A flexible solution for Individual Retirement Account holders

Family Endowment Rider® Max

Optional Rider

Protect Your Legacy With FER Max

Todayʼs financial landscape looks different from a generation ago. If youʼve set aside a portion of your retirement savings as a legacy for loved ones, you may need a plan to help you address challenges such as:

  • Low Yield, Rising Interest Rate bond environment
  • Required Minimum Distributions (RMDs) from your Individual Retirement Accounts (IRAs)1

Athene Velocity fixed indexed annuity can help you take control of your retirement. It offers an up-front Premium Bonus and growth potential based in part on the positive movement of an index while protecting your retirement savings from downside market risk.

An Optimized Legacy Plan

The Family Endowment Rider® Max (FER™ Max), an optional rider available with Athene Velocity for an additional charge, offers an Enhanced Death Benefit guaranteed to grow daily at a 1.0% compound annual rate plus 100% of any Interest Earnings, credited every two years.2 Beneficiaries receive the greatest of the Cash Surrender Value, Balanced Allocation Value or Enhanced Death Benefit value.

Athene Velocity with FER Max also offers two powerful benefits to help protect your legacy: All RMDs associated with this contract can be taken without additional charges, and withdrawals up to 5% of the Accumulation Value, including RMDs, reduce the Enhanced Death Benefit value on a dollar-for-dollar basis.3

Planning for Guaranteed Lifetime Income

bill-susan

Objective: Bill and Susan recently retired and want to protect their legacy while planning for RMDs.

Solution: Bill allocates $1 million of his retirement savings to Athene Velocity with FER Max. From age 73 to 85, based on hypothetical, non guaranteed annual interest earnings, Bill takes $767,863 in RMDs. If Bill passes away at age 85, his beneficiary Susan would receive a death benefit of $1,686,659.

This is a hypothetical example to show how Athene Velocity and the FER Max can work. Your experience will differ. Past performance is no guarantee of future performance.

The Benefit of Legacy Optimization

By age 85, Bill took $767,863 in RMDs. If Bill passed away, Susan would receive a death benefit of $1,686,659. See Below
End of Year Age RMD Paid to Client Total Income Cash Surrender Value Accumulation Value Death Benefit4
1 66 $0 $0 $918,424 $1,071,500 $1,120,314
2 67 $0 $0 $994,113 $1,161,967 $1,161,967
3 68 $0 $0 $1,001,319 $1,152,454 $1,204,956
4 69 $0 $0 $1,089,732 $1,249,346 $1,249,346
5 70 $0 $0 $1,097,021 $1,238,737 $1,317,061
6 71 $0 $0 $1,193,521 $1,342,460 $1,387,673
7 72 $0 $0 $1,200,702 $1,330,664 $1,462,170
8 73 $0 $0 $1,307,151 $1,441,644 $1,538,458
9 74 $54,402 $54,402 $1,259,744 $1,376,536 $1,564,521
10 75 $53,982 $108,383 $1,324,130 $1,436,899 $1,587,543
11 76 $58,411 $166,794 $1,371,255 $1,367,539 $1,609,854
12 77 $57,859 $224,653 $1,422,763 $1,422,763 $1,628,815
13 78 $62,129 $286,782 $1,352,988 $1,349,496 $1,647,159
14 79 $61,499 $348,282 $1,399,045 $1,399,045 $1,661,808
15 80 $66,305 $414,587 $1,324,710 $1,321,504 $1,675,213
16 81 $65,580 $480,167 $1,364,093 $1,364,093 $1,684,534
17 82 $70,314 $550,481 $1,285,404 $1,282,524 $1,692,101
18 83 $69,481 $619,962 $1,317,408 $1,317,408 $1,694,129
19 84 $74,430 $694,392 $1,234,318 $1,231,821 $1,693,699
20 85 $73,471 $767,863 $1,257,955 $1,257,955 $1,686,659
21 86 $78,622 $846,486 $1,184,814 $1,182,759 $1,603,373
22 87 $77,948 $924,434 $1,215,030 $1,215,030 $1,520,693
23 88 $84,377 $1,008,811 $1,135,947 $1,134,330 $1,431,427
24 89 $82,916 $1,091,727 $1,157,121 $1,157,121 $1,344,274
25 90 $89,699 $1,181,426 $1,072,463 $1,071,330 $1,250,858
26 91 $87,907 $1,269,333 $1,083,259 $1,083,259 $1,160,503
27 92 $94,196 $1,363,529 $993,782 $993,167 $1,065,271
28 93 $92,017 $1,455,546 $993,702 $993,702 $993,702
29 94 $98,386 $1,553,933 $899,645 $899,602 $940,585
30 95 $94,699 $1,648,632 $888,736 $888,736 $888,736

