An arm of FGL Holdings Inc. has introduced a new indexed annuity contract that will offer crediting rates tied to the performance of iShares exchange-traded funds, or ETFs.
Fidelity & Guaranty Life Insurance Company has filed the new F&G Power Accumulator contract as a fixed product.
(Related: Annuity Issuer Makes Changes)
F&G says the product is the first contract brought to market that based the primary crediting strategy on the performance of iShares ETFs.
The contract also offers holders access to a blended investment index.
F&G is based in Des Moines, Iowa. The life insurer’s parent, FGL, is based in George Town, Grand Cayman, in the Cayman Islands.
F&G says the new annuity also comes with some other distinctive features.
The contract has no annual fee.
The contract also comes with no caps on the percentage of market gains that can be applied to the crediting rate.
The District of Columbia Department of Insurance, Securities and Banking displays filings related to the contract in its filing database.
In one document, which was filed and approved in March, F&G says the new contract will be marketed by agents, with issue ages ranging from 9 through 85.
The company emphasizes that the contract crediting rate may be influenced by the performance of ETF values, but that the contract, like other indexed annuity contracts, does not participate directly in any ETF or in any other stock fund, bond fund or equity investments.
— Read FGL Set to Issue $550 Million in Notes, on ThinkAdvisor.