PruSecure was designed to meet the needs of clients who are: Initial: $10,000 Subsequent: Not Permitted, Minimum: None / Maximum: 85 Contracts may not be issued on or after the 86th birthday of the oldest of all owners and annuitants, No later than the first contract anniversary on or after the oldest owner's or annuitant's 95th birthday, Indexed-Based Strategy with Point-to-Point Crediting with Cap Rate and Point-to-Point Crediting with Participation Rate. This indexed variable annuity, also called an Registered Indexed Linked annuity, RILA, Buffer annuity, will likely be presented on three ideas: The Prudential FlexGuard Annuity is for investors that want to participate in stock market like return with a loss provision or buffer selected of 10% or 20% a year. Variable investment options are available but do not offer protection levels. Conservative, risk averse, or uncomfortable with the idea of losing money, but still want the potential to grow it, Looking for a way to protect and potentially grow a portion of their income-producing assets earmarked for retirement, Frustrated with the minimal returns they are receiving in today's low interest rate environment, Service your existing Prudential Annuities clients, Minimum renewal Cap Rate during surrender charge period 1.00%, after surrender charge period 1.00%, Minimum renewal Participation Rate during surrender charge period 5.00%, after surrender charge period 5.00%, Minimum renewal Cap Rate during surrender charge period 2.00%, after surrender charge period 1.00%, Minimum renewal Participation Rate during surrender charge period 10.00%, after surrender charge period 5.00%, Minimum renewal Fixed Rate during surrender charge period 1.00%; after surrender charge period 0.05%, Withdrawals in excess of the free withdrawal amount, with the exception of Required Minimum Distributions, are subject to an MVA during the surrender charge period, This adjustment may either increase or decrease the amount withdrawn and is determined by a formula that is tied to the Bloomberg U.S. Intermediate Credit Index; MVA may not apply in all states, Free withdrawals in each contract year are not cumulative, Surrender charges and MVA will not apply to RMDs that Prudential calculates, Minimum renewal Cap Rate during surrender charge period 3.00%, after surrender charge period 1.00%, This adjustment may either increase or decrease the amount withdrawn and is determined by a formula that is tied to the BloombergU.S. Intermediate Credit Index; MVA may not apply in all states, Certain securities products and services are offered through Pruco Securities, LLC and Prudential Investment Management Services, LLC, both members. The Interim Value is the value of an Index Strategy on any Valuation Day during an Index Strategy Term. FlexGuards three index strategies include a cap rate strategy, which allows you to earn interest on any index growth up to a defined limit, called a cap; as well as two index. Slide 7 establishes how rethinking your approach to asset allocation may be smart. As our customers needs continue to evolve, were working to provide them with new ways to achieve financial security, including offerings that help to diversify their cash values and realize more benefits from their policies, says Salene Hitchcock-Gear, president of Individual Life Insurance at Prudential. S&P chooses the member companies for the 500 based on market size, liquidity and industry group representation. The Performance Lock Value, which is different than the Interim Value, is adjusted for any withdrawals or reallocations that occur prior to the Index Strategy End Date. margin: 20px 0; It is a free float-adjusted market capitalization index that is designed to measure the equity market performance of 21 developed markets, excluding the U.S. and Canada. If a Performance Lock is executed when thePerformance Lock Value has declined, clientswill lock in any loss. Launched in May 2020, it features index strategies with buffers that can help limit market losses while providing investors the opportunity for asset growth. Actual cap rates and participation ratesmay be higher or lower. The Segment Rate of Return for a Choice Segment will always be less than (a) the Performance Cap Rate and (b) the index performance rate, if positive, for that Segment. Variable Annuities and Variable Life Insurance are distributed by Prudential Annuities Distributors, Inc. (PAD), Shelton, CT (main office). It can be customized based on a client's retirement goals and adjusted as their needs change. Withdrawals taken during the surrender charge period, excluding any Required Minimum Distributions, will be subject to any applicable surrender charges and a Market Value Adjustment. The Initial Term (s) begin on the Issue Date. <]/Prev 624911/XRefStm 1346>> Partner with us, and well invest in you. LINK by Prudential is an umbrella marketing name for Prudential Customer Solutions LLC ("PCS"), Prudential Annuities Distributors, Inc. and various subsidiaries of The Prudential Insurance Company of America. PruSecure is issued byPruco Life Insurance Company and oers clients these distinct advantages when compared with other fixed indexed annuities: For over 145years, Prudential's Rock symbol has been an icon for nancial strength and stability. Use up and down arrow keys to navigate. The participation rate is an upper limit percentage increase used to calculate the interest that will be credited for a specific index term(s). Prudentials A.M.Best rating is a A+ along with comdex score of 95. The Segment Rate of Return for a Choice Segment may be less than the Segment Rate of Return for a Standard Segment based on the same index, Segment Buffer and Segment Duration. The product prospectus contains a more detailed description of the limited relationship MSCI has with Pruco