ForeIncome from ForeThought (a Global Atlantic subsidiary) is a product that offers the benefits of a conventional fixed index annuity in addition to a GLWB (Guaranteed Lifetime Withdrawal Benefit). This fixed index annuity also offers a GMSV (Guaranteed Minimum Surrender Value) feature that might increase the contract value after surrender, but terminates the GLWB when it’s activated. The GMSV can serve as a minimal death benefit. The foreincome annuity has a 7-year surrender charge duration and is recommended for investors who are looking to leverage the power of a fixed index annuity for a guaranteed lifetime income stream.
ForeThought ForeIncome Fixed Index Annuity Facts
Issue Ages
The issue ages for this policy is 50 – 80 years.
Minimum and Maximum Premiums
The minimum premium amount is $25,000. The maximum premium amount is $1 million.
GLWB (Guaranteed Lifetime Withdrawal Benefit)
This benefit may offer an income feature via guaranteed lifetime withdrawal amounts.
GMSV (Guaranteed Minimum Surrender Value)
The GMSV is an individual value tracked separately from the contract value of the annuity. This benefit may offer a boost to the contract value if withdrawals are not taking during the surrender charge duration.
Interest Crediting Options
Investors can elect from various interest crediting options that include:
- 1-year annual point-to-point with cap (based on the S&P 500).
- 1-year monthly point-to-point with cap (based on the S&P 500).
- 3-year point-to-point with spread (based on Barclays ARMOUR II Index).
- 1-year fixed rate.
Potential Advantages
- Growth with protection – this policy provides potential for index-linked growth, with safety of principals in market run down years.
- Guaranteed lifetime income – for investors who are looking to clear retirement-time income doubts, the ForeThought ForeIncome fixed index annuity is a great idea.
Annuity Broker Hand Holding
If you’d like to learn more about this annuity, or compare it to other fixed index annuities, get in touch with one of our annuity product pros.