Hypothetical Assumptions: $1 million premium in Athene Velocity with FER Max with Premium Bonus, the Shiller Barclays Global Index with 160% Participation, 0.00% Annual Strategy Charge, 0.85% annual Enhanced Death Benefit Rider Charge Rate and no other optional riders elected. Hypothetical 4.52% annual Interest Earnings based on the average back-tested movement of the Shiller Barclays Global Index from 12/31/13 to 12/31/23. The Shiller Barclays Global Index was established on 02/01/19. Performance shown before this date is back-tested by applying the index strategy, which was designed with the benefit of hindsight, to historical financial data. Back-tested performance is hypothetical and has been provided for informational purposes only. Past performance is not a guarantee of future performance. Assumes withdrawals are not subject to a Withdrawal Charge, Premium Bonus Vesting Adjustment or a Market Value Adjustment (MVA).

Annual Interest Earnings: Reflects the average annual return of the annuity product performance based upon the most recent 10 calendar year period.

4 The actual death benefit paid out is the greatest of the Cash Surrender Value, Balanced Allocation Value or the Enhanced Death Benefit value.

By age 85, Bill took $470,932 in RMDs. If Bill passed away, Susan would receive a death benefit of $696,657. See Below
End of Year Age RMD Paid to Client Total Income Cash Surrender Value Accumulation Value Death Benefit4
1 66 $0 $0 $914,485 $1,071,500 $1,080,000
2 67 $0 $0 $910,836 $1,062,915 $1,080,000
3 68 $0 $0 $912,308 $1,054,244 $1,080,000
4 69 $0 $0 $920,329 $1,045,487 $1,080,000
5 70 $0 $0 $932,083 $1,036,641 $1,080,000
6 71 $0 $0 $944,013 $1,027,708 $1,080,000
7 72 $0 $0 $956,121 $1,018,685 $1,080,000
8 73 $0 $0 $968,410 $1,009,572 $1,082,857
9 74 $38,097 $38,097 $942,786 $962,270 $1,055,588
10 75 $37,736 $75,833 $917,181 $915,562 $1,028,408
11 76 $37,284 $113,117 $966,883 $869,537 $1,001,408
12 77 $40,797 $153,914 $926,086 $820,228 $970,626
13 78 $40,440 $194,354 $885,646 $771,537 $939,891
14 79 $40,257 $234,611 $845,389 $723,291 $908,603
15 80 $40,066 $274,677 $805,323 $675,502 $876,463
16 81 $39,867 $314,544 $765,456 $628,185 $843,274
17 82 $39,456 $354,001 $725,999 $581,561 $809,102
18 83 $39,243 $393,244 $686,756 $535,440 $773,431
19 84 $38,800 $432,044 $653,328 $490,066 $736,322
20 85 $38,889 $470,932 $622,805 $444,919 $696,657
21 86 $38,925 $509,857 $597,893 $405,994 $647,798
22 87 $39,335 $549,193 $572,010 $366,659 $596,529
23 88 $39,723 $588,915 $545,158 $326,936 $545,158
24 89 $39,793 $628,708 $517,631 $287,143 $517,631
25 90 $40,126 $668,834 $489,151 $247,017 $489,151
26 91 $40,094 $708,929 $460,063 $206,922 $460,063
27 92 $40,005 $748,934 $430,409 $166,917 $430,409
28 93 $39,853 $788,787 $400,240 $127,064 $400,240
29 94 $39,628 $828,415 $369,618 $87,436 $369,618
30 95 $38,907 $867,322 $339,027 $48,529 $339,027

Hypothetical Assumptions: $1 million premium in Athene Velocity with FER Max with Premium Bonus, 0.00% Annual Strategy Charge, 0.85% annual Enhanced Death Benefit Rider Charge Rate, no interest credits and no other optional riders elected.

4 The actual death benefit paid out is the greatest of the Cash Surrender Value, Balanced Allocation Value or the Enhanced Death Benefit value.

FER Max is available with Athene Velocity. Rates and product availability will vary by state and results may be higher or lower. See your insurance professional for detailed information.

Key Terms and Definitions

What is a Fixed Indexed Annuity? – A fixed indexed annuity is a contract issued by an insurance company. In exchange for your premium, the insurance company provides the opportunity for growth based in part on the performance of an underlying index, or group of indices, within a larger strategy while protecting your money from downside market risk. All guarantees are backed by the claims paying ability of the issuing carrier and may be subject to annual charges. Fixed indexed annuities are not stock market investments and do not directly participate in any stock or equity investments or index. It is not possible to invest directly in an index. Other restrictions and limitations may apply. For more information, please contact your insurance professional to see the Athene Velocityt product brochure.

