What is a registered index-linked annuity?

A registered index-linked annuity is designed to help limit exposure to downside risk while offering growth potential based on the performance of an index or indexes.

A registered index-linked annuity (RILA) is a tax-deferred long-term savings option that limits exposure to downside risk and provides the opportunity for growth. It offers more growth potential than a fixed-indexed annuity but less potential return and less risk than a variable annuity.

Returns are based in part on the performance of an underlying index or indexes. In addition, they also provide an option to convert the annuity into a stream of income payments in retirement through annuitization. A RILA is not a stock market investment and does not directly participate in any stock or equity investments. With RILAs, you accept a level of risk in exchange for higher upside potential.

A level of protection from market downturns

The money you place into your registered index-linked annuity will be partially protected from market downturns based on the level of protection you select.

Opportunity for growth - Your money can grow based on the performance of an index or indexes.

Tax advantages

The value of your annuity grows tax free, meaning you won’t pay taxes on any growth until you make a withdrawal.

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