Rain or Shine: Five Diverse Factor Indices in a Single Index

With the S&P 500® Factor Rotator Daily RC2 7% Index,  you get the power of five diversified factor indices in one Index, each designed to respond to different market conditions.

With the S&P 500® Factor Rotator Daily RC2 7% Index (Factor Rotator 7% Index), you have access to two Index Accounts that offer credits based upon Factor Investing, a strategy designed to enhance diversification, generate above-market returns and manage risk. 

  • Uncapped Strategy based on Excess Return Index (participation rate applies and an annual spread may apply in the future)
  • Annual Point to Point Index Account
  • 2-yr Point to Point Index Account

This Index is a weighted return index designed to track the best performing two out of five S&P 500® factor indices (below) based on past risk-adjusted return. This index rotates the factor strategies each month based on past performance – with the best-performing factor strategy receiving a 75% weight and the second best-performing strategy receiving a 25% weight. Then, on a daily basis, a 7% volatility control is placed over the best two performing factors (comprised of the U.S. Two-year Treasury Futures Index and Cash) to help mitigate market volatility and leverage the underlying indices when volatility is low.

S&P 500 Quality

Expected to Perform:
During economic slowdown when investors seek safety

S&P 500 Enhanced Value

Expected to Perform:
During periods of economic recovery

S&P 500 Momentum

Expected to Perform:
During periods of economic expansion

S&P 500 Low Volatility

Expected to Perform:
During dramatic market swings or low interest rate environment

S&P 500 High Dividend

Expected to Perform:
During economic slowdown and contraction

 

Contact Your Sales Team to learn how the Foundations Annuity can build a help build a portion of your client's retirement savings.

Use our client-friendly resources below to learn more about the Factor Rotator 7% Index crediting strategies.

 

Factor Rotator 7% Brochure
Learn more about the Factor Rotator 7% Index, its construction, and how it's used within a fixed index annuity

Rain or Shine Sales Idea (Not for use in Idaho)
Help clients understand how the Factor Rotator 7% Index accounts within Foundations and how they may fit into an overall safe money strategy

 

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SELLING FOUNDATIONS

The first steps in selling Foundations:

  1. Check with your Broker-Dealer to see if Foundations is approved
  2. Get Appointed with Security Benefit
  3. Complete Product Training

FIAs don’t have to be complicated, and with Foundations, we’ve created content to help make it easier to educate your clients on how the product works. From client-friendly presentations to sales ideas and direct mail pieces to help you generate interest, use the resources linked below to start conversations with your clients.

Selling Foundations

S&P 500®Factor Rotator Daily RC2 7% Index Account

 

Find out how interest is credited in this uncapped strategy designed to select the performing of five factor indices in a single Index - including a low volatility factor.

SHARE WITH CLIENTS 

Guarantees provided by annuities are subject to the financial strength of the issuing insurance company. Annuities are not FDIC or NCUA/NCUSIF insured; are not obligations or deposits of and are not guaranteed or underwritten by any bank, savings and loan, or credit union or its affiliates; and are unrelated to and not a condition of the provision or term of any banking service or activity.

Security Benefit Life Insurance Company issues the Security Benefit Foundations Annuity, form 5800 (11-10) and ICC10 5800 11-10)), a fixed index flexible premium deferred annuity contract. Product features, limitations and availability may vary by state. In Idaho, Foundations is issued on form ICC10 5800 (11-10).

Bonus annuities may include changes to the elements used to determine the index interest credits or changes to the interest rate that are not included in similar annuities without a bonus. These changes may include lower current interest rates, higher surrender charges, longer surrender charge periods, lower participation rates or caps, higher spreads, or other changes. The amount of charges or reduction in interest credits may exceed the amount of the bonus.

“S&P 500® Index,” “S&P 500® Low Volatility Daily Risk Control 5% Index,” and the “S&P 500® Factor Rotator Daily RC2 7% Index,” are products of S&P Dow Jones Indices LLC, a division of S&P Global, or its affiliates (SPDJI) and Standard & Poor’s Financial Services LLC, and have been licensed for use by Security Benefit Life Insurance Company (SBL). Standard & Poor’s® and S&P® are registered trademarks of Standard & Poor’s Financial Services LLC, a division of S&P Global (S&P); Dow Jones® is a registered trademark of Dow Jones Trademark Holdings LLC (Dow Jones); third party licensor trademarks are trademarks of Standard & Poor’s Financial Services LLC and these trademarks have been licensed for use by SPDJI and sublicensed for certain purposes by SBL. SBL’s Foundations Annuity is not sponsored, endorsed, sold, or promoted by SPDJI, Dow Jones, S&P, their respective affiliates, or Standard & Poor’s Financial Services LLC, and none of such parties make any representation regarding the advisability of investing in such product nor do they have any liability for any errors, omissions, or interruptions of the S&P 500® Index, S&P 500® Low Volatility Daily Risk Control 5% Index, or the S&P 500® Factor Rotator Daily RC2 7% Index.

Fixed index annuities are not stock market investments and do not directly participate in any equity, bond, other security, or commodities investments. Indices do not include dividends paid on the underlying stocks and therefore do not reflect the total return of the underlying stocks. Neither an index nor any fixed index annuity is comparable to a direct investment in the equity, bond, other security, or commodities markets.

SB-10011-39 | 2021/08/01