Balanced Allocation Value (BAV) – The BAV is calculated daily and is the greater of the sum of the Strategy BAV of all Strategy Options or the Return of Charge amount. Each Strategy BAV accounts for any additional interest from the beginning of the current Strategy Term Period that has not yet been credited to the Strategy Value of that Strategy Option. The BAV is utilized for the Terminal Illness Waiver, Confinement Waiver and Death Benefit. The BAV is not available upon Surrender or at the Annuity Date, nor is it the basis for the Free Withdrawal amount.

Family Endowment Rider Max (FER Max) Enhanced Death Benefit – An Enhanced Death Benefit is available through an optional rider. The FER Max pays a minimum amount equal to the initial premium accumulated at a specified fixed interest rate plus 100% of Interest Earnings, if any, every two years (minus withdrawals). The Enhanced Death Benefit Crediting Base accumulates until the Enhanced Death Benefit Interest Stop Date, which is the later of 8 years or Contract Owner age 85. At death, your beneficiary will receive the greater of the base contract death benefit or the Enhanced Death Benefit.

The FER Max provides a one-time Premium Bonus, which enhances the Accumulation Value on the Contract Date.

The Enhanced Death Benefit Rider Charge of 0.85% is calculated at the beginning of every contract year based on the Enhanced Death Benefit Crediting Base multiplied by the Enhanced Death Benefit Rider Charge Rate. The charge is deducted at the beginning of each month at a rate of 1/12th of the annual Enhanced Death Benefit Rider Charge from the Accumulation Value and in certain states, the Minimum Guaranteed Contract Value, until the Rider Charge Stop Date, which is the later of 8 years or Contract Owner age 85.

FER Max cannot be terminated once it has been purchased and attached to the contract; the rider will terminate upon the Annuity Date or payment of a death benefit under the provisions of the contract.

FER Max Withdrawals and Tax Considerations – Withdrawals of any type will reduce the Enhanced Death Benefit. The first 5% (for FER Max) of the Accumulation Value withdrawn in any contract year will reduce the Enhanced Death Benefit on a dollar-for-dollar basis. Withdrawals in excess of that percentage in any contract year (including Required Minimum Distributions) will reduce the Enhanced Death Benefit proportionally. Any amounts withdrawn in excess of the Free Withdrawal amount will be subject to Withdrawal Charges, Premium Bonus Vesting Adjustments and MVAs. For more information, please see the Certificate of Disclosure. The FER Max is not life insurance, and any benefit payable under the rider will be taxable. The information contained herein is based on our understanding of current tax law. The tax and legislative information may be subject to change and different interpretations.

Free Withdrawals and Required Minimum Distributions – The Free Withdrawal amount is the greater of a percentage of the Accumulation Value and a percentage of the Initial Premium and Premium Bonus, if applicable. The percentage is 10% in all years. Withdrawals in excess of the Free Withdrawal amount (excluding Required Minimum Distributions) will not receive gains to-date and will be subject to any applicable Withdrawal Charges, Premium Bonus Vesting Adjustments and MVAs. Gains to date are not credited on Lifetime Income Withdrawals or to withdrawals in excess of the Free Withdrawal amount.

The contract waives Withdrawal Charges, MVA and Premium Bonus Vesting Adjustments, if applicable, on Required Minimum Distributions taken after turning age 73.1

Withdrawal Charge Schedule

Withdrawal Charges may vary by state. Withdrawals and the surrender of the Contract may be subject to federal and state income tax and, except under certain circumstances, will be subject to an additional tax if taken prior to age 59½. For more information, please see the Additional Information Insert and Certificate of Disclosure.

Market Value Adjustment (MVA) – The MVA feature applies during the Withdrawal Charge period to a surrender or Withdrawals in excess of the Free Withdrawal amount. This adjustment is in addition to any Withdrawal Charge amount. The MVA does not apply to Free Withdrawals, RMDs or payments made under the Confinement and Terminal Illness Waivers. Not applicable in MO.

PREMIUM BONUS VESTING ADJUSTEMENT (PBVA) – The optional, for a charge, Familiy Endowment Rider Max provides an Enhanced Death Benefit as well as a 8% Premium Bonus that enhances the Accumulation Value. While the Premium Bonus is added to the Accumulation Value, it is not added to the Enhanced Death Benefit. Withdrawals taken in excess of the Free Withdrawal amount will incur a Premium Bonus Vesting Adjustment (PBVA) in addition to any applicable Withdrawal Charges and MVA. The PBVA is equal to the portion of the Accumulation Value withdrawn in excess of the Free Withdrawal amount which is attributable to the Premium Bonus, multiplied by (100% minus the PBVA).

Premium Bonus Vesting Schedule

*70/10 states are AK, CT, DE, HI, ID, MN, MT, NH, NJ, NV, OH, OK, OR, PA, SC, TX, UT, WA.