Life Insurance Companyof New Jersey and any related annuity contracts. Remember that the index credits are capped at a lower rate than the index itself like your index mutual funds or EFT at Charles Schwab or Fidelity. Bloomberg U.S. Intermediate Credit Index:BLOOMBERG is a trademark and service mark of Bloomberg Finance L.P. and its affiliates (collectively "Bloomberg"). Financial advisors through the Stages channel offer a no cost consultation and provide an overview of your financial life with proposed solutions for you to consider. "Prudential Advisors" is a brand name of The Prudential Insurance Company of America and its subsidiaries. The customer will have the option to allocate their premium to one or more indices listed below: The customer will have the option to allocate to one, some, or all the Index Strategies listed below: Negative Index Return is protected from loss within the Buffer associated with the selected Index Strategy. The Interim Value for each Index Strategy plus the total value of any allocations in the Variable Investment Subaccounts (including the Holding Account) and the Transfer Account on any Valuation Day other than the Index Strategy Start Date and Index Strategy End Date. The rule, which raised investment-advice standards in retirement accounts, would of made brokers and insurance agents become fiduciaries to sell indexed annuity and other financial products opening up potential lawsuits from bad sales of annuity products. Prudential Financial, Inc. ( NYSE: PRU ), a global financial services leader and premier active global investment manager with more than $1.4 trillion in assets under management as of June 30,. The floor is always 0%. Assurance IQ, LLC a wholly-owned subsidiary of Prudential Financial, Inc. ("Prudential") matches buyers with products such as life and health insurance and auto insurance, enabling them to make purchases online or through an agent. Available Buffers, which may vary by Index Strategy, are 10%, 15%, and 20%. FlexGuard - NY offers an innovative index crediting strategyunique to Prudential, with access to variable investment options. Financial advisors who are available through the Stages channel currently offer a more limited range of products and services as compared to the range of products and services offered through other Prudential distribution channels. Not Insured by FDIC or any Federal Government Agency | May Lose Value | Not a Deposit of or Guaranteed by the Bank or any Bank Affiliate. The tax treatment will differ depending on whether they purchased the annuity with pre-tax (qualified) or after-tax (non-qualified) dollars. Tier Levels may be higher or lower than the initial Tier Level, but will never be higher than the Guaranteed Maximum Tier Level. The client'smoney is not actually invested in any index, but may earn interest credits based on the indexs performance. An allocation to the index options is not a purchase of shares of any stock or index fund or a direct . NEWARK, N.J. -- (BUSINESS WIRE)-- Prudential Financial, Inc. ( NYSE: PRU ), launched FlexGuard today, the company's first indexed variable annuity product, designed . FlexGuard, Prudential Financial's first indexed variable annuity product, achieved $1 billion in sales less than six months after launch, making it the fastest-selling product of its kind ever . Neither Prudential Financial, Inc. nor Assurance IQ issues, underwrites, or administers health plans or health insurance policies. Variable Annuities and Variable Life Insurance are distributed by Prudential Annuities Distributors, Inc. (PAD), Shelton, CT (main office). An investment in the PSF PGIM Government Money Market Portfolio is neither insured nor guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Variable Annuities and Variable Life Insurance are distributed by Prudential Annuities Distributors, Inc. (PAD), Shelton, CT (main office). Each is a Prudential Financial company located in Newark, NJ (main office), except for PALAC which is located in Shelton, CT (main office), and each is solely responsible for its own financial condition and contractual obligations. The information is not intended as investment advice and is not a recommendation about managing or investing a clients retirement savings. If the Index Return is between zero and the declared Tier Level, then the Index Credit is equal to the IndexReturn multiplied by the Participation Rate for the 1st tier. In providing this information, neither Prudential nor any of its affiliates or financial professionals is acting as your ERISA fiduciary. 0000001036 00000 n 563 0 obj <>stream Rates are subject to change at any time. The applicable Income Percentage and Income Deferral Rate is based on the attained age of the Protected Life (or younger of the Joint Protected Lives) on the Index Effective Date, according to the tables below: . If the Index Return is positive, but less than the Cap Rate, the Index Credit is equal to theIndex Return. References to FLIAC shall be deemed to be references to PALAC in the jurisdictions where the name change is not yet effective. Other proprietary Fortitude Re marks may be designated as such through the use of the SM or symbols. 