Retirement Cornerstone - Axa Cornerstone Apr 2012... · ... Retirement Cornerstone® is a...
Transcript of Retirement Cornerstone - Axa Cornerstone Apr 2012... · ... Retirement Cornerstone® is a...
AXA Equitable Life Insurance Company (NY,NY) GE-65526 4/12) (exp 4/14)
Variable Products: Are Not a Deposit of Any Bank • Are Not FDIC Insured by Any Federal Government Agency • Are Not Guaranteed by
Any Bank or Savings Association • May Go Down in Value
Retirement Cornerstone® variable annuity
with guaranteed benefit riders
Helping to Protect your Income
in Unpredictable Markets
GE-68809 (6/12)
http://www.brainshark.com/axalearning/vu?pi=zGgz7q0Ghz6Epdz0&intk=946969107
AXA Equitable Life Insurance Company (NY,NY) GE-65526 (11/11)
What is a Variable Annuity?
A variable deferred annuity is a long-term financial product designed for retirement
purposes. In essence, an annuity is a contractual agreement in which payment(s) are
made to an insurance company, which agrees to pay out an income or a lump sum
amount at a later date. Typically, variable annuities have mortality and expense risk
charges, account fees, investment management fees, administrative fees, and charges for
special contract features. Retirement Cornerstone is subject to these fees and charges. In
addition, annuity contracts have restrictions and limitations. For costs and complete
details, please contact a financial professional. Withdrawals may be subject to
contractual withdrawal charges and, if taken prior to age 59½, an additional 10% federal
tax may apply in addition to any ordinary income tax. Variable annuities are subject to
investment risks, including the possible loss of principal invested. Guarantees are based
on the claims-paying ability of AXA Equitable Life Insurance Company.
This presentation must be preceded or accompanied by a current Retirement
Cornerstone® prospectus. The prospectus contains more complete information,
including investment objectives, risks, charges, expenses, limitations and restrictions.
Please read the prospectus and consider this information carefully before purchasing a
Retirement Cornerstone® annuity contract. Guarantees based on the claims-paying
ability of AXA Equitable Life Insurance Company.
2 GE-68809 (6/12)
AXA Equitable Life Insurance Company (NY,NY) GE-65526 (11/11)
Retirement Considerations
Retirement Challenges
Longevity
Inflation
Volatility
Interest Rates
Taxes
L
I
V
I
T
3 AXA Equitable Life Insurance Company (NY,NY)
GE-68809 (6/12)
AXA Equitable Life Insurance Company (NY,NY) GE-65526 (11/11)
Interest Rates & Inflation
4
50 years
<2% 2-4% 4-6% 6-8% 8-10% >10%
Annual 10-Year Treasury Yields 1962-2011 in more details
2000 6.03%
1997 6.35%
1996 6.44%
1995 6.57%
1994 7.09%
1992 7.01%
1991 7.86%
1986 7.67%
1977 7.42%
1976 7.61%
1975 7.99%
1974 7.56%
1973 6.85%
1970 7.35%
1969 6.67%
1972 6.21%
1971 6.16%
1990 8.55%
1989 8.49%
1979 9.43%
1978 8.41%
1988 8.85%
1987 8.39%
2007 4.63%
2006 4.80%
2005 4.29%
2004 4.27%
2003 4.01%
2002 4.61%
2001 5.02%
1999 5.65%
1998 5.26%
1993 5.87%
1968 5.64%
1965 4.28%
1964 4.19%
1967 5.07%
1966 4.93%
1985
1984
1981
1980
1983
1982
10.62%
12.46%
13.92%
11.43%
11.10%
13.01%
2010 3.22%
1963 4.00%
1962 3.95%
2009 3.26%
2008 3.66%
6 times
Source: www.federalreserve.gov
2011 2.78%
AXA Equitable Life Insurance Company (NY,NY) GE-68809 (6/12)
AXA Equitable Life Insurance Company (NY,NY) GE-65526 (11/11)
Investment Account
Protected Benefit Account
AXA Equitable’s Retirement Cornerstone®
Wide-range of asset classes & full
spectrum of portfolio management styles
Well-known money
managers and flexibility to access and transfer among Investment Options
Guaranteed Income for Life and Beneficiary Protection1
Guaranteed Minimum Income
and Death Benefits are optional riders, each available for an additional fee
1If the value of your Protected Benefit Account were to fall to zero, you would still continue to
receive guaranteed annual payments for the rest of your life (assuming that it was not an excess
withdrawal that caused your account value to go to zero and the No Lapse Guarantee is still in
effect).
AXA Equitable Life Insurance Company GE-68809 (6/12)
AXA Equitable Life Insurance Company (NY,NY) GE-65526 (11/11)
A Guarantee that May Be Able to Protect You Today…
and Tomorrow!
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Compound
Growth (%)
Variable 2 year
rate lock
Time
4%
8%
Roll-up
Rate
Benefit Base – The starting value equals your initial investment or transfer to the Protected Benefit Account. It is guaranteed to compound by the
annual roll-up rate each year.
