Jackson National Life Insurance Company® (Jackson®) today announced the launch of Perspective Advisory II (PAII), a fee-based variable annuity with no surrender charge, designed to address personal investment challenges and help people pursue financial freedom in retirement. As part of its expanded suite of product offerings and access to elite money managers, the company has also established a new relationship with Vanguard, one of the world’s largest investment management companies.
“At Jackson, we’re committed to providing the best product options for our advisors and their clients — and we’ve honored this promise since our company was founded,” said Greg Cicotte, executive vice president and chief distribution officer for Jackson. “As our industry continues to evolve, we’re proud of our ability to consistently introduce new products and develop relationships with strong investment partners. Our go-to-market process provides our distribution partners with the flexibility to choose quality strategies that can help their clients pursue financial freedom and live the lives they want.”
As Jackson continues to expand into advisory distribution channels where insurance products historically have not been widely utilized, PAII’s low-cost subaccount structure, vast selection of investment options and full suite of optional living and death benefits are designed to resonate well in the advisory space.
Perspective Advisory II’s key features include:
- Compensation structure: Advisor compensation is fee-based, rather than commission-based.
- Product cost: PAII offers institutionally priced subaccounts with no 12b-1 fees, commissions or withdrawal charges. The unique product design provides for increased transparency and the lower-cost subaccount structure, in addition to the core contract charge of the product, better matches what many fee-based advisors offer within their managed account platforms.
- Surrender period: There is no surrender period and zero withdrawal charges or related waivers.
- Investment freedom: More than 130 investment options are available, offering access to world-class money managers and the flexibility to design a portfolio that meets consumers’ unique investing needs.
- Product guarantees: A robust suite of optional living and death benefits are available for an additional charge, designed to provide the opportunity to grow retirement assets and obtain a lifetime income stream.
“Following the release of the U.S. Department of Labor fiduciary rules, we fully recognize the need and demand for fee-based products,” said Brian Sward, senior vice president of Product and Investment Management for Jackson National Life Distributors LLC (JNLD). “Since entering the fee-based space about a year ago, we’ve formed relationships with new advisors who haven’t traditionally sold our products or done business with Jackson. We look forward to strengthening these relationships and building new ones with advisors who are committed to supporting the best interests of their clients — many of whom recognize annuities can serve as a foundational part of a viable financial plan.”
On September 25, 10 new Vanguard funds became available as investment options across Jackson’s suite of product offerings. According to Sward, Vanguard’s low-cost, competitive investment options fit well in Jackson’s annuities lineup.
“As a respected and highly-recognized leader in the advisory space, Vanguard is equally focused on serving the best interests of advisors and their clients — their strong and unwavering reputation directly reflects that vision,” said Sward.
Tom Rampulla, managing director of Vanguard’s Financial Advisor Services Division, said, “Vanguard is excited about the opportunity to work with Jackson and provide an expanded suite of Vanguard funds within the firm’s new annuity offering. We look forward to contributing to the success of their latest initiative to bring a lower cost and more transparent variable annuity to fee-based advisors.”
Jackson is committed to providing education, service support and digital tools to increase the ease of doing business through a new product offering. Financial professionals who would like to learn more about Perspective Advisory II can contact Jackson at 800-711-JNLD (5653) or visit www.jackson.com.
Jackson is a leading provider of retirement products for industry professionals and their clients. The company offers a diverse range of products including variable, fixed and fixed index annuities designed for tax-efficient accumulation and distribution of retirement income for retail customers, and fixed income products for institutional investors. Jackson subsidiaries and affiliates provide specialized asset management and retail brokerage services. With $249.8 billion in IFRS assets*, Jackson prides itself on product innovation, sound corporate risk management practices and strategic technology initiatives. Focused on thought leadership and education, the company develops proprietary research, industry insights and financial representative training on retirement planning and alternative investment strategies. Jackson is also dedicated to corporate social responsibility and supports charities focused on helping children and seniors in the communities where its employees live and work. For more information, visit www.jackson.com.
