Introduces new investment features that help
clients face a challenging market with confidence
First-of-its-kind investment feature continues
the company’s track record of innovation
Equitable, a leading financial services organization and
principal franchise of Equitable Holdings, Inc. (NYSE: EQH), today
announced enhancements to its Structured Capital Strategies PLUS®
21 and Structured Capital Strategies® Income variable and
registered index-linked annuities (RILAs). The new enhancements are
designed to provide clients with partial protection against market
volatility along with the opportunity to capture upside market
potential up to a cap.
The enhancements provide higher buffers to provide additional,
partial protection against market turbulence; shorter investment
durations that give clients the flexibility to reallocate
underlying investments in times of uncertainty; and new investment
options that can provide positive or enhanced performance even if
market index returns are negative.
Continuing the company’s history of innovation, Equitable is
launching Loss Limiter, a first-of-its-kind RILA investment feature
that ensures clients will never lose more than 5% or 10% of their
investment due to index performance in the Loss Limiter segment at
maturity. Loss Limiter offers built-in downside protection with a
buffer against loss up to -10%, and a 90% or 95% protection
guarantee based on the chosen investment time frame, no matter how
far the chosen equity index drops.
A second new investment option, Dual Step Up, guarantees a
positive rate of return equal to the performance cap rate if the
selected index return is greater than or equal to the selected
buffer (-10% or -15%) at the end of the one-year period. Dual Step
Up allows clients to participate in the combined benefits of
Equitable’s Dual Direction and Step Up investment options,
providing the potential for predictable, positive returns in flat
or down markets.
“Clients continue to face persistent economic uncertainty and
decreased investment returns, but still need to provide for
themselves and their loved ones in retirement,” said Steve Scanlon,
Head of Individual Retirement, Equitable. “That’s why we’re
committed to constantly reimagining our products and rolling out
new enhancements, including additional partial protection against
market upheaval, increased flexibility or the option for monthly
retirement income, that can help them meet their goals.”
Other enhancements to Equitable’s Structured Capital Strategies
suite of RILAs include:
- Adding a -40% buffer for one-year and six-year investment
segment options
- Adding higher buffers of -15% and -20% for most indices to meet
clients’ interest in additional protection given market
volatility
- Adding Dual Direction investment strategy options for one-year
durations in Structured Capital Strategies PLUS® 21
Equitable pioneered Structured Capital Strategies®, the first
registered index-linked, or buffered, annuity in 2010.
About Structured Capital Strategies®
Through the Structured Capital Strategies® suite of variable
annuity products, clients can participate in one of several
mainstream equity market indices up to a cap, with a buffer
protecting against the first -10%, -15%, -20% or -40% of potential
losses. Clients can choose the equity index on which the
performance of their investment is based, such as the S&P 500
Price Return Index, Russell 2000® Price Return Index, iShares® MSCI
EAFE Price Return Index or NASDAQ 100 Price Return Index. They can
also select the duration of their investment and its level of
downside protection based on their goals and risk tolerance.
The Dual Direction feature available in Structured Capital
Strategies® allows clients to earn a positive return even if the
benchmark index declines. It does this by crediting a return equal
to the percentage of the decline up to, or equal to, the amount of
the buffer (-10%, -15% or -20%). Positive market returns are
credited up to the cap.
Structured Capital Strategies® Income adds two, new innovative
ways to create guaranteed income in retirement, including the
ability to start receiving income immediately from a registered
index-linked annuity, a level income option which provides an
income rate initially based on age at the time of purchase and that
does not decrease, and an accelerated income option, which provides
a higher rate of income in early retirement when individuals may
have higher expenses.
About Equitable
Equitable, a principal franchise of Equitable Holdings, Inc.
(NYSE: EQH) has been one of America’s leading financial services
providers since 1859. With the mission to help clients secure their
financial well-being, Equitable provides advice, protection and
retirement strategies to individuals, families and small
businesses. Equitable has more than 8,000 employees and Equitable
Advisors financial professionals and serves 2.8 million clients
across the country. Reference to the 1859 founding applies
specifically and exclusively to Equitable Financial Life Insurance
Company.
Registered index-linked annuities (RILA) include a partial
protection feature that eliminates a portion of the contract
holder’s downside risk, while still giving the contract holder the
opportunity to invest for growth up to a cap. Through the partial
protection feature, the buffer will absorb the loss up to the
buffer selected. However, there is risk of substantial loss of
principal because the investor agrees to absorb all losses that
exceed the protection provided. An annuity is a long-term financial
product designed for retirement purposes. Simply stated, an annuity
is a contract between the contract holder and a life insurance
company that lets the contract holder pursue the accumulation of
assets through equities and other investment options. The contract
holder may then take payments or a lump sum amount at a later date.
There are fees and charges associated with variable annuities,
which contain certain restrictions and limitations and are subject
to market risk including loss of principal. All contract and rider
guarantees are backed by the claims-paying ability of the issuing
life insurance company. It is not possible to invest directly in an
index. Equitable Holdings, Inc. subsidiaries do not provide tax,
accounting or legal advice or services.
Variable and registered index-linked annuities are offered by
prospectus, which contains detailed information about the contract
and its charges, risks, expenses, and investment objectives.
Prospective contract holders should read the prospectus and
consider this information carefully before purchasing a contract or
sending money.
This press release is not intended and should not be construed
or relied upon as financial, insurance or investment advice.
Equitable is the brand name of the retirement and protection
subsidiaries of Equitable Holdings, Inc., including Equitable
Financial Life Insurance Company (Equitable Financial) (NY, NY),
Equitable Financial Life Insurance Company of America (Equitable
America), an AZ stock company, NJ, and Equitable Distributors, LLC.
“Equitable” is used throughout this release to refer to Equitable
Financial and Equitable America, issuers of the Structured Capital
Strategies® variable annuities. When distributed outside of New
York state by Equitable Advisors, LLC (member FINRA, SIPC)
(Equitable Financial Advisors in MI & TN) through Equitable
Advisors Financial Professionals (FP) whose business address is not
in New York state, or when distributed by Equitable Distributors,
LLC through financial professionals of unaffiliated broker/dealers
when the solicitation state is not New York, Structured Capital
Strategies® Income and Structured Capital Strategies PLUS® variable
annuities are issued by Equitable Financial America. When offered
by Equitable Advisors FPs whose business address is in New York
state or when distributed by Equitable Distributors, LLC through
financial professionals of unaffiliated broker/dealers when the
solicitation state is New York, Structured Capital Strategies®
Income and Structured Capital Strategies PLUS® are issued by
Equitable Financial. The obligations of Equitable Financial and
Equitable America are backed solely by their own claims-paying
abilities. GE-5477606.1(02/23)(exp.02/25)
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version on businesswire.com: https://www.businesswire.com/news/home/20230227005957/en/
Media: Abby Aylman Cohen (212) 314-2010
mediarelations@equitable.com
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