MetLife and Fidelity Investments announced the introduction of a new deferred variable annuity product that provides investors both growth potential and protection against loss if held for a minimum of 10 years.
The MetLife Accumulation Annuity stands out in the marketplace because it offers investors a principal protection guarantee backed by MetLife, coupled with Fidelity’s money management expertise. The product is distributed exclusively through Fidelity.
"The MetLife Accumulation Annuity brings together the combined strength of one of the world’s leading life insurers, MetLife, and one of the world’s leading providers of financial services, Fidelity," said Elizabeth Forget, executive vice president of MetLife Retail Retirement & Wealth Solutions.
"This annuity is designed to help people invest appropriately," said Cyrus Taraporevala, executive vice president of Investment Solutions at Fidelity Investments.
In fact, according to Dalbar’s 20th Annual Quantitative Analysis of Investor Behavior Study, the average investor tends to underperform the market, perhaps because many do not have the discipline to stay invested through the market’s inevitable ups and downs.
That’s where the MetLife Accumulation Annuity fits in. The product invests in a diversified portfolio, offering investors the potential to benefit from market growth, while at the same time providing protection for investors against down market cycles.
Through the product’s Preservation and Growth feature, the investor is guaranteed the return of their initial investment, adjusted proportionally for any withdrawals**, at the end of a 10-year period+. At the same time, on every contract anniversary, investors have the opportunity to reset the guaranteed amount to a new, higher amount if the account value has increased, extending the 10-year period from that date++.
With the introduction of the MetLife Accumulation Annuity, MetLife and Fidelity are continuing to build on their successful partnership. Fidelity already offers several MetLife annuity products*, including the MetLife Growth and Income deferred variable annuity and the MetLife Guaranteed Income BuilderSM fixed deferred income annuity.