Investment Products and Service Launches

Allianz Life Launches New Fee-Based Index Annuity and Waddell & Reed Files for New Index Funds 
Allianz Life Launches New Fee-Based Index Annuity 

Allianz Life Insurance Company of North America has launched the Retirement Foundation ADV Annuity, its first fee-based fixed index annuity.

Retirement Foundation ADV offers protection of principal and credited interest from market downturns and tax deferral, as well as the potential to earn interest based on external market indexes. It also provides guaranteed lifetime income and a death benefit for beneficiaries.

“Retirement Foundation ADV was designed for consumers seeking a fee-based FIA that offers the opportunity for increasing income as a part of their overall retirement portfolio,” explains Allianz Life Senior Vice President of Product Innovation Matt Gray. “There is a growing market demand for fee-based products and we believe Retirement Foundation ADV will be well received.”

Retirement Foundation ADV has a seven-year withdrawal charge period and can help clients address all phases of retirement by potentially earning interest through a choice of index allocations, and income in the form of lifetime withdrawals. This FIA includes an Income Benefit rider that is automatically included at an additional cost, and guarantees to increase income withdrawal percentages beginning at age 45 for every year a customer waits to begin taking income. The choices for receiving lifetime income withdrawals are available at age 50.

Retirement Foundation ADV uses one crediting method with four index allocation options or a fixed interest allocation option. Additional features include a cumulative withdrawal amount, a Nursing Home Benefit, a Flexible Annuity Option Rider, and a Flexible Withdrawal Rider (available for an extra fee).

For more information about Retirement Foundation ADV visit AllianzLife.

NEXT: Waddell & Reed Financial Files for New Index Funds

Waddell & Reed Financial Files for New Index Funds

Waddell & Reed Financial has filed a registration statement with the Securities and Exchange Commission (SEC) to register five new index funds, including the first passively managed funds that would be managed by the firm.

The proposed funds are the Ivy ProShares S&P 500 Dividend Aristocrats Index Fund, the Ivy ProShares Russell 2000 Dividend Growers Index Fund, the Ivy ProShares MSCI ACWI Index Fund, the Ivy ProShares S&P 500 Bond Index Fund, and the Ivy ProShares Interest Rate Hedged High Yield Index Fund.

“We chose these five categories precisely because they complement our active product lineup, and they are differentiated styles, outside of what we believe are more commoditized passive asset classes commonly available elsewhere,” the firm said in a statement.

These funds would be managed by IICO and sub-advised by ProShare Advisors, the adviser to the ProShares ETF lineup. The firms expects these funds to become effective in April. They would be offered by Ivy Distributors, through the Waddell & Reed broker-dealer, as well as through unaffiliated distribution.

“Financial advisers increasingly are combining both active and passive investment management styles when building client portfolios,” explains Thomas W. Butch, executive vice president of Waddell & Reed Financial, and CEO of Ivy Distributors. “These new products allow us to pair a highly experienced index fund manager with our skilled in-house Ivy investment management team, whose focus of course is on active management.”

Share class and expense information will be available as the funds become effective.