athene’s guide to indices - annuityexpertadvice.com · 2020. 10. 13. · athene — a different...

This material is provided by Athene Annuity and Life Company (61689) headquartered in West Des Moines, Iowa, which issues annuities in 49 states (excluding NY) and D.C., and Athene Annuity & Life Assurance Company of New York (68039) headquartered in Pearl River, New York, which issues annuities in New York. Products not available in all states.22139 (02/03/20)22145 (05/18/20)

This material is provided by Athene Annuity and Life Company (61689) headquartered in West Des Moines, Iowa, which issues annuities in 49 states (excluding NY) and D.C., and Athene Annuity & Life Assurance Company of New York (68039) headquartered in Pearl River, New York, which issues annuities in New York. Products not available in all states.

Athene’s Guideto Indices

Athene — a different kind of company.At Athene Annuity and Life Company, a subsidiary of Athene Holding Ltd., we know that unconventional times demand unconventional thinking. We’re driven to deliver innovative solutions that help you outperform in our increasingly complex financial world.

A leader in annuities.The Athene group of companies embodies strength and stability, now and in the future. Our drive, discipline and confidence can help you achieve more.

One of the largest providers of fixed and fixed indexed annuities in the United States.

Athene trades on the New York Stock Exchange under the symbol "ATH."

Founded in 2009.

Through our acquired companies, we have served customers for more than 100 years.

Policyholder protection is, and has always been, our first priority.

Financial strength ratings2

A.M. Best S&P Fitch

A A A

$146.9 billion in total GAAP assets1

$132.7 billion in total liabilities$13.4 billion in total GAAP AHL shareholders’ equity

A.M. Best 3rd highest of 16S&P 6th highest of 21Fitch 6th highest of 19

Please refer to page 6 for footnotes.

Put your money to work with interest crediting strategies powered by innovative index solutions.The index is the growth engine in any fixed indexed annuity. That’s why Athene works selectively with top names in banking and investments to choose the indices that power our products.

Technology is the nerve center of today’s financial marketplace, and data — created and moving at hyperspeed — is its lifeblood. To capture growth opportunities, you need solutions that can keep up.

Athene fixed indexed annuities feature indices, some exclusive to Athene, that are built for the challenges of advanced tech, big data, volatile markets and today’s retirement planning landscape. To make smart allocation decisions, it’s important to understand what each index is designed to do.

You should also know that the money in your annuity is not directly exposed to the risks of the stock market or individual stocks. Athene guarantees you will not lose money due to stock market risk or losses.

AI Powered US Equity IndexTicker Symbol: AIPEX

Choose a smart large cap equity strategy built by IBM Watson®

AiPEX is a new kind of equity strategy. WatsonTM enables AiPEX to look at the equity markets the way people do. But instead of relying on human intuition, AiPEX analyzes millions of relevant data sources each day, around the clock. And with Watson, it’s able to continuously learn as new information and new sources become available.

Each month, AiPEX selects approximately 250 equity stocks from the 1,000 largest U.S. companies using a scoring system that evaluates financial health and management strength as well as market sentiment, economic and geopolitical risks. It then weights each company, assigning the largest weight to those with the highest scores. AiPEX reacts daily to changing market conditions, reducing the impact of short-term volatility by adjusting exposure to the underlying stocks.1 The index manages to a 6% daily volatility target.2

Nasdaq FC Index

Ticker Symbol: BOFANFCC

Capitalize on growth potential in one of the world’s preeminent technology indices3

Put technology to work for your retirement with the Nasdaq FC Index. This one-of-a-kind index is powered by Fast Convergence (FC) technology pioneered by Bank of America, a global leader in financial services.

Patent-pending FC technology is designed to adapt to constantly changing economic conditions more quickly and efficiently than traditional volatility control mechanisms. The Nasdaq FC Index applies this capability to the stocks in the Nasdaq-100, home to world-class innovators like Apple, Amazon, Google and Netflix.3 It aims to increase returns by rebalancing throughout the day to manage exposure to the Nasdaq-100. The Nasdaq FC Index strives to realize growth potential by targeting 12.5% annualized volatility.2 Returns are subject to a 4% monthly cap.4

Exploring the index options in Athenefixed indexed annuities.

