The list of the top variable annuities sold in bank channels this year was just compiled. The Bank Investment Consultant article “The Most Wanted List (of Variable Annuities,” by Kerry Pechter, talks about the most popular variable annuities of the year thus far. It’s well known among financial consultants and advisors that variable annuities do not sell themselves; the benefits need to be sold to investors. The benefits of protection from a down market and potential for upside market gains are what many investors are looking for today. Variable annuity sales in the bank channel increased in the first quarter of this year, while sales in many other channels actually declined.
Jackson’s National Perspective II was the top seller. Jackson appeals to investors and advisors looking for more flexibility and a lot of options as opposed to a low cost. Their GLWB option, called the Joint Lifetime Freedom 6, offers increases in the guaranteed benefit base. Prudential’s Advisor Plan III and APEX II have been replaced by a new, similar product but still account for the second highest bank annuity sales. Their aggressive marketing and their “Highest Daily 6 Plus” living benefit, along with fees in line with other annuity products on the market have helped maintain Prudential’s variable annuity success.
The third best selling of the bank channel variable annuities is Nationwide Bank of America’s Future Venue. The product offers L.inc, a popular and affordable lifetime income rider. Pacific Life’s Voyages is the least expensive and most conservative on this list. When you compare annuities with these options, conservative investors tend to be satisfied with Pacific Life’s CoreProtect Advantage lifetime income option and their other riders without rollups. Variable annuities with GLWBs and rollups are great investments in today’s economic climate. It’s important for advisors to speak with their clients about the products since clients rarely research variable annuities on their own.