Fixed Indexed Annuity

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

IndexCreditingCapParticipationFixed
Fidelity Multifactor Yield Index 5% ER2-Year--180%--
Fidelity Multifactor Yield Index 5% ERAnnual--120%--
Goldman Sachs Equity TimeX Index2-Year--85%--
Goldman Sachs Equity TimeX IndexAnnual--60%--
Morgan Stanley Dynamic Global Index2-Year--180%--
Morgan Stanley Dynamic Global IndexAnnual--165%--
S&P 500 Index2-Year--30%--
S&P 500 IndexAnnual7.6%100%--
S&P 500 IndexMonthly1.85%100%--
S&P MARC 5% Excess Return2-Year--170%--
S&P MARC 5% Excess ReturnAnnual--115%--
Fixed AccountDaily----3.05%

Key Features

Fixed Account

Minimum 0.25% guaranteed

Earns 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 performance

Earn 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-free

Beginning 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 8

Charges 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 fees

If 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 available

Can elect to convert to guaranteed lifetime income under multiple payout structures (life income, period certain, joint survivor, specified period/amount).

Highlights

1

Earn interest through fixed account or multiple index-linked strategies with downside protection (0% floor on index credits)

2

Flexible allocation between fixed and index accounts with annual rebalancing options

3

8-year surrender charge period with 10% annual penalty-free withdrawal allowance

4

Multiple crediting methods including participation rates, caps, and margins to match different market outlooks

5

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

A.M. BestA+
FitchA+
Standard & Poor'sA+

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