The range of price changes to a security over a given period of time is known as volatility. Each of these indices manages to a target volatility level by controlling exposure to the underlying index of securities using a stable asset like cash or bonds. The goal is more stable performance. 1 The AiPEX and Nasdaq FC indices are excess return indices. The return is determined by reference to the performance of the Base Index (as adjusted based on the

applicable exposure) in excess of the performance of a reference rate, the USD 3-month LIBOR rate.2 Because this index applies a volatility control mechanism, the range of both the positive and negative performance of the index is limited.3 nasdaq.com/nasdaq-100/innovation, as of December 31, 2019.4 The Nasdaq FC Index features a performance control mechanism that limits its maximum growth potential within any given month. Consumers may therefore forgo

part of the growth of the Index if it rises beyond this limit within a month.

BNP Paribas Multi Asset Diversified 5 IndexTicker Symbol: BNPIMAD5

Pursue consistent growth through global diversification

Looking for the opportunity to pursue interest credits based on a global measure ofmarket performance? Consider a crediting strategy powered by the BNP Paribas Multi Asset Diversified 5 Index.

Maintaining a diversified portfolio has long been considered an effective strategy for managing risk. This index seeks stable, risk-adjusted returns in all market environments by measuring the performance of eight component indices — three equity futures indices, three bond futures indices and two commodity indices — in key geographic regions. It is dynamically rebalanced on a daily basis using momentum investing principles with a volatility filter.1 A daily risk control mechanism strives to limit index volatility to 5%.2

S&P 500 Daily Risk Control 5%TM Index TR (Total Return)Ticker Symbol: SPXT5UT

A classic risk control design using a well-known market benchmark.

This highly efficient index relies on S&P 500® methodology and uses mathematical algorithms to strive for a 5% volatility target. Exposure to the index is managed by daily rebalancing between the underlying index and a cash component, based on observed S&P 500 historical volatility. When volatility increases, the risk control index moves out of the underlying index and into cash. When it decreases, the risk control index moves more weight into the underlying index and weights less in cash.2

The S&P 500 Daily Risk Control 5% Index TR is not available in all Athene products.

1 The BNPP MAD 5 Index is an “Excess Return Index,” meaning its returns are derived from changes in the price of its underlying components (known as “price return”) and profit or loss gained from rolling from one futures contract to another (known as “roll return”). Unlike Total Return Indices, it does not derive returns based on interest earned on cash or other collateral deposited in connection with the purchase of futures contracts (known as “collateral return”).

2 Because this index applies a volatility control mechanism, the range of both the positive and negative performance of the index is limited.

These unique index solutions power interest crediting strategies in all Athene fixed indexed annuities. Please review your Certificate of Disclosure and talk to your financial professional before making allocation decisions in your Athene product.

To learn more, check out these additional resources:

• AI Powered US Equity Index: capture growth potential intelligently (23000)

• Nasdaq FC Index: the power to put technology to work (24000)

• BNP Paribas Multi Asset Diversified 5 Index: pursue growth opportunities through global diversification (20477)

• Unleash the power of diversification (68083)

1 Athene Holding Ltd. GAAP total assets, AHL shareholders’ equity and liabilities as of December 31, 2019. Pledged assets and funds in trust (restricted assets) total $12.7 billion and total net reserve liabilities of $114.7 billion as of December 31, 2019. Athene Annuity and Life Company (AAIA), on a statutory basis, based on the financial statement as of December 31, 2019: Total Admitted Assets: $65.51 billion; Total Liabilities: $64.30 billion; Reserves Required: Direct - $57.17 billion; Assumed - $0.22 billion; Ceded - $11.87 billion; Net - $45.52 billion; Capital & Surplus: Common capital stock - $0.01 billion; Paid-in and contributed surplus - $0.96 billion; Unassigned surplus - $0.24 billion; Total Capital & Surplus: $1.21 billion.

