ProductsCâu 17 / 110
Which statement correctly distinguishes accumulation units from annuity units in a variable annuity?
a.Both the number of units and their value are fixed once the contract is issued
b.Accumulation units vary in number as the contract owner invests, while at annuitization a fixed number of annuity units is established whose value fluctuates
c.Annuity units are purchased during the pay-in phase and accumulation units during the payout phase
d.Accumulation units have a fluctuating value but annuity units have a fixed value
Giải thích
During the accumulation phase, each purchase payment buys a varying number of accumulation units, so the unit count grows. At annuitization the accumulated value is converted into a fixed number of annuity units, and the payment changes only because the unit value moves with separate account performance. The other choices reverse the phases or freeze the wrong variable.
Luyện miễn phí toàn bộ 110 câu hỏi — không cần đăng ký.
Câu hỏi liên quan cùng chủ đề
- A fund's expense ratio represents:
- When a shareholder redeems open-end fund shares, the fund must transmit payment within:
- To be classified as a diversified investment company, a fund must satisfy the 75-5-10 test, which requires that:
- A variable annuity contract has an assumed interest rate (AIR) of 4%. In a month when the separate account earns 6%, the annuitant's next payment will:
- Which annuity payout option generally produces the largest monthly payment for a given account value?
- A married couple, both age 66, want annuity income that continues for as long as either of them is alive. Which settlement option fits?
Cập nhật gần nhất: · quy trình kiểm tra
Đội Ngũ Biên Tập PrepPass · Đối chiếu với FINRA Series 6 — Investment Company & Variable Contracts Rep · Quy trình kiểm tra