0000001346 00000 n FlexGuard Life performs exactly in that way, prioritizing protection, growth and access.. Prudential Defined Income Variable Annuity Product Specifics: Minimum age for initial purchase: 45 Maximum age for initial purchase: 85 Minimum initial purchase payment: $25,000 Prudential stated fee: 1.9% True all in fee: 2.73-3.43% Website: www.annuities.prudential.com/investor Prudential Defined Income Variable Annuity Fees: If the Index Return is negative, but less than or equal to the Buffer, the Index Credit is zero. Information contained on this site does not and is not intended to constitute an advertisement, solicitation, or offer for sale in any jurisdiction outside the United States, where such use would be prohibited or otherwise regulated. Fortitude Re and the Fortitude Re logo are service marks of Fortitude Group Holdings, LLC and its affiliates. strategies called Tiered Participation Rate and Step Rate Plus, that can enable you to accelerate a portion of your growth potential in up markets, providing you with the possibility of earning even more. NEWARK, N.J. - Prudential Financial, Inc. announced that its FlexGuard product has reached a $10 billion total sales milestone since its launch in 2020, making it the fastest-growing indexed variable annuity in the industry, according to data from the Secure Retirement Institute. } See current PruSecure Advisor rate sheetPDF opens in a new window, Surrender Charge Options Rates will vary based on the surrender charge option chosen, 5 years: 2%, 2%, 2%, 2%, 2% 7 years: 2%, 2%, 2%, 2%, 2%, 2%, 2%. FLIAC is not licensed to do business in New York, effective December 31, 2015, which had no impact on existing annuity contracts sold through FLIAC. Prudential is not responsible for any losses related to decisions whether or not to exercise a Performance Lock. The information is not intended as investment advice and is not a recommendation about managing or investing your retirement savings. This page specifically focuses on Prudential products. 0 One of the most valuable aspects of FlexGuard is its potential to cushion your account against loss. With FlexGuards index strategies, you can select a level of protection, called a buffer. The information is not intended as investment advice and is not a recommendation about managing or investing your retirement savings. If they make a full withdrawal of the annuity, they will receive the greater of the account value (minus any surrender charges and adjusted by any applicable MVA) and the Minimum Guaranteed Surrender Value. 0000046767 00000 n .RIANavBar { Today the Prudential fee amounts to 1.9% but a few years down the line you may be paying 2.6%! Any growth is based on the index return. Kristen Olsen Started in 2010 with one company, these hybrid annuities do offer is a limited loss to an investor between 10% and 20% of the markets decline during a specified period usually a year period. At least characters must be typed in the search field in order to perform the search, PruSecure Fixed Indexed Annuity At-A-Glance. Prudentials diverse and talented employees help make lives better by creating financial opportunity for more people by expanding access to investing, insurance, and retirement security. Change of Ownership terminates the Return of Purchase Payments death benefit. It is designed to provide customers with partial downside protection and the opportunity to grow and accelerate the performance of their assets into the future. The contract, announced this week, has been issued as a B-share variable annuity (with a six-year surrender period with a 7% withdrawal penalty in the . FlexGuard sales totaled $1.6 billion in the first quarter, representing 84% of total annuity sales, up from $1.2 billion in the fourth quarter of 2020, he said. Prudential Financial Inc. today launched FlexGuard Income, a new indexed variable annuity that provides customers with investment strategies for growth potential, along with different levels of protection and the ability to help enhance income in retirement. Upon renewal or reallocation, your clients may continue with the same strategy and allocation, or choose from the other strategies and terms available at that time. However, if your clients withdraw any of their money during the first contract year or more than 10% of their money in any subsequent year during the surrender charge period, there may be a surrender charge. Pruco Life Insurance Companyof New Jersey's Product(s) is not sponsored, endorsed, sold or promoted by SPDJI, Dow Jones, S&P, their respective affiliates, and none of such parties make any representation regarding the advisability of investing in such product(s) nor do they have any liability for any errors, omissions, or interruptions of the S&P 500 Index. Annuities and Life Insurance are issued by Prudential Financial companies; The Prudential Insurance Company of America (PICA) or Pruco Life Insurance Company (PLAZ) (in New York, by Pruco Life Insurance Company of New Jersey (PLNJ)), all located in Newark, NJ (main office), or an unaffiliated third-party issuer: Fortitude Life Insurance & Annuity Company (FLIAC), located in Jersey City, NJ. Topics Protection Income These advisors currently offer only insurance products issued by PICA and its affiliates (Prudential companies). Prudential Financial, its affiliates, and their financial professionals do not render tax or legal advice. Unlike standard death benefits that provide only the greater of premiums paid or current account value, if your client passes away during their index term, their beneficiaries will also receive a portion of any index growth up to that point. In addition to one-year index term options, PruSecure offers three- and ve-year index term options, which may offer more upside potential. ** The websites referenced above are not endorsed or supported by any of the Prudential Financial companies. Prudential Financial has jumped into the fastest-growing segment of the beleaguered annuity marketthe $17.4 billion market for structured variable annuities-by issuing its first registered index-lined annuity contract, called FlexGuard.. Bloomberg Commodity Index reflects changes in a broad range of commodity futures prices, from crude oil and coffee to gold and cattle. 528 0 obj <> endobj } Marketing and training materials contained on these websites need to be approved by the Prudential Retirement Strategies Marketing Compliance Unit prior to use.