Athene Annuity & Life Assurance Company of New York (AANY), on a statutory basis, based on the financial statement as of December 31, 2019: Total Admitted Assets: $3.25 billion; Total Liabilities: $2.93 billion; Reserves Required: Direct - $2.60 billion; Ceded - $2.20 billion; Net - $409 million; Total Capital & Surplus: $318 million; Securities Pledged as Collateral —. The individual subsidiary insurance company is responsible for meeting its ongoing insurance policy and contract obligations. Athene Holding Ltd. is not responsible for meeting the ongoing insurance policy and contract obligations of its subsidiary insurance companies.2 Financial strength ratings for Athene Annuity & Life Assurance Company, Athene Annuity and Life Company, Athene Annuity & Life Assurance Company of New

York and Athene Life Re Ltd. A.M. Best, S&P and Fitch’s credit ratings reflect their assessment of the relative ability of an insurer to meet its ongoing insurance policy and contract obligations. A.M. Best rating as of April 2019 (A, 3rd highest of 16), S&P rating as of August 2019 (A, 6th highest out of 21), and Fitch rating as of April 2020 (A, 6th highest of 19). Athene Holding Ltd.’s credit rating is bbb/BBB+/BBB+ for A.M. Best, S&P and Fitch, respectively.

Guarantees provided by annuities are subject to the financial strength and claims paying ability of the issuing insurance company.Fixed indexed annuities are not stock market investments and do not directly participate in any stock or equity investments. Market indices may not include dividends paid on the underlying stocks, and therefore may not reflect the total return of the underlying stocks; neither an index nor any market-indexed annuity is comparable to a direct investment in the equity markets. Clients who purchase indexed annuities are not directly investing in a stock market index.IBM Watson® • IBM and IBM Watson are registered trademarks of International Business Machines Corporation, registered in many jurisdictions worldwide.AI Powered US Equity Index • The AI Powered US Equity Index (the “AiPEX Index”) is the exclusive property of EquBot Inc. (“EquBot”) and administered, calculated, and published by Solactive AG. EquBot, AiPEX, and “AI Powered US Equity Index” (collectively, the “AiPEX Marks”) are trademarks or service marks of EquBot and have been licensed by HSBC and sub-licensed by Athene Annuity and Life Company (the “Company”) for use in a fixed indexed annuity offered by the Company. The fixed indexed annuity is not, in whole or in part, sponsored, structured, priced, endorsed, offered, sold, issued or promoted by EquBot or HSBC or any of their affiliates. EquBot and HSBC’s only relationship to the Company is the licensing of the AiPEX Index and AiPEX Marks for certain purposes. EquBot and HSBC shall not have any liability with respect to a fixed indexed annuity in which an interest crediting option is based on the AiPEX Index and are not liable for any loss relating to the fixed indexed annuity, whether arising directly or indirectly from the use of the AiPEX Index, its methodology, any AiPEX Mark or otherwise. Neither EquBot nor HSBC has any obligation to take into consideration any of the needs of the Company or any of the owners, annuitants or beneficiaries of the fixed indexed annuity, in designing, calculating, administering or licensing the AiPEX Index. NEITHER EQUBOT, HSBC, SOLACTIVE AG, OR THEIR SUPPLIERS GUARANTEES THE ACCURACY, ADEQUACY, TIMELINESS, COMPLETENESS OR AVAILABILITY OF THE AIPEX INDEX OR ANY COMPONENT THEREOF OR DATA INCLUDED THEREIN, OR THAT NO ERROR, OMISSION, DELAY OR INTERRUPTION WILL EXIST THEREIN. NEITHER HSBC NOR EQUBOT OR THEIR SUPPLIERS, MAKES ANY REPRESENTATION OR WARRANTY, AND EACH OF HSBC AND EQUBOT AND THEIR SUPPLIERS EXPRESSLY DISCLAIMS ALL REPRESENTATIONS AND WARRANTIES, EXPRESS OR IMPLIED, INCLUDING, WITHOUT LIMITATION, THOSE REGARDING (I) MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR USE, OR (II) THE ADVISABILITY OF ANY PERSON INVESTING IN THE FIXED INDEXED ANNUITY. No purchaser, seller or holder of the fixed indexed annuity, or any other person or entity, should use or refer to any AiPEX Mark or other EquBot trade name to sponsor, endorse, market or promote the fixed indexed annuity without a license from EquBot and HSBC. Under no circumstances may any person or entity claim any affiliation or association with EquBot or HSBC without the prior written permission of EquBot or HSBC. In calculating the performance of the AiPEX Index, EquBot deducts a servicing cost of 0.50% per annum, calculated on a daily basis. Such costs may vary over time with market conditions. These costs reduce the potential positive change in the AiPEX Index and thus the amount of interest that will be credited to the fixed indexed annuity option based on the AiPEX Index.The volatility control applied by EquBot may reduce the potential positive or negative change in the AiPEX Index and thus the amount of interest that will be credited to the fixed indexed annuity option that is based on the AiPEX Index. Nothing provided herein should be construed as HSBC or EquBot or their suppliers providing tax, legal, or investment advice nor is HSBC or its suppliers recommending engaging in any investment strategy or transaction.Nasdaq FC Index • Athene Annuity and Life Company’s Product (“Product”) is not sponsored, endorsed, sold or promoted by BofA Securities, Inc. or its affiliates (“BofAS”). BofAS has not passed on the legality or suitability of, or the accuracy or adequacy of descriptions and disclosures relating to, the Product, nor makes any representation or warranty, express or implied, to the owners of the Product or any member of the public regarding the Product or the advisability of purchasing the Product, particularly the ability of the NASDAQ FC Index (“Index”) to track performance of any market or strategy. BofAS’s only relationship to Athene Annuity and Life Company (“Licensee”) is the licensing of certain trademarks and trade names and the Index or components thereof. The Index is determined, composed and calculated by BofAS without regard to the Licensee or the Product or its holders. BofAS has no obligation to take the needs of the Licensee or the holders of the Product into consideration in determining, composing or calculating the Index. BofAS is not responsible for and has not participated in the determination of the timing of, prices of, or quantities of the Product to be issued or in the determination or calculation of the equation by which the Product is to be priced, sold, or purchased, or redeemed. BofAS has no obligation or liability in connection with the administration or marketing of the Product. BOFAS DOES NOT GUARANTEE THE ACCURACY AND/OR THE COMPLETENESS OF THE INDEX OR ANY DATA INCLUDED THEREIN AND BOFAS SHALL HAVE NO LIABILITY FOR ANY ERRORS, OMISSIONS, UNAVAILABILITY, OR INTERRUPTIONS THEREIN. BOFAS MAKES NO WARRANTY, EXPRESS OR IMPLIED, AS TO RESULTS TO BE OBTAINED BY LICENSEE, HOLDERS OF THE PRODUCT OR ANY OTHER PERSON OR ENTITY FROM THE USE OF THE INDEX OR ANY DATA INCLUDED THEREIN. BOFAS MAKES NO EXPRESS OR IMPLIED WARRANTIES AND EXPRESSLY DISCLAIMS ALL WARRANTIES

OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR USE, WITH RESPECT TO THE INDEX OR ANY DATA INCLUDED THEREIN. WITHOUT LIMITING ANY OF THE FOREGOING, IN NO EVENT SHALL BOFAS HAVE ANY LIABILITY FOR ANY SPECIAL, PUNITIVE, INDIRECT, INCIDENTAL, CONSEQUENTIAL DAMAGES, OR LOST PROFITS, EVEN IF NOTIFIED OF THE POSSIBILITY OF SUCH DAMAGES. The Product is not sponsored, endorsed, sold or promoted by Nasdaq, Inc. or its affiliates (Nasdaq, with its affiliates, are referred to as the “Corporations”). The Corporations have not passed on the legality or suitability of, or the accuracy or adequacy of descriptions and disclosures relating to, the Product. The Corporations make no representation or warranty, express or implied to the owners of the Product or any member of the public regarding the advisability of investing in securities generally or in the Product particularly, or the ability of the NASDAQ-100 Index and NASDAQ FC Index to track general stock market performance. The Corporations’ only relationship to BofA Securities, Inc. (“BofAS”) is in the licensing of Nasdaq® and certain trade names of the Corporations and the use of the NASDAQ-100 Index which is determined, composed and calculated by Nasdaq without regard to BofAS or the Product. Nasdaq has no obligation to take the needs of BofAS or the owners of the Product into consideration in determining, composing or calculating the NASDAQ-100 Index. The Corporations are not responsible for and have not participated in the determination of the timing of, prices at, or quantities of the Product to be issued or in the determination or calculation of the equation by which the Product is to be converted into cash. The Corporations have no liability in connection with the administration, marketing or trading of the Product. THE CORPORATIONS DO NOT GUARANTEE THE ACCURACY AND/OR UNINTERRUPTED CALCULATION OF THE NASDAQ-100 INDEX OR ANY DATA INCLUDED THEREIN. THE CORPORATIONS MAKE NO WARRANTY, EXPRESS OR IMPLIED, AS TO RESULTS TO BE OBTAINED BY BOFAS, OWNERS OF THE PRODUCT, OR ANY OTHER PERSON OR ENTITY FROM THE USE OF THE NASDAQ-100 INDEX AND NASDAQ FC INDEX OR ANY DATA INCLUDED THEREIN. THE CORPORATIONS MAKE NO EXPRESS OR IMPLIED WARRANTIES, AND EXPRESSLY DISCLAIM ALL WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR USE WITH RESPECT TO THE NASDAQ-100 INDEX AND NASDAQ FC INDEX OR ANY DATA INCLUDED THEREIN. WITHOUT LIMITING ANY OF THE FOREGOING, IN NO EVENT SHALL THE CORPORATIONS HAVE ANY LIABILITY FOR ANY LOST PROFITS OR SPECIAL, INCIDENTAL, PUNITIVE, INDIRECT, OR CONSEQUENTIAL DAMAGES, EVEN IF NOTIFIED OF THE POSSIBILITY OF SUCH DAMAGES.BNP Paribas Multi Asset Diversified 5 Index • The BNP Paribas Multi Asset Diversified 5 Index (the “BNPP MAD 5 Index”) is the exclusive property of BNP Paribas or one of its affiliates (BNP Paribas and its affiliates are hereinafter called “BNPP”) and is determined, composed and calculated by BNPP. “BNP”, “BNPP”, “BNP Paribas”, “BNPP MAD 5 Index” and “BNP Paribas Multi Asset Diversified 5 Index” (collectively, the “BNPP Marks”) are trademarks or service marks of BNPP and have been licensed by Athene Annuity and Life Company (the “Company”) for use in a fixed indexed annuity offered by the Company. The fixed indexed annuity is not, in whole or in part, sponsored, structured, priced, endorsed, offered, sold, issued or promoted by BNPP or any of its affiliates, or any third party licensor of information to BNPP. BNPP’s only relationship to the Company is the licensing of the BNPP MAD 5 Index and BNPP Marks for certain purposes. BNPP shall not have any liability with respect to a fixed indexed annuity in which an interest crediting option is based on the BNPP MAD 5 Index, and is not liable for any loss relating to the fixed indexed annuity, whether arising directly or indirectly from the use of the BNPP MAD 5 Index, its methodology, any BNPP Mark or otherwise.In calculating the level of the BNPP MAD 5 Index, BNPP deducts a servicing cost of 0.50% per annum, calculated on a daily basis. In addition, the BNPP MAD 5 Index methodology embeds certain costs which cover among