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Annuities Should Create Agency Income
Many...rt of the Life family of products, annuities can serve as profit centers, pro...

Annuities: Module V-G
  ANNUITIES: MODULE V-G   THE PRODUCT Annuities have been called 'upside-down Life ...jumbo CD holders for single premium annuities. Send out Letter A2 as a pre-app...

...key countries. Equity Index Annuities, a means of profiting when the stoc...in all aspects of the Life, Health, annuities, benefits, payroll deduction and...

...be a high potential for selling annuities, gifting of policies to children an... Medigap Annuities Life coverage revi...

... is consistent with current NASD requirements regarding policy illustrations. The next graphic portrayal illustrates the same policy and premium flow, but with the constant average 12% gross replaced with actual "large cap" equity market monthly returns - from 1956 to 1998. These monthly returns are applied in the sequence in which they occurred to the 43-year period from policy issue to policy maturity. By the way, the index itself would result in a compounded average return of 11.9% for the 43 years in this example. The greatest concern over the hypothetical result is that it's inconsistent with current regulations regarding what may be shown to a client. So Registered Representatives are barred from calculating or demonstrating this possibility to their clients. At the same time, however, it's critical to understand that the negative effect suggested in ... variable policies. The NAIC has intended to reconcile differences between their Model Illustration Regulations and the regulations of the NASD, but to date the level of cooperation necessary to develop joint regulations hasn't occurred. Variable Life insurance illustrations enjoy a unique "franchise" from the NASD: only this type of registered product may be specifically illustrated for future value projections. Mutual funds, individual securities, and even variable annuity products are not covered by the exemption from rules prohibiting the projection of future values. Variable Life insurance policies may be illustrated at a rate not to exceed a gross average rate of 12%, and a 0% rate and a mid-point rate must also be shown. Of course, a variable Life insurance policy discussion can't take place without first providing a prospectus to the potential buyer of such ...

... is consistent with current NASD requirements regarding policy illustrations. The next graphic portrayal illustrates the same policy and premium flow, but with the constant average 12% gross replaced with actual "large cap" equity market monthly returns - from 1956 to 1998. These monthly returns are applied in the sequence in which they occurred to the 43-year period from policy issue to policy maturity. By the way, the index itself would result in a compounded average return of 11.9% for the 43 years in this example. The greatest concern over the hypothetical result is that it's inconsistent with current regulations regarding what may be shown to a client. So Registered Representatives are barred from calculating or demonstrating this possibility to their clients. At the same time, however, it's critical to understand that the negative effect suggested in ... variable policies. The NAIC has intended to reconcile differences between their Model Illustration Regulations and the regulations of the NASD, but to date the level of cooperation necessary to develop joint regulations hasn't occurred. Variable Life insurance illustrations enjoy a unique "franchise" from the NASD: only this type of registered product may be specifically illustrated for future value projections. Mutual funds, individual securities, and even variable annuity products are not covered by the exemption from rules prohibiting the projection of future values. Variable Life insurance policies may be illustrated at a rate not to exceed a gross average rate of 12%, and a 0% rate and a mid-point rate must also be shown. Of course, a variable Life insurance policy discussion can't take place without first providing a prospectus to the potential buyer of such ...

... is consistent with current NASD requirements regarding policy illustrations. The next graphic portrayal illustrates the same policy and premium flow, but with the constant average 12% gross replaced with actual "large cap" equity market monthly returns - from 1956 to 1998. These monthly returns are applied in the sequence in which they occurred to the 43-year period from policy issue to policy maturity. By the way, the index itself would result in a compounded average return of 11.9% for the 43 years in this example. The greatest concern over the hypothetical result is that it's inconsistent with current regulations regarding what may be shown to a client. So Registered Representatives are barred from calculating or demonstrating this possibility to their clients. At the same time, however, it's critical to understand that the negative effect suggested in ... variable policies. The NAIC has intended to reconcile differences between their Model Illustration Regulations and the regulations of the NASD, but to date the level of cooperation necessary to develop joint regulations hasn't occurred. Variable Life insurance illustrations enjoy a unique "franchise" from the NASD: only this type of registered product may be specifically illustrated for future value projections. Mutual funds, individual securities, and even variable annuity products are not covered by the exemption from rules prohibiting the projection of future values. Variable Life insurance policies may be illustrated at a rate not to exceed a gross average rate of 12%, and a 0% rate and a mid-point rate must also be shown. Of course, a variable Life insurance policy discussion can't take place without first providing a prospectus to the potential buyer of such ...

... is consistent with current NASD requirements regarding policy illustrations. The next graphic portrayal illustrates the same policy and premium flow, but with the constant average 12% gross replaced with actual "large cap" equity market monthly returns - from 1956 to 1998. These monthly returns are applied in the sequence in which they occurred to the 43-year period from policy issue to policy maturity. By the way, the index itself would result in a compounded average return of 11.9% for the 43 years in this example. The greatest concern over the hypothetical result is that it's inconsistent with current regulations regarding what may be shown to a client. So Registered Representatives are barred from calculating or demonstrating this possibility to their clients. At the same time, however, it's critical to understand that the negative effect suggested in ... variable policies. The NAIC has intended to reconcile differences between their Model Illustration Regulations and the regulations of the NASD, but to date the level of cooperation necessary to develop joint regulations hasn't occurred. Variable Life insurance illustrations enjoy a unique "franchise" from the NASD: only this type of registered product may be specifically illustrated for future value projections. Mutual funds, individual securities, and even variable annuity products are not covered by the exemption from rules prohibiting the projection of future values. Variable Life insurance policies may be illustrated at a rate not to exceed a gross average rate of 12%, and a 0% rate and a mid-point rate must also be shown. Of course, a variable Life insurance policy discussion can't take place without first providing a prospectus to the potential buyer of such ...