What You Need to Know
- Midland National, part of Sammons Financial, is adding ESG into annuity offering.
- RetireOne is the distributor.
- A BlackRock unit developed the ESG index.
Midland National Life Insurance Company is introducing a non-variable indexed annuity that has “ESG” on the menu.
An ESG index tries to take environmental, social welfare and corporate governance factors into account when evaluating investment opportunities.
Midland National says its new IndexMax ADV annuity offers purchasers access to the BlackRock ESG US 5% Index ER (BESGUVCX).
The product is the first non-variable indexed annuity to offer users an ESG index option, according to Midland National.
“BlackRock Index Services developed the index as part of its commitment to increasing access to sustainable investing through indexes that are linked to fixed index annuity (FIA) products,” according to Midland National, which is distributing the contract through the RetireOne insurance distribution platform.
Midland National is an arm of Sammons Financial Group. Its life insurance operations are based in Sioux Falls, South Dakota, and its annuity operations are based in West Des Moines, Iowa.
It operates in 49 states and the District of Columbia andsells its products through a network of about 12,000 licensed professionals.
RetireOne is an Aria Retirement Solutions program that supplies about 900 RIAs and fee-based advisors with fee-based insurance and annuity products.
The IndexMax ADV annuity is designed for fee-based advisors.