other things, rebalancing and replication costs. Such costs may vary over time with market conditions. These costs reduce the potential positive change in the BNPP MAD 5 Index and thus the amount of interest that will be credited to the fixed indexed annuity that includes the BNPP MAD 5 Index.S&P 500® Index • The “S&P 500® and S&P Daily Risk Control 5%TM Index TR (Total Return)” are products of S&P Dow Jones Indices LLC, a division of S&P Global, or its affiliates (“SPDJI”) and have been licensed for use by Athene Annuity and Life Company. Standard & Poor’s® and S&P® are registered trademarks of Standard & Poor’s Financial Services LLC, a division of S&P Global (“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 Athene Annuity and Life Company. It is not possible to invest directly in an index. Athene Annuity and Life Company’s Products are not sponsored, endorsed, sold or promoted by SPDJI, Dow Jones, S&P, any of their respective affiliates (collectively, “S&P Dow Jones Indices”). S&P Dow Jones Indices do not make any representation or warranty, express or implied, to the owners of the Athene Annuity and Life Company’s Products or any member of the public regarding the advisability of investing in securities generally or in Athene Annuity and Life Company’s Products particularly or the ability of the S&P 500® and S&P Daily Risk Control 5%TM Index TR (Total Return) to track general market performance. Past performance of an index is not an indication or guarantee of future results. S&P Dow Jones Indices only relationship to Athene Annuity and Life Company with respect to the S&P 500® is the licensing of the Index and certain trademarks, service marks and/or trade names of S&P Dow Jones Indices and/or its licensors. The S&P 500® and S&P Daily Risk Control 5%TM Index TR (Total Return) are determined, composed and calculated by S&P Dow Jones Indices without regard to Athene Annuity and Life Company or the Athene Annuity and Life Company’s Products. S&P Dow Jones Indices have no obligation to take the needs of Athene Annuity and Life Company or the owners of Athene Annuity and Life Company’s Products into consideration in determining, composing or calculating the S&P 500® and S&P Daily Risk Control 5%TM Index TR (Total Return). S&P Dow Jones Indices are not responsible for and have not participated in the determination of the prices, and amount of Athene Annuity and Life Company’s Products or the timing of the issuance or sale of Athene Annuity and Life Company’s Products or in the determination or calculation of the equation by which Athene Annuity and Life Company’s Products is to be converted into cash, surrendered or redeemed, as the case may be. S&P Dow Jones Indices has no obligation or liability in connection with the administration, marketing or trading of Athene Annuity and Life Company’s Products. There is no assurance that investment products based on the S&P 500® and S&P Daily Risk Control 5%TM Index TR (Total Return) will accurately track index performance or provide positive investment returns. S&P Dow Jones Indices LLC is not an investment or tax advisor. A tax advisor should be consulted to evaluate the impact of any tax-exempt securities on portfolios and the tax consequences of making any particular investment decision. Inclusion of a security within an index is not a recommendation by S&P Dow Jones Indices to buy, sell, or hold such security, nor is it considered to be investment advice.NEITHER S&P DOW JONES INDICES NOR THIRD PARTY LICENSOR GUARANTEES THE ADEQUACY, ACCURACY, TIMELINESS AND/OR THE COMPLETENESS OF THE S&P 500® AND S&P DAILY RISK CONTROL 5%TM INDEX TR (TOTAL RETURN) OR ANY DATA RELATED THERETO OR ANY COMMUNICATION, INCLUDING BUT NOT LIMITED TO, ORAL OR WRITTEN COMMUNICATION (INCLUDING ELECTRONIC COMMUNICATIONS) WITH RESPECT THERETO. S&P DOW JONES INDICES SHALL NOT BE SUBJECT TO ANY DAMAGES OR LIABILITY FOR ANY ERRORS, OMISSIONS, OR DELAYS THEREIN. S&P DOW JONES INDICES MAKES NO EXPRESS OR IMPLIED WARRANTIES, AND EXPRESSLY DISCLAIMS ALL WARRANTIES, OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR USE OR AS TO