Roll-Up Rate – The deferral bonus roll-up and annual roll-up rates both compound annually and locked for the first two contract years, regardless of
treasury rates. After two contract years, the deferral bonus roll-up rate will vary, is recalculated each contract year and is equal to the recent average
10-year treasury rates plus 2.00%. Once you begin taking income, the deferral bonus rill-up rate no longer applies and AXA Equitable will credit your
clients’ benefit base by an annual roll-up that is equal to recent average 10-year treasury rates plus 1.00%. Both the deferral bonus and annual roll-up
rates can be as high as 8% and will never be less than 4%.
AXA Equitable Life Insurance Company (NY,NY) GE-68809 (6/12)
AXA Equitable Life Insurance Company (NY,NY) GE-65526 (11/11)
Annual Reset
0
0
Protected Benefit
Account
Annual Roll-Up Benefit Base Reset
Benefit Base
Range
$
Reset
Contract Anniversaries
% Compounded Growth
% Compounded Growth
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AXA Equitable Life Insurance Company (NY,NY) GE-65526 (11/11)
Receiving Income
10 year US Treasury Rate
+1% Benefit Base
Withdraw Amount Allowed
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Taking a withdrawal that is greater than the Annual Withdrawal Amount (an “excess
withdrawal”) in any given year may have an adverse effect on income guarantees,
reducing the Benefit Bases pro rata.
AXA Equitable Life Insurance Company (NY,NY) GE-68809 (6/12)
AXA Equitable Life Insurance Company (NY,NY) GE-65526 (11/11)
Benefit Base and Deferral Bonus Rate
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Benefit Base
-Starting value equals your initial investment in the Protected Benefit
Account- guaranteed to compound by the annual Roll-Up Rate each year.
Deferral Bonus Rate
- Rate that AXA Equitable will compound your Benefit Base by each year.
- A flexible rate that is recalculated each contract year and is equal to the
recent average 10-Year Treasury rates plus 2.00%.
- Once you begin taking income the Deferral Bonus Roll-Up Rate no
longer applies
- AXA Equitable will credit the Benefit Base by an Annual Roll-Up that is
equal to recent average 10-Year Treasury rates plus 1.00%, less
withdrawals.
- Both the Deferral Bonus and Annual Roll-Up rates can be as high as 8%
and will not be less than 4%.
AXA Equitable Life Insurance Company (NY,NY) GE-68809 (6/12)
AXA Equitable Life Insurance Company (NY,NY) GE-65526 (11/11)
Investment Account
Not all money managers may be listed
GE-68809 (6/12)
AXA Equitable Life Insurance Company (NY,NY) GE-65526 (11/11)
Retirement Cornerstone®
GE-68809 (6/12)
AXA Equitable Life Insurance Company (NY,NY) GE-65526 (11/11)
Important Information
Retirement Cornerstone® is a registered service mark of AXA Equitable Life Insurance Company, New York, NY 10104.
The Retirement Cornerstone® version 12.0 variable annuity is issued by AXA Equitable Life Insurance Company, New York, NY and is
co-distributed by affiliates AXA Advisors, LLC and AXA Distributors, LLC. AXA Equitable, AXA Advisors and AXA Distributors are
affiliated companies and do not provide tax or legal advice.
This presentation was prepared to support the promotion and marketing of AXA Equitable variable annuities. AXA Equitable, its
distributors and their respective representatives do not provide tax, accounting or legal advice. Any tax statements contained herein were
not intended or written to be used, and cannot be used, for the purpose of avoiding U.S. federal, state or local tax penalties.
AXA Equitable may discontinue contributions and transfers among investment options or make other changes in contribution and transfer
requirements and limitations. If we discontinue contributions and transfers into the Protection with Investment Performance Account, you
will no longer be able to fund your guaranteed benefits.
Please consult your own independent advisor as to any tax, accounting or legal statements made herein.
The information presented herein is not a full and complete description of the products discussed. Certain types of contracts, features,
and benefits may not be available in all jurisdictions. For costs and complete details of coverage, speak to your financial
professional/insurance licensed registered representative.
© 2012 AXA Equitable Life Insurance Company. All rights reserved.
This presentation must be preceded or accompanied by a current Retirement Cornerstone® prospectus. The prospectus
contains more complete information, including investment objectives, risks, charges, expenses, limitations and restrictions.
Please read the prospectus and consider this information carefully before purchasing an Retirement Cornerstone® annuity
contract.
The contractual withdrawal charge declines from 7% over a seven-year period for the Series B product.
Contract form #s: ICC12BASE4 and ICC12BASE3 and any state variations
Variable Products: • Are Not a Deposit of Any Bank • Are Not FDIC Insured by Any Federal Government Agency • Are Not
Guaranteed by Any Bank or Savings Association • May Go Down in Value
Cat # 149972 (5/12)
12 AXA Equitable Life Insurance Company (NY,NY) GE-68809 (6/12)