Meet Gregory “The Investor”
Gregory is the president of an accounting firm he founded 32 years ago. His friends describe him as successful and determined, so it’s no surprise that he’s been saving with a strong focus on keeping his retirement plan on track.
Gregory wants to close the gap between his current savings and where he’d like to be when he retires, so growing his portfolio is a top priority. But as retirement gets closer, he understands he can’t take on the same level of risk as in the past.
Based on Gregory’s goals, his advisor recommends he consider Lincoln Level Advantage® indexed variable annuity because it offers investment strategies linked to the market for the growth potential he wants while allowing a level of protection to help guard against market losses.
Gregory invests $100,000 in Lincoln Level Advantage® and allocates to a 1-year term option so he’ll have flexibility to reinvest differently next year.
|Market Index||Protection Level||Allocation|
||S&P 500® Index||10%||100%|
IMPORTANT INFORMATION AND DISCLOSURES
The values shown are hypothetical, for illustrative purposes only, and are intended to show the mechanics of the indexed account options available with Lincoln Level Advantage® indexed variable annuity.
An 'uncapped' rate is reflected on confirmations and quarterly statements as a cap of 999%.
Scenario returns are based on the historical returns of the chosen index. It’s important to note that other domestic, foreign or world-comprised indices may have different or opposite return characteristics during these same scenario time periods.
Historical performance is not indicative of future results. The tool presents a limited range of historical outcomes and the graphs shown are for illustrative purposes only. The examples are intended to show the mechanics of the indexed account options available with Lincoln Level Advantage® indexed variable annuity.
Three crediting strategies are offered across the 1-year, 3-year, 6-year and 6-year annual lock terms. They are performance cap, performance trigger, and participation rate strategies.
For performance cap strategies, the account value will grow subject to any positive percentage change to the cap at a rate based on the market index chosen.
For performance trigger strategies, the account value will grow by the performance trigger rate for any positive or flat change in the market index chosen.
For participation rate strategies, the account value will grow by multiplying the participation rate to any positive percentage change based on the market index chosen.
Indexed accounts are tied to market performance, but they are not an actual investment in the stock market. Additionally, there is risk of loss of principal if negative returns exceed the selected protection level. Gains or losses are assessed at the end of each indexed account term. There is also a risk of loss upon an early withdrawal.
Indexed-linked variable annuity products are complex insurance and the investment vehicles and are subject to surrender charges for early withdrawals. Please reference the prospectus for information about the levels of protection available and other importance product information.
Market scenarios have been created in order to demonstrate the mechanics of the with Lincoln Level Advantage® indexed variable annuity.
Down Market — The down market illustrates the following S&P 500® Price Index returns: 1-year term period 01/01/2002 – 12/31/2002; 3-year term period 01/01/2000 – 12/31/2002; 6-year and 6-year annual lock term period 01/01/2000 – 12/31/2005.
Fluctuating Market — The fluctuating market illustrates the following S&P 500® Price Index returns: 1-year term period 01/01/2011 – 12/31/2011; 3-year term period 01/01/2002 – 12/31/2004; 6-year and 6-year annual lock term period 01/01/1999 – 12/31/2004.
Up Market — The up market illustrates the following S&P 500® Price Index returns: 1-year term period 01/01/2016 – 12/31/2016; 3-year term period 01/01/2014 – 12/31/2016; 6-year and 6-year annual lock term period 01/01/2011– 12/31/2016.
Recent Market — The recent market illustrates the following S&P 500® Price Index returns: 1-year term period 05/01/2018 – 04/30/2019; 3-year term period 05/01/2016 – 05/01/2019; 6-year and 6-year annual lock term period 05/01/2013– 05/01/2019.
The indices used are price indices and do not reflect dividends paid on the underlying stocks. The level of the index may reflect the deduction of an annual fee. See prospectus for details. One cannot invest directly into an index.
The S&P 500® Price Return Index tracks the stock performance of 500 large U.S. companies. This is a product of S&P Dow Jones Indices LLC (“SPDJI”), and has been licensed for use by The Lincoln National Life Insurance Company. Standard & Poor’s, S&P and S&P 500® are registered trademarks of Standard & Poor’s Financial Services LLC (“S&P”); Dow Jones is a registered trademark of Dow Jones Trademark Holdings LLC (“Dow Jones”); and these trademarks have been licensed for use by SPDJI and sublicensed for certain purposes by The Lincoln National Life Insurance Company. The Lincoln National Life Insurance Company’s product is not sponsored, endorsed, sold or promoted by SPDJI, Dow Jones, S&P, their respective affiliates, and none of such parties make any representation regarding the advisability of investing in such products nor do they have any liability for any errors, omissions, or interruptions of the S&P 500® Index.