Athene Annuity and Life Company 7700 Mills Civic Parkway West Des Moines, IA 50266-3862

Athene.com

We are Athene. And we are relentless when it comes to creating an innovative portfolio of fixed annuities to meet your accumulation and retirement income needs.

At Athene, we see every day as a new opportunity to measure ourselves against the best — and then we don’t stop until we’ve set the bar even higher. We stand ready to help you achieve more.

22145 (05/18/20)

RESULTS TO BE OBTAINED BY ATHENE ANNUITY AND LIFE COMPANY, OWNERS OF THE ATHENE ANNUITY AND LIFE COMPANY’S PRODUCTS, OR ANY OTHER PERSON OR ENTITY FROM THE USE OF THE S&P 500® AND S&P DAILY RISK CONTROL 5%TM INDEX TR (TOTAL RETURN) OR WITH RESPECT TO ANY DATA RELATED THERETO. WITHOUT LIMITING ANY OF THE FOREGOING, IN NO EVENT WHATSOEVER SHALL S&P DOW JONES INDICES BE LIABLE FOR ANY INDIRECT, SPECIAL, INCIDENTAL, PUNITIVE, OR CONSEQUENTIAL DAMAGES INCLUDING BUT NOT LIMITED TO, LOSS OF PROFITS, TRADING LOSSES, LOST TIME OR GOODWILL, EVEN IF THEY HAVE BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES, WHETHER IN CONTRACT, TORT, STRICT LIABILITY, OR OTHERWISE. THERE ARE NO THIRD PARTY BENEFICIARIES OF ANY AGREEMENTS OR ARRANGEMENTS BETWEEN S&P DOW JONES INDICES AND ATHENE ANNUITY AND LIFE COMPANY, OTHER THAN THE LICENSORS OF S&P DOW JONES INDICES.This material is a general description intended for general public use. Athene Annuity and Life Company (61689), headquartered in West Des Moines, Iowa, and issuing annuities in 49 states (excluding NY) and D.C., is not undertaking to provide investment advice for any individual or in any individual situation, and therefore nothing in this should be read as investment advice. Please reach out to your financial professional if you have any questions about Athene products or their features. The term “financial professional” is not intended to imply engagement in an advisory business with compensation unrelated to sales. Financial professionals will be paid a commission on the sale of an Athene annuity.

