Latest Annuity from Athene Aims to Help Remaster Investing for Retirement
July 16, 2019 — WEST DES MOINES, Iowa–(BUSINESS WIRE)–Athene USA (“Athene”), a leading provider of retirement savings products, announced the launch of Athene® Amplify, a registered index-linked annuity (RILA) with design features that set it apart in a fast-growing product category. Athene® Amplify is issued by Athene Annuity and Life Company (“AAIA”), a subsidiary of Athene.
The new Athene® Amplify annuity complements the overall Athene suite of retirement solutions, and was designed to meet the needs of customers looking to round out their portfolios with an annuity that offers greater asset accumulation potential with a level of protection from market risk that other investment products may not provide.
A ‘Preferred Accumulation’ Solution
“Athene Amplify, our first registered index-linked annuity, is designed to become a preferred accumulation solution for investors seeking more participation in market gains while managing their downside risks,” said Grant Kvalheim, CEO and President of Athene USA. “Amplify is a versatile vehicle for asset accumulation that allows consumers to remaster investing on their own terms. It’s a natural addition to our Athene family of fixed and fixed indexed annuity solutions and reflects our commitment to satisfy evolving consumer needs as they plan for retirement.”
RILAs, also called registered index-linked variable annuities, buffered annuities or structured annuities, are often described as a cross between fixed indexed annuities and variable annuities.
Like fixed indexed annuities, a RILA provides the opportunity for growth based on the performance of a stock market index, but is not a stock market investment and does not directly participate in any stock or equity investments. RILAs differ from fixed indexed annuities in that investors are eligible for a higher cap on the upside potential but do assume responsibility for a portion of any index decline. RILAs are quickly gaining in popularity, with sales up 20% in 2018 and up six-fold since 2014, according to LIMRA.
Athene® Amplify differentiates itself in the RILA space by the variety of options it gives investors seeking to accumulate assets and manage risk in volatile markets:
- Offers both Buffer (protection down to a specified percentage of index decline) and Floor (protection below a specified percentage) Segment Options.
- Provides increased flexibility with 1, 2 and 6-year Segment Term Periods and a choice of three available indices1. Positive Segment Credits are subject to a Cap Rate and Participation Rate declared by Athene at the beginning of each Segment Term Period.2
- Amplify also gives investors an opportunity to diversify their risk and growth potential with a unique Performance Blend Segment Option, in which the index change used to determine Segment Credits is based on a weighted average return of all three indices at the end of a 6-year Segment Term Period.
For more information on Athene® Amplify, including current indicative rates, please visit athene.com/amplify-rates.
AAIA has filed a registration statement (including a Prospectus) with the Securities and Exchange Commission (“SEC”) for the offering to which this communication relates. Before you invest, you should read the prospectus in that registration statement and other documents AAIA has filed with the SEC for more complete information about AAIA and this offering. You may get these documents for free by visiting EDGAR on the SEC website at www.sec.gov. Alternatively, AAIA or Athene Securities, LLC will arrange to send you the prospectus if you request it by calling toll-free 1-888-266-8489.
The prospectus, dated May 1, 2019, may be found here and the supplement, dated June 19, 2019 may be found here.
This press release shall not constitute an offer to sell or the solicitation of an offer to buy any securities, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation, or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.
1A 0.95% annual Segment Fee will be deducted from your annuity’s Segment Value daily and may result in the loss of principal. The Segment Fee is set at issue and guaranteed not to change for the life of the contract. This fee does not apply to values in the Fixed Segment Option.
2Positive Segment Credits are subject to a Cap Rate and Participation Rate. These limitations are declared by AAIA before the beginning of each Segment Term Period. All Segment Credits, including those with a guaranteed rate of interest, are paid by AAIA and are subject to its claims paying ability.
About Athene USA
Athene USA is an Iowa-domiciled corporation that serves as the U.S. holding company for Athene’s annuity operations in the United States. Headquartered in West Des Moines, Iowa, Athene USA serves customers in all 50 states, and through its predecessor companies, has been serving American consumers for more than 100 years.