A tax-deferred investment that offers diversification, flexibility and important estate benefits with no contribution limits. Morgan Stanley Investment Management offers variable annuity products through the Universal Institutional Funds. Variable Interest Rate - Interest rate that is adjusted as market rates change. Can be found in adjustable rate mortgages, bonds, and certificates of deposit.
A tax deferred retirement plan where investors can choose how they want their money invested.
A contract issued by an insurance company where the annuity payments are invested in a separate account that varies according to the performance of the securities in the account.
An annuity under which the annuitant's payments will vary, depending upon the results of an investment portfolio or in accordance with a formula prescribed in the annuity contract.
An annuity similar to a traditional fixed annuity in that, on retirement, payments will be made periodically to the annuitant, usually over the remaining years of that person's life, but differing in that payments generally vary in amounts. With the fixed annuity, the dollar amount of each payment is guaranteed by the company. The annuitant may well receive more than the guaranteed amount through dividends, but never less. Under the variable annuity, to the contrary, there is no guarantee of the dollar amount of the payments. The payments, rather, will fluctuate up and down in accordance with the earnings of an invested account.
Life insurance annuity contract whose value and payout fluctuates with that of an underlying securities portfolio or other index of performance.
A form of annuity policy under which the amount of each benefit payment is not guaranteed and specified in the policy. The amounts of the benefit payments fluctuate according to the earnings of a separate account fund.----------[ Back
An annuity whose premiums are invested in a variety of investment vehicles (stocks, bonds, etc.). The annuity holder decides the allocation of their funds between the different investments that are offered and receives a return that varies based on the performance of the investments selected. ariable Costs Unit costs and/or operating expenses that vary proportionately with business volume.
An annuity contract in which the amount of each periodic income payment may fluctuate. The fluctuation may be related to securities market values, a cost of living index, or some other variable factor. Variable annuity contracts are generally designed to minimize current taxes on the income derived from the investments in them; income taxes are then incurred when withdrawals are made from the annuity, for instance beginning after age 59 1/2.
a complex contract between a consumer and an insurance company
a contract between a consumer and an insurance company in which the company promises to make periodic payments to the consumer, either immediately or at a future date
a contract between an investor and a life insurance company
a contract between an investor and an insurance aig annuity insurance company
a contract made with an insurance company
a contract sold by an insurance company designed to provide a payment of an amount, not guaranteed, to the holder at specified
a contract with an insurance company and is offered through USAllianz Securities, Inc
a contract with an insurance company that allows you to invest in tax-deferred "sub-accounts" that resemble mutual funds
a life insurance investment contract whose value is determined by the changing value of the underlying portfolio of debt and equity securities
a mutual fund-type account wrapped in a thin veneer of insurance that renders the investment earnings tax-deferred
an annuity contract that provides variable rather than fixed returns
an annuity product that allows the owner to invest in independently managed subaccounts
an annuity that will provide you with the long-term gains in the stock market, as well as the losses
an annuity with exposure to investments
an insurance contract that allows you to invest your premium in mutual fund-like investments
an insurance contract that combines the advantages of tax deferral with professionally managed investment portfolios
an insurance contract that offers tax-deferred investing
an insurance contract with a different twist
an investment contract between you and the annuity company
an investment contract with an insurance company that can be converted into a right to receive income payments for life
an investment product designed to provide
an investment vehicle designed for retirement savings
an investment where a principal sum of money paid to a financial institution is subsequently paid out over a set period of time at a variable interest rate
a personal retirement account that brings together the best features
a personal retirement account that offers a wide-array of investment options with a death benefit
a personal retirement program that can
a personal retirement vehicle that brings together the features of investments and insurance
a product that is designed to help you accumulate funds for your retirement
a securities/insurance product that provides investment options, much like mutual funds, for long term investors, who want an extra way to save for retirement
a tax-deferred investment, and so is an IRA
a tax-favored investment that allows your earnings whether they are from interest, dividends or capital gains to grow tax-deferred
a type of annuity in which you decide how your money will be invested
a vehicle of investment designed for the savings of the retirement
A form of annuity policy under which the amount of each benefit payment is not guaranteed and specified in the policy, but which instead fluctuates according to the earnings of a separate account fund.
Insurance contract under which investment returns fluctuate with the markets. Vanguard offers a choice of four funds under its variable annuity plan. (see also VVAP)
An annuity whose value may fluctuate according to the value of underlying securities in which the funds are invested.
A type of insurance contract having a value that changes based on an underlying investment portfolio or on another performance index. Funds held in the annuity accumulate on a tax-deferred basis.
A type of annuity in which the account balance may fluctuate based on the value of investment portfolios underlying the separate account. The contract owner has the ability to allocate money among several available investment choices. The contract owner, not the insurance company issuing the contract, assumes investment risks.
A tax-deferred investment that pays a variable rate of return, unlike a fixed-rate annuity that pays a fixed rate of return. Owners of variable annuities may, based on their risk tolerance, select from a variety of investment subaccounts.
