Nationwide announced today it has added a new fixed indexed annuity (FIA), Nationwide Peak 5, to offer clients additional ways to maintain principal protection while offering the potential for higher returns and growth.
For conservative clients, Nationwide Peak 5 can provide an alternative to low-yielding fixed products such as money markets or CDs. It can also be utilized as a bond-alternative within a client’s portfolio, delivering advisors an easy-to-explain option with the potential to deliver better results for their clients.
More than seven in ten (72%) investors think there is a chance of another stock market crash in the next six months. As a result, $16.1 trillion is parked in cash accounts.
“Market volatility is a serious concern for clients,” said Eric Henderson, senior vice president of life insurance and annuities at Nationwide. “They are worried their savings might not keep up with inflation or last through retirement, but they’re hesitant to invest directly in equities because of the risk. Peak 5 provides an opportunity to get clients’ assets out of no-earning or low-earning fixed accounts such as savings or CDs and into something with more earnings potential. And, for risk-averse clients, it still provides safety because their principal is guaranteed.”
Nationwide Peak 5 is also easier to understand than many other FIAs and offers flexible investment choices, enabling advisors to provide personalized solutions based on their clients’ needs.
Source: Company Press Release