Portfolio
subaccount.
Since cash value depends
on the performance of the
subaccounts you choose, there is the potential for losing cash value, which could cause your policy to lapse.
The policyholder takes
on the risk of the
subaccount performance rather than the insurance carrier, creating a policy that is most appropriate for individuals who want to manage their own cash value accounts and risks associated with them.
Those who put their money in stock
subaccounts and leave it there for 20 years or more will probably see a higher return
on their investment than can be had from any other type of annuity.
Those that have a variable annuity in one segment are designed to allow a portion of the client's money to grow in the mutual fund
subaccount portion of the contract while providing guaranteed income that the client can not outlive
on the fixed side.