Fixed indexed annuities (FIAs) are booming in the US. In the third quarter of 2013 alone, FIA sales hit a record $10 billion (£6 billion) and 2014 is set to be the market’s best ever year. As the competition between providers heats up, insurers are becoming ever more inventive in how they design and package these products, which pay policyholders an interest rate linked to the performance of a selected equity index.
Many providers have attached guaranteed riders such as lifetime withdrawal or in
The week on Risk.net, October 6-12, 2017Receive this by email
- SGX, HKEX expect to be among first wave of Mifid II equivalence
- Leaked EU doc could shield legacy swaps from clearing grab
- Quantile, TriOptima face off in cleared swaps compression battle
- ABS set for revival under US Treasury’s liquidity buffer plans
- Quants stymied by lack of alternative risk premia flows data