Fixed Index Annuities

The Power of a Fixed Index Annuity

Every retirement is different, each with its own financial plan and unique needs, but many of today’s retirement goals include achieving asset protection, growth opportunities, and a reliable income source. Fixed index annuities are a long-term retirement product that have helped many Americans plan for income in retirement and balance their retirement portfolios with benefits like principal protection, tax-deferred growth and guaranteed income that cannot be outlived. 

What is a fixed index annuity?

A fixed index annuity is a contract between you and American Equity that offers interest growth opportunities determined by a formula that is based on the performance of an external index.

How do fixed index annuities work? 

A fixed index annuity is purchased from an insurance agent or financial professional who is licensed to sell annuities. The annuity is issued from an insurance provider who guarantees the contract, which can earn interest based, in part, on equity index increases.

The fixed index annuity is considered an insurance product and is not directly tied to or invested in the stock market or share ownership. This function prevents the annuity contract from losing money due to index volatility and the interest credited will never be less than zero. 

What is a Lifetime Income Benefit Rider and how does it work?

The optional Lifetime Income Benefit Rider (LIBR) can help secure a guaranteed lifelong income source. The amount of income to be received is measured by the income account value, which is credited over time and grows until the earlier of income payments beginning or the end of the accumulation period.

American Equity uses four common indexes:

S&P 500® Index  contains stocks from 500 various industry leaders and is widely regarded as a leading benchmark for U.S. stock market performance.
S&P 500® Dividend Aristocrats® Daily Risk Control 5% Index is a volatility control index that offers increased stability and control based on companies with 25 consecutive years of positive dividend returns. The Index is dynamically adjusted across two components: equity and cash. This Index is well diversified across all market sectors.
Dow Jones Industrial Average (DJIA®) is the oldest continuing stock market index in the world. Many of the stocks represented in the DJIA are leaders in their industries.
10-Year U.S. Treasury Bond is a government-issued debt designed to mirror general market interest rates.

American Equity offers fixed index annuity products that provide different benefits and terms. Click the brochures below to download product details. Availability may vary by state. 

Looking for retirement tools? Try our annuity calculators.



Features and benefits may vary by product and state. Please review the contract or product disclosure for more information.
Annuities are products of the insurance industry and are not guaranteed by any bank or insured by the FDIC. 
The "S&P® and/or Dow Jones®" is a product of S&P Dow Jones Indices LLC (“SPDJI”), and has been licensed for use by American Equity Investment Life Insurance Company®.  Standard & Poor’s® and S&P® are registered trademarks of Standard & Poor’s Financial Services LLC (“S&P”); Dow Jones® is a registered trademark of Dow Jones Trademark Holdings LLC (“Dow Jones”); Standard & Poor’s®, S&P® and/or Dow Jones® are trademarks of the SPDJI; and these trademarks have been licensed for use by SPDJI and sublicensed for certain purposes by American Equity Investment Life Insurance Company®. American Equity Investment Life Insurance Company's® [Product(s)] is not sponsored, endorsed, sold or promoted by SPDJI, Dow Jones, S&P, their respective affiliates and none of such parties make any representation regarding the advisability of investing in such product(s) nor do they have any liability for any errors, omissions, or interruptions of the S&P and/or Dow Jones. 
Tax Interpretations:  Neither American Equity Investment Life Insurance Company® nor any of its agents or representatives give tax, legal or investment advice. Consult a qualified advisor.