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?

Fixed index annuities are one of the only retirement vehicles specifically designed to provide a powerful combination of benefits that protects principal, allows for index-linked interest credit increases, provides tax-deferred growth and guarantees income over a chosen period of time.

How do Fixed Index Annuities Work? 

A fixed index annuity is a contract between you and an insurance provider, such as American Equity, which guarantees principal protection and a future income source. The contract is purchased using a lump sum or a series of payments, also known as premiums. 

An annuity is purchased from an insurance agent or financial professional who is licensed to sell annuities and can help you achieve your long-term retirement goals. 

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 with the market going down and performing poorly. 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) with a fixed index annuity from American Equity 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 Indices:

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.
The 10-Year U.S. Treasury Bond is a government-issued debt designed to mirror general market interest rates.

American Equity's Fixed Index Annuities

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

DestinationsOnly Available in CA and ID:

Destinations is a fixed index annuity that helps protects your money and features a fixed rate, as well as exclusive index-linked crediting strategy options.

AssetShield 5:

The AssetShield 5 is a fixed index annuity designed to protect assets and allow growth opportunities with a five-year surrender charge schedule.

AssetShield 7: 

The AssetShield 7 fixed index annuity is designed to help people reach their retirement goals with opportunities for tax-deferred growth, asset accumulation and a seven-year surrender charge schedule. 

AssetShield 10: 

The AssetShield 10 fixed index annuity can help with protection of hard-earned dollars while also allowing for growth and accumulations. It comes with a 10-year surrender charge schedule. 

IncomeShield 7:

The IncomeShield 7 fixed index annuity with lifetime income benefit rider can offer many benefits, including principal protection, tax-deferred growth and income that can’t be outlived. It comes with a seven-year surrender charge schedule.  

IncomeShield 10:

The IncomeShield 10 fixed index annuity with optional lifetime income benefit rider can help provide principal protection, tax-deferred growth and guaranteed lifetime income. It comes with a 10-year surrender charge schedule. 

Bonus Gold: 

The Bonus Gold fixed index annuity with optional lifetime income benefit rider offers a 10 percent premium bonus on all premium received in the first contract year. It has a 16-year surrender charge schedule. 

Retirement Gold: 

The Retirement Gold fixed index annuity with optional lifetime income benefit rider offers an 8 percent premium bonus on all premium received in the first contract year. The premium bonus vests over a 14-year period. The fixed index annuity also has a 10-year surrender charge schedule. 


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 500® 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 (“AEL”).  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”). These trademarks have been licensed to SPDJI and sublicensed for certain purposes by AEL. AEL's products are not sponsored, endorsed, sold or promoted by SPDJI, Dow Jones, S&P, or their respective affiliates, and such parties make no representations regarding the advisability of investing in such product(s) and have no liability for any errors, omissions, or interruptions of the S&P and/or Dow Jones.
The content is provided for informational purposes only and does not constitute advice. For specific details on how this may apply to your personal situation, contact your personal financial advisor or insurance agent for more details. American Equity contracts are only sold through independent agents. Please contact your state insurance department to see if there is an independent insurance agent in your area appointed to sell American Equity annuity contracts.
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.