GMAB Annuity
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Anyone use Prudential’s GRO II variable annuity? It’s a GMAB contract, just looking for some info on it as it is about to be available in my state.
Thanks.
[quote=snaggletooth]Anyone use Prudential’s GRO II variable annuity? It’s a GMAB contract, just looking for some info on it as it is about to be available in my state.
Thanks.[/quote]
Don't know anything about it, but will check - Mass's new VA has a GMAB benefit and it's pretty sweet for the right person.
[quote=iceco1d]Snags,
The Pru contract is OK, but they still reserve the right to move the client's money to bonds or cash when that stupid algorithm says so. And I think they have a few different flavors of that GMAB... JNL has a 10 year GMAB; simple walk-away; 50 bps a year; 1.25% M&E + Admin; NO INVESTMENT RESTRICTIONS. [/quote]By JNL you mean Jackson?
If so, their investment selections are intrigueing. They have what they call 'alternative assets' available -- private equity, global real estate, emerging markets, etc. You can put more than half your money in those.
Has anybody looked at them? Any opinion?
[quote=iceco1d]
Yep, I mean Jackson. I’ve heard the shpeal about the alternative model, but I don’t use it.
[/quote]
Also interesting are the various other index models. Some of them are pretty esoteric – the Value Line 30 (I think) is one of them.
Interesting. The Mass GMAB has a 10 and 20 year option. They don’t move it back and forth like the Pru, but they have certain allocations to pick from if you select it…
[quote=iceco1d]Snags,
The Pru contract is OK, but they still reserve the right to move the client's money to bonds or cash when that stupid algorithm says so. And I think they have a few different flavors of that GMAB... JNL has a 10 year GMAB; simple walk-away; 50 bps a year; 1.25% M&E + Admin; NO INVESTMENT RESTRICTIONS. [/quote] Ice, Are the M&E fees for JNL's product locked in? I.E are those the current charges and the insurance company reserves to raise the fees? If it's locked in, I might take a look at their product. Up to this point, I have always though Mass Mutual's VAs were competitive. 1.15% M&E fees, .45% for the GMAB rider with no investment restrictions. However they reserve the right to raise the M&E fees up to 1.95% which makes no sense to me.Nationwide does not offer GMAB anymore. Also Jackson makes you keep 50% in fixed bucket, however you can use etf’s to lower cost.
I’ll double check today, but thats why I called him yesterday. I am looking for a 7 or 10 year GMAB w/little restrictions (ie I could live w/ 70/30 allocation, not w/them changing to fixed income as market goes down).
Have you taken a hard look at how they actually move the money to bonds and then move it back? It's really not that bad.I’ll double check today, but thats why I called him yesterday. I am looking for a 7 or 10 year GMAB w/little restrictions (ie I could live w/ 70/30 allocation, not w/them changing to fixed income as market goes down).
Yes, you can invest in anything you want but you have to keep either 30% or 50% in the 3% fixed bucket.Jackson wholesaler told me no investment restrictions…