|American Equity is in the business of helping individuals preserve their retirement dollars and provide a secure, predictable return they cannot outlive. They sleep better at night knowing that regardless of how long they live, they can rely on this income stream. We like to call this “Sleep Insurance®!” This is a considerable benefit with today’s longer life expectancies and the rise of costs throughout retirement. Other instruments can be valuable in reaching clients’ financial goals, but they should keep in mind how fluctuations could impact his or her principal.
|A fundamental business principle of American Equity is to ensure the safety of our contract owners' money. American Equity has our clients in mind with everything we do. For an example of how we view our clients, listen to Ron Grensteiner.
“In 1995, I started this company knowing that an insurance product could thrive on Sleep Insurance®. At American Equity, we invest the dollar as if it is our own. Every employee at American Equity is an owner of our New York Stock Exchange stock.”
- David Noble
- Bond Portfolio is 98.1% investment grade (12/31/15)
- No subprime mortgages
- Strong operating income
- Continuous annual cash dividend since 1999
“Our extremely conservative approach towards investing will not keep you up at night. We like to call it Sleep Insurance®.”
- David Noble
The pillar of providing Sleep Insurance® is the purposefully conservative investments which make up our portfolio. With invested assets on a statutory basis in excess of $41.3 billion* as of December 31, 2015, we assure this commitment by maintaining an exceptionally high quality asset portfolio. As of December 31, 2015, 98.1% of our fixed maturity securities were in investment grade bonds.
||Rating Agency Equivalent
||Caa and lower
||In or near default
|* The table presents our fixed maturity securities by NAIC designations and the equivalent ratings of the nationally recognized securities rating organizations.
American Equity’s bond portfolio has an average credit quality rating of A. Our asset portfolio provides the income, liquidity and flexibility needed to provide superior contract owner value while meeting the challenges of a competitive and ever changing marketplace.
* Liabilities as of 12/31/15 are $39.6 Billion
“Our business philosophy is simple: Through sound financial management, prudent investment and development of innovative products, we will position ourselves as one of the leaders within the insurance industry.”
- David Noble
American Equity's commitment to sound business principles has been recognized by A.M. Best, a nationally recognized industry rating authority.
A.M. Best's rating of "A-" (EXCELLENT) for American Equity is a measure of performance in the areas of...
- Investment Quality
- Policy Reserves
- Capital Adequacy
- Cost Control
- Management Experience
A.M. Best uses 15 rating categories ranging from A++ to F. Rating effective 08/02/06, affirmed 4/14/16 . An A- rating from A.M. Best is its fourth highest rating.
Standard and Poor’s has a history that dates back more than 150 years and is known to investors worldwide as a leader of financial-market intelligence. Today, Standard and Poor’s provides investors with market information like credit ratings, indices, investment research and risk evaluations and solutions.
Standard and Poor’s rating service has recognized American Equity Investment Life Insurance Company® with an “A-” rating. An insurer rated “A” has strong financial security characteristics, but is somewhat more likely to be affected by adverse business conditions than are insurers with higher ratings. Ratings from ‘AA’ to ‘CCC’ may be modified by the addition of a plus (+) or minus (-) sign to show relative standing within the major rating categories. Rating effective 8/5/15.