Lincoln Financial Group (NYSE:LNC) today launched its LVIP Protected Asset Allocation series of funds for its Lincoln ChoicePlus AssuranceSM and American Legacy® variable annuity products. These funds employ capital protection and risk management techniques that enable clients to remain invested in the market to capture upside potential, while minimizing loss during downturns, helping to provide a more consistent pattern of returns.
"As people look to maintain their lifestyle into retirement, they need to be able to maximize their income, while protecting the account values of their retirement portfolios in volatile markets, and that’s what our LVIP Protected Asset Allocation series of funds is all about," said Daniel Hayes, Vice President, Funds Management, Lincoln Financial Group. "But unlike traditional asset allocation methods which shift equities into fixed income options during down markets and can miss the most significant recovery periods, we keep clients invested in the market and continually manage risk to optimize the risk/return tradeoff based on the current market environment."
The LVIP Protected Asset Allocation series of funds, which includes the LVIP Protected Profile Funds for Lincoln ChoicePlus AssuranceSM products and the LVIP Protected American Funds for American Legacy® products, seeks to hedge risk and cap losses during a downturn by providing continual risk management using exchange traded futures.
Managed by Lincoln Investment Advisors Corp., the LVIP Protected Asset Allocation series of funds are each operated as a fund of funds, with a strategy that includes top-tier investment options covering a variety of asset classes and styles. While the results are not guaranteed, the funds’ portfolio managers continually review and adjust each fund’s overall asset allocation mix to align the client’s specified risk tolerance level with market conditions, and reduce the range of returns.
The LVIP Protected Profile Funds for Lincoln ChoicePlus AssuranceSM products are available in Conservative, Moderate and Growth options, spreading assets across equities and fixed income accordingly. The LVIP Protected American Funds for American Legacy® products are available in Balanced and Growth options.
THE LVIP PROTECTED ASSET ALLOCATION SERIES OF FUNDS IS NOT GUARANTEED OR INSURED BY LINCOLN OR ANY OTHER INSURANCE COMPANY OR OTHER ENTITY. THE FUNDS ARE NOT FDIC-INSURED, ARE NOT GUARANTEED BY ANY BANK AND MAY LOSE VALUE. THE PROTECTION STRATEGY USED BY THE FUNDS IS SEPARATE AND DISTINCT FROM ANY ANNUITY OR INSURANCE CONTRACT RIDERS OR FEATURES.
Variable annuities are long-term investment products designed for retirement purposes and are subject to market fluctuation, investment risk, and possible loss of principal. Variable annuities contain both investment and insurance components and have fees and charges, including mortality and expense, administrative, and advisory fees. Optional features are available for an additional charge. The annuity’s value fluctuates with the market value of the underlying investment options, and all assets accumulate tax-deferred. Withdrawals of earnings are taxable as ordinary income and, if taken prior to age 59-1/2, may be subject to a 10% federal tax penalty. Withdrawals will reduce the death benefit and cash surrender value.
Lincoln variable insurance and annuity products are sold by prospectus. Investors should consider the investment objectives, risks, and charges and expenses of the variable product and its underlying investment options carefully before investing. The prospectus contains this and other information about the variable product and its underlying investment options. To request a prospectus call 877-533-0003. Read it carefully before investing or sending money.
Lincoln variable insurance and annuity products are issued by The Lincoln National Life Insurance Company, Fort Wayne, IN, and 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. Contracts and policies sold in New York are issued by Lincoln Life & Annuity Company of New York, Syracuse, NY, and distributed by Lincoln Financial Distributors, Inc., a broker/dealer.
All contract and rider guarantees, including those for optional benefits, fixed subaccount crediting rates, or annuity payout rates, are backed by the claims-paying ability of the issuing insurance company. They are not backed by 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.
There is no additional tax-deferral benefit for an annuity contract purchased in an IRA or other tax-qualified plan. Lincoln Investment Advisors Corporation (LIAC) serves as the investment advisor to the LVIP Protected Asset Allocation series of funds. LIAC is the subsidiary of The Lincoln National Life Insurance Company responsible for analyzing and reviewing the investment options within Lincoln variable products and providing recommendations regarding these options to Lincoln senior management.
About Lincoln Financial Group
Lincoln Financial Group is the marketing name for Lincoln National Corporation (NYSE:LNC) and its affiliates. With headquarters in the Philadelphia region, the companies of Lincoln Financial Group had assets under management of $160 billion as of December 31, 2011. Through its affiliated companies, Lincoln Financial Group offers: annuities; life, group life, disability and dental insurance; 401(k) and 403(b) plans; savings plans; and comprehensive financial planning and advisory services. For more information, including a copy of our most recent SEC reports containing our balance sheets, please visit www.LincolnFinancial.com.