ATHENE ANNUITIES ARE A PRODUCT OF THE INSURANCE INDUSTRY AND NOT GUARANTEED BY ANY BANK NOR INSURED BY FDIC OR NCUA/NCUSIF. MAY LOSE VALUE. NO BANK/CREDIT UNION GUARANTEE. NOT A DEPOSIT. NOT INSURED BY ANY FEDERAL GOVERNMENT AGENCY. MAY ONLY BE OFFERED BY A LICENSED INSURANCE AGENT.This insert must be accompanied by the applicable product brochure and Certificate of Disclosure which provide more detailed product information, including all charges or limitations as well as definitions of capitalized terms.

Not for use in OR.

The AI Powered US Equity Index (Ticker Symbol: AIPEX) is a new kind of equity strategy built by IBM Watson®. WatsonTM enables AiPEX to look at equity markets the way people do. People make market decisions by analyzing information they find in financial statements, news articles and the like. AiPEX does too, except it analyzes millions of data sources each day, around the clock. And thanks to Watson, it’s able to continuously learn and improve as new information becomes available.

Intelligent by design• Rather than relying on one analyst’s opinion, AiPEX selects stocks based on the insights of an army of

simulated researchers and traders in complete coordination, allowing for information learned by one to be instantly available to all.

• Each month, the index seeks to identify and include companies whose stock prices are poised for growth using a three-step automated selection process that scores, selects and weighs companies according to their growth potential. It’s modeled after a traditional actively managed approach, only thousands of times faster and broader in scope.

• The index uses a 6% risk control mechanism to reduce the impact of short-term volatility by managing your exposure to the index on a daily basis.*

How you earn interestInterest credits, if any, are based in part on the performance of the AI Powered US Equity Index during each Index Term Period, subject to a Participation Rate.

Once earned, interest credits are locked in and cannot be lost to future market downturns. You will never receive less than 0% interest in any crediting period.

Choosing an interest crediting strategy in your Athene fixed indexed annuityThe AI Powered US Equity Index may be appropriate for you if you want an index that seeks to:

• Harness the power of AI to capitalize on equity market opportunities.

• Utilize big data, keeping pace with today’s market volume and complexities to make informed decisions.

• Manage the risk of volatility in the underlying index with a volatility control mechanism.

This material is provided by Athene Annuity and Life Company (61689) headquartered in West Des Moines, Iowa, which issues annuities in 49 states (excluding NY) and D.C., and Athene Annuity & Life Assurance Company of New York (68039) headquartered in Pearl River, New York, which issues annuities in New York. Products not available in all states.23001 (02/03/20)

Capture growth potential intelligently

AI Powered US Equity Index

Let AI guide you toward smoother, more consistent returns

AI Powered US Equity Index: Hypothetical Index Values

S&P 500® Price Return Index

AIPEX Index

The AI Powered US Equity Index inception date is 08/09/2019. This scenario illustrates pre-inception performance data of the Index, as provided by HSBC, based on the hypothetical closing index data from 12/31/2004 through 08/08/2019 and actual performance data after the inception date through 12/31/2019.

Index performance reflects back-tested results, which is not actual performance, but is calculated by applying the index methodology (designed with the benefit of hindsight) to historical financial data. While the index did not exist during this time period, the components did. Back-tested performance is hypothetical and has been provided for informational purposes only. It is not intended to predict future performance and actual performance will vary, perhaps materially, from the hypothetical performance shown above. The hypothetical performance of the index does not correlