Performance Choice 8
North American Company
7.6%
Best Cap
10%
Free W/D
50
States
A fixed index annuity that lets you allocate premiums to a guaranteed fixed account or various index-linked strategies, earning interest credits based on index performance with no direct market risk. Designed for investors seeking growth potential with downside protection during the accumulation phase.
Free Withdrawal
10%/yr
Available In
50 states
Min Premium
$20,000
Surrender
8 years
Current Rates & Strategies
| Index | Crediting | Cap | Participation | Fixed |
|---|---|---|---|---|
| Fidelity Multifactor Yield Index 5% ER | 2-Year | -- | 180% | -- |
| Fidelity Multifactor Yield Index 5% ER | Annual | -- | 120% | -- |
| Goldman Sachs Equity TimeX Index | 2-Year | -- | 85% | -- |
| Goldman Sachs Equity TimeX Index | Annual | -- | 60% | -- |
| Morgan Stanley Dynamic Global Index | 2-Year | -- | 180% | -- |
| Morgan Stanley Dynamic Global Index | Annual | -- | 165% | -- |
| S&P 500 Index | 2-Year | -- | 30% | -- |
| S&P 500 Index | Annual | 7.6% | 100% | -- |
| S&P 500 Index | Monthly | 1.85% | 100% | -- |
| S&P MARC 5% Excess Return | 2-Year | -- | 170% | -- |
| S&P MARC 5% Excess Return | Annual | -- | 115% | -- |
| Fixed Account | Daily | -- | -- | 3.05% |
Key Features
Fixed Account
Minimum 0.25% guaranteedEarns a guaranteed fixed interest rate set at issue and never lower than the minimum (0.25%). Rate redeclared annually for new premiums.
Index Account Options
0% floor on credits—no losses to index performanceEarn interest credits linked to external indices (S&P 500, Fidelity Multifactor Yield, Morgan Stanley Dynamic Global, S&P MARC 5% ER, S&P 500 Low Volatility) using various crediting methods.
Crediting Methods
Cap rates 0.50%–4%, participation rates 5%–100%+Six methods available including Annual/Monthly Point-to-Point with cap/participation rate/margin, and Term Point-to-Point options. Some include strategy fees for higher participation rates.
Penalty-Free Withdrawals
10% annually penalty-freeBeginning year 2, withdraw up to 10% of accumulation value annually without surrender charges. Required Minimum Distributions (RMDs) on tax-qualified accounts allowed without penalty.
Surrender Charges
10% year 1, declining to 3% year 8Charges decline from 10% (years 1–4) to 3% (year 8). Market Value Adjustment (MVA) applied to withdrawals exceeding penalty-free amount during 8-year period.
Accumulation Value True-Up Benefit
Protects against net loss from feesIf total strategy fees exceed total interest credited by end of surrender period (and no excess withdrawals taken), the difference is credited back to your account.
Death Benefit
Equals accumulation value (minimum)Beneficiary receives at least the accumulation value, never less than the minimum surrender value. Not available if annuitization election already made.
Annuitization Options
Multiple income options availableCan elect to convert to guaranteed lifetime income under multiple payout structures (life income, period certain, joint survivor, specified period/amount).
Highlights
Earn interest through fixed account or multiple index-linked strategies with downside protection (0% floor on index credits)
Flexible allocation between fixed and index accounts with annual rebalancing options
8-year surrender charge period with 10% annual penalty-free withdrawal allowance
Multiple crediting methods including participation rates, caps, and margins to match different market outlooks
Automatic Accumulation Value True-Up benefit protects against net losses from strategy fees at end of surrender period
Surrender Schedule
Yr 1
10%
Yr 2
10%
Yr 3
10%
Yr 4
10%
Yr 5
9%
Yr 6
8%
Yr 7
5%
Yr 8
3%
After
0%
Nursing home waiver
Best For
Investors age 50+ seeking tax-deferred growth with a balance of market upside participation and downside protection, who can commit funds for 8 years and prefer flexible access to their money without immediate annuitization.
Consider Alternatives If
Investors needing immediate liquidity (within 8 years), those uncomfortable with downside surrender charges during the contract period, or those seeking direct equity/dividend exposure or guaranteed income from inception.
Carrier Ratings
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