Freedom Equity Group

Annuities are unique investments in that they are specifically designed to generate retirement income you won't outlive, depending on selected annuities option and making certain there is a steady stream of income to assist you in achieving a comfortable retirement. Income is guaranteed by the claims paying ability of the insurer.

Equity-indexed annuities combine the ability to participate in the long-term growth potential of the equity markets with the safety of a minimum guaranteed interest rate and features that fixed annuities are known for.

Equity-Indexed Annuity

Equity-indexed annuities allow you to capture a percentage of the growth potential of an index, without being exposed to the risk of a market downturn. Your principle will be guaranteed 100% by the financial strength of the insurance company, if held to the end of the chosen term.

Even if the index is flat or has a negative return, you will walk away with at least your purchase payment, less withdrawals. At the time the contract is opened, a term is chosen, which is the number of years that the principal is guaranteed. The participation rate is the percentage of the growth potential of the indexed earnings that you would be entitled to.

Earnings are credited based on a method that calculates changes to the index using the participation rate. Equity-indexed annuities are long-term vehicles for retirement that also have features of fixed annuities, such as access to money, income options for retirement, and a death benefit, which could protect your family.

The benefits of tax-deferral in an annuity do not apply to contracts purchased as an Individual Retirement Annuity (IRA) or inside some other tax-qualified retirement plan because these plans already have tax-deferred status. Annuity income from traditional IRAs and other qualified plans is usually fully taxable since this money has typically never been taxed previously.

The principal is guaranteed by the strength of the insurance company.

Annuities are long-term vehicles designed for retirement purposes. Withdrawals of taxable amounts are subject to income tax, and if taken prior to age 59.5, a 10% IRS penalty tax may apply. Withdrawals have the effect of reducing benefits and values. Past performance is no guarantee or future results. Annuities are not insured nor guaranteed by the FDIC. Equity-indexed annuities are not a substitute for an S&P 500–linked mutual fund or any other equity investment.

We highly recommend that you consult with your financial advisor before making any decision.

* "Standard & Poor's," "S&P," "S&P 500," "Standard & Poor's 500" and "500" are trademarks of The McGraw-Hill Companies, Inc. The Equity Indexed Strategies are not sponsored, endorsed, sold or promoted by Standard & Poor's, and Standard & Poor's makes no representation regarding the advisability of purchasing these products.