*Jackson has $249.8 billion in total IFRS assets and $236.4 billion in IFRS policy liabilities set aside to pay primarily future policyowner benefits (as of June 30, 2017). International Financial Reporting Standards (IFRS) is a principles-based set of international accounting standards for reporting financial information. IFRS is issued by the International Accounting Standards Board in an effort to increase global comparability of financial statements and results. IFRS is used by Jackson's parent company.
Jackson National Life Insurance Company is an indirect subsidiary of Prudential plc, a company incorporated in England and Wales. Prudential plc and its affiliated companies constitute one of the world's leading financial services groups. It provides insurance and financial services through its subsidiaries and affiliates throughout the world. It has been in existence for over 165 years and has $824.7 billion in assets under management (as of June 30, 2017). Prudential plc is not affiliated in any manner with Prudential Financial, Inc., a company whose principal place of business is in the United States of America.
This press release may contain certain statements that constitute “forward-looking statements.” Forward-looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements which are other than statements of historical facts. However, as with any projection or forecast, forward-looking statements are inherently susceptible to a number of risks and uncertainties and actual results and events could differ materially from those currently being anticipated as reflected in such forward-looking statements. There can be no assurance that management’s expectations, beliefs or projections will result or be achieved or accomplished. Any forward-looking statements reflect Jackson’s views and assumptions as of the date of this press release and Jackson disclaims any obligation to update forward-looking information.
Before investing, investors should carefully consider the investment objectives, risks, charges and expenses of the variable annuity and its underlying investment options. The current contract prospectus and underlying fund prospectuses, which are contained in the same document, provide this and other important information. Please contact your representative or the Company to obtain the prospectuses. Please read the prospectuses carefully before investing or sending money.
Variable annuities are long-term, tax-deferred investments designed for retirement, involve investment risks and may lose value. Earnings are taxable as ordinary income when distributed and may be subject to a 10% additional tax if withdrawn before age 59½.
The latest income date allowed is age 95, which is the required age to annuitize or take a lump sum. Please see the prospectus for important information regarding the annuitization of a contract.
In certain states, we reserve the right to refuse any subsequent premium payments.
Optional benefits are available for an extra charge in addition to the ongoing fees and expenses of the variable annuity. Only one optional living benefit and one optional death benefit may be elected per contract. Once elected, benefits may not be canceled; please see prospectus for specific benefit availability. The long-term advantage of the optional benefits will vary with the terms of the benefit option, the investment performance of the Variable Investment Options selected, and the length of time the annuity is owned. As a result, in some circumstances the cost of an option may exceed the actual benefit paid under that option.
Lifetime income of the optional lifetime benefits becomes effective at issue if the designated life is age 59½ at issue, or upon the contract anniversary following designated life’s 59½ birthday, provided the contract value is greater than zero and has not been annuitized.
Select up to a maximum of 99 investments and adjust options or allocations up to 25 times each contract year without transfer fees. To prevent abusive trading practices, Jackson restricts the frequency of transfers among variable investment options, including trading out of and back into the same subaccount within a 15-day period.
Perspective Advisory II Variable and Fixed AnnuitySM (VA790, ICC17 VA790, VA790-FB1, ICC17 VA790-FB1) is issued by Jackson National Life Insurance Company (Home Office: Lansing, Michigan) and distributed by Jackson National Life Distributors LLC, member FINRA. These contracts have limitations and restrictions. Jackson issues other annuities with similar features, benefits, limitations and charges. Discuss them with your representative or contact Jackson for more information.
This product is not available in New York.
Guarantees are backed by the claims-paying ability of Jackson National Life Insurance Company and do not apply to the principal amount or investment performance of a variable annuity’s separate account or its underlying investments.
Jackson is the marketing name for Jackson National Life Insurance Company.
Vanguard is one of the world’s largest investment management companies. As of August 31, 2017, Vanguard managed $4.6 trillion in global assets. The firm, headquartered in Valley Forge, Pennsylvania, offers 371 funds to its more than 20 million investors worldwide. For more information, visit vanguard.com.
Melissa Hernandez, Director, Corporate Communications