A life insurance investment contract, purchased either lump-sum or by installments, that features an investment in an underlying portfolio of debt and equity securities. Because these securities are in a separate account and are not guaranteed from principal loss by the insurance company, their value and the income they drive may vary. Holders who annuitize their contracts may select different payout plans, but the amount paid out will vary with the value of the separate account.
such an annuity from the TIAA-CREF variable accounts is expressed in terms of units instead of dollars. The value of the accumulation and the amount of income fluctuate with the underlying value of the investments in the variable account.
Form of annuity where the benefit varies with the performance of the investments.
Provides insurance consumers the option of investing in multiple financial programs that function similar to mutual funds in a portfolio manner that includes tax deferred earning capabilities. Variable annuities present both risks and rewards superior to Fixed Annuity insurance programs and are subject to market fluctuations.
A contract between the insurance company and the contract owner whereby the contract owner has discretion over his/her managed investments which are held by the insurer in accounts that are separated from the insurer's general account. Account balance may fluctuate based on the value of investment portfolios underlying the separate account. The contract holder has the ability to allocate money among several investment choices. Contract owner assumes risk of market fluctuation.
A type of insurance contract that guarantees future payments to the holder, or annuitant. Capital accumulates tax-free, often through investment in a mutual fund, and is converted to an income stream at a future date (usually retirement). All monies held in the annuity accumulate on a tax-deferred basis.
An annuity contract in which premiums are allocated to separate funds offered by the life insurance provider, including bond and stock funds. The selection of funds depends on the level of risk the owner is willing to assume. The account value (and possibly the benefit payments) reflects the performance of the funds chosen.
A variable annuity is a contract between an investor and an insurance company under which the insurer agrees to make periodic payments to the investor, beginning either immediately or at some future date.
A contract in which the premiums paid are invested in funds offered by the insurance company, including bond and stock funds. The selection of funds is guided by the level of risk assumed. The account value reflects the performance of the funds that the owner has chosen for investment. Over the long term, variable armuities invested in equities reflect the growth and performance of the economy and serve as a hedge against inflation.
an insurance industry investment product that allows an investor to choose from a range of mutual fund investment funds, called sub-accounts.
A variable annuity is a contract offered by an insurance company that can be used to accumulate tax-deferred retirement savings. You allocate your premium among a number of funds — also called subaccounts or investment portfolios — offered through the contract. Your contract value, which fluctuates over time, reflects the performance of the underlying investments held by the funds you have selected, minus the contract expenses. Withdrawals are taxed at your regular rate, but if they're made before you reach age 59 1/2, you may also be subject to a 10% early withdrawal penalty.
It is a contract between you (the annuity owner) and a life insurance company. In return for your payment, the insurance company agrees to provide either a regular stream of income or a lump sum payout at some future time (generally, once you retire or pass age 59 1/2). Your premiums are invested in one or more securities portfolios and fixed interest accounts, where they earn interest and/or capital appreciation. No taxes are due until these earnings are paid out. (If you make a withdrawal before age 59 1/2, you could incur a 10% tax penalty.)
A variable annuity is a contract offered by an insurance company that can be used to accumulate savings tax deferred. You allocate your premium among a number of subaccounts or investment portfolios offered through the contract. Your contract value, which fluctuates over time, reflects the performance of the underlying investments held by the funds you have selected, minus the contract expenses. Withdrawals are taxed as ordinary income, rather than at the lower capital gains rate. If you make withdrawals before you reach age 59 1/2, you may also be subject to a 10% early withdrawal penalty. Unlike fixed annuities, variable annuities are securities registered with the Securities and Exchange Commission (SEC).
An annuity whose value fluctuates with the performance of the investments in a separate account. (See also: annuity and Sub-Accounts) Return to Previous
an annuity whose payments depend either on the success of investments that underlie it, or on the value of the index
Contract issued by an insurance company. Variable annuities give the investor flexibility by offering a variety of investment fund options. The value of these investments may vary. There is also an insurance feature associated with annuities.
An annuity that allows the purchaser to decide how to invest the money within a range of mutual fund look-alike investment options offered by the insurance company.
A type of insurance contract that guarantees future payments to the holder, or annuitant, usually at retirement. The annuity's value varies with that of the underlying portfolio securities, which may include mutual fund shares. All monies held in the annuity accumulate tax-deferred.
An annuity contract under which the monthly payments will vary because they are linked to the values of investments, such as common stocks. This contrasts with the fixed dollar annuity, which guarantees a fixed amount monthly.
A form of annuity contract sold by life insurance companies that allows the contract owner to select the investment funds and assume the investment risk. Variable annuities guarantee a payment, usually at retirement. The amount of the payout will vary, however, with the value of the underlying investment funds. Variable annuities may only be sold through individuals who, in addition to being licensed life insurance agents, are registered representatives.
An annuity offering several professionally managed investment portfolios. The investment return will vary depending on the portfolio's investment performance.
A tax-advantaged retirement-planning and payout vehicle offered only through a life insurance/annuity company. A variable annuity serves as an accumulation vehicle prior to retirement by accepting contributions and providing the investor with a choice from among variable-return investment options. It serves as an income vehicle, starting at retirement, and bases its income payments on the performance of the underlying variable-return investments.
Annuity contract under which the dollar payments received are not fixed but fluctuate more or less in line with average common stock prices.
An annuity under which the amount of the accumulated value and the amount of the periodic annuity benefit payments fluctuate in accordance with the performance of a specified pool of investments. Premiums paid for a variable annuity are deposited into an insurer's separate account in the United States and segregated account in Canada. Within a separate or segregated account, the insurer maintains many subaccounts that allow the contract owner to invest in a wide variety of investments. The contract owner assumes most of the annuity contract's investment risk. Contrast with fixed annuity.
An annuity under which the policy's accumulated value and the amount of monthly annuity benefit payments fluctuate with the performance of the underlying separate investment accounts.
An annuity funded by a separate account that invests in securities. Funds accumulate at a variable rate. If the cash value is left in the account during the payout period, payments will vary with the underlying performance of the securities.
An annuity where the amount of each periodic income payment may fluctuate. The fluctuation is tied to variables such as a cost of living index, or securities market value.
Similar to a traditional fixed annuity. Retirement payments will be made periodically to the annuitants, usually over the remaining years of their lives. Under the variable annuity, there is no guarantee of the dollar amount of the payments. Payments will fluctuate up and down in accordance with the value of an account invested primarily in common stocks.
A life insurance product contract in which the insurance company guarantees a minimum total payment based on the performance of an underlying securities portfolio or market index.
A life insurance policy where the annuity premium (a set amount of dollars) is immediately turned into units of a portfolio of stocks. Upon retirement, the policyholder is paid according to accumulated units, the dollar value of which varies according to the performance of the stock portfolio. Its objective is to preserve, through stock investment, the purchasing value of the annuity which otherwise is subject to erosion through inflation.
An annuity contract that gives the client complete control over the annuity meaning he or she can spend the money on any number of different investments of his or her choice. This also means they are liable for all losses and not the insurance company.
An investment contract sold by an insurance company; capital is accumulated, often through mutual fund investments, and converted to an income stream later, often at an investor's retirement.
An annuity contract that allows you to allocate your premium among a number of investment portfolios. Your contract value, which can fluctuate in the short term, reflects the performance of the underlying investments held in those portfolios, minus the contract expenses.
An annuity contract whose growth and subsequent income payout are based on the performance of the securities held in the underlying sub-accounts selected by the contract owner. All income and capital gains produced by the sub-accounts are tax-deferred.
A contract in which the premiums paid are invested in funds offered by the insurance company, including bond and stock funds. The selection of funds should depend on the level of risk you want to assume. The account value reflects the performance of the funds in which you decide to invest. Over the long term, variable annuities invested in equities generally reflect the growth and performance of the economy and can serve as a hedge against inflation.
A life insurance annuity contract which provides future payments to the holder, usually at retirement, the size of which depends on the performance of the portfolio's securities.
This is a life insurance contract whose value can fluctuate depending on the investment which has been made (stocks, government securities, etc). The movement in price in the underlying investments will drive the value of the annuity contract. The return to the investors can be taken in the form of a periodic payment or a fixed minimum payment. See: Fixed Annuity Variable Life Insurance A variation of whole life insurance created to fight inflation and to remain competitive with other investment vehicles that provide higher rates of return. It affords policyholders a chance to earn capital gains on their insurance by investing the cash value of the policy in stock, bond, or money market portfolios. The policyholder sustains the investment risk and the insurance company guarantees a minimum death benefit that is not affected by any portfolio losses. As in IRAs, earnings from variable life policies grow tax deferred until distributed. Income is taxed only for the amount that exceeds the total premiums paid into the policy. See: Capital Gains; Individual Retirement Account; Inflation; Tax Deferred; Whole Life Insurance
describes an annuity that has a value based on bonds, stocks, or mutual funds
A type of annuity contract in which the insurance company makes variable dollar payments for the term of the contract.
An insurance contract in which, at the end of the accumulation stage, the insurance company guarantees a minimum payment. The remaining income payments can vary depending on the performance of the managed portfolio.
A life insurance product whose value fluctuates and is tied to the performance of a market index or a portfolio of securities. Often has a tax-deferred feature and works like a mutual fund in most cases. Your premium payments buy more shares. Top of 'V'
An annuity whose contract value or income payments vary according to the performance of the stocks, bonds and other investments selected by the contract owner.
A life insurance annuity contract whose value fluctuates with that of its underlying securities portfolio. Through security investments, the objective is to preserve the annuity's value that is otherwise subject to inflationary erosion. The return to investors, usually at retirement, may be periodic payments that change with the market value of the portfolio or fixed minimum payments based on portfolio appreciation. See: Annuity; Inflation
An annuity with the principal invested among various investment portfolios, called subaccounts. The performance of the underlying investments in those portfolios determines the value of the variable annuity.
A tax-deferred contract issued by an insurance company that offers a choice of investment options, allowing purchasers to choose from a number of subaccounts with various investment objectives. Variable annuities can offer diversification, flexibility and estate benefits, and they are often used as a supplement to 401(k) and IRA plans, because contribution limits are much less restrictive.