The Russell 2000 Price Return Index measures the stock performance of 2,000 small U.S. companies. The Russell 2000 Index (the “Index”) is a trademark of Frank Russell Company (“Russell”) and has been licensed for use by The Lincoln National Life Insurance Company. The Lincoln Level Advantage® indexed variable annuity is not in any way sponsored, endorsed, sold or promoted by Russell or the London Stock Exchange Group companies (“LSEG”) (together the “Licensor Parties”) and none of the Licensor Parties make any claim, prediction, warranty or representation whatsoever, expressly or implied, either as to (i) the results to be obtained from the use of the Index, (ii) the figure at which the Index is said to stand at any particular time on any particular day or otherwise, or (iii) the suitability of the Index for the purpose to which it is being put in connection with the Lincoln Level Advantage® indexed variable annuity. None of the Licensor Parties have provided or will provide any financial or investment advice or recommendation in relation to the Index to The Lincoln National Life Insurance Company or to its clients. The Index is calculated by Russell or its agent. None of the Licensor Parties shall be (a) liable (whether in negligence or otherwise) to any person for any error in the Index or (b) under any obligation to advise any person of any error therein.
The MSCI EAFE Price Return Index follows the performance of large and mid-cap securities across 21 developed markets, including countries in Europe, Australasia and the Far East, excluding the U.S. and Canada. The securities referred to herein are not sponsored, endorsed or promoted by MSCI, and MSCI bears no liability with respect to any such funds or securities, or any index on which such securities are based. The prospectus contains a more detailed description of the limited relationship MSCI has with Lincoln Financial Group and any related funds.
The Capital Strength Net Fee Index measures 50 well-capitalized companies with strong market positions based on strong balance sheets, high liquidity, earnings growth and record of financial strength and profit growth with lower volatility. The securities referred to herein are not sponsored, endorsed or promoted by NASDAQ, and NASDAQ bears no liability with respect to any such funds or securities, or any index on which such securities are based.
Lincoln Financial Group® affiliates, their distributors, and their respective employees, representatives, and/or insurance agents do not provide tax, accounting, or legal advice. Please consult an independent advisor as to any tax, accounting, or legal statements made herein.
Lincoln Level Advantage® indexed variable annuity is a long-term investment product designed for retirement purposes. There are no explicit fees associated with the indexed-linked account options available. There are associated fees with the variable annuity subaccounts, which include a product charge, and administrative fees. Annuities are subject to market risk including loss of principal. Withdrawals are subject to ordinary income tax treatment and, if taken prior to age 59½ in nonqualified contracts, may be subject to an additional 10% federal tax.
The risk of loss occurs each time you move into a new indexed account after the end of an indexed term. The protection level option selected in the indexed account helps protect you from some downside risk. If the negative return is in excess of the protection level selected, there is a risk of loss of principal. Protection levels vary based on the index, crediting strategy and term selected are subject to change and may not be available with every option. Please see the prospectus for details.
Guarantee of Principal (also know as return of principal, or ROP) death benefit is available for an additional charge of 0.20% (applied to assets in variable investment options only). Adjusted performance cap, participation and performance trigger rates will apply to indexed accounts. The GOP is adjusted proportionately for withdrawals and dollar-for-dollar for i4LIFE® Advantage payments.
Investors are advised to consider the investment objectives, risks, and charges and expenses of the annuity and its underlying investment options carefully before investing. The applicable prospectuses for the variable annuity and its underlying investment options contain this and other important information. Please call for free prospectuses. Read them carefully before investing or sending money. Products and features are subject to state availability.
Lincoln Level Advantage® indexed variable annuities (contract form 30070-B or 30070-A and state variations) are issued by The Lincoln National Life Insurance Company, Fort Wayne, IN, distributed by Lincoln Financial Distributors, Inc., a broker-dealer. The Lincoln National Life Insurance Company does not solicit business in the state of New York, nor is it authorized to do so.
All contract and rider guarantees, including those for optional benefits, payment of the amount from the indexed accounts, or annuity payout rates, are backed by the claims-paying ability of the issuing insurance company. They are not subject to the broker-dealer or insurance agency from which this annuity is purchased, or any affiliates of those entities other than the issuing company affiliates, and none makes any representations or guarantees regarding the claims-paying ability of the issuer.
This product and the components and features contained within are not available in all states or firms. Please reach out to your registered representative for more details on state approvals and firm guidelines.
There is no additional tax-deferral benefit for an annuity contract purchased in an IRA or other tax-qualified plan.
Not available in New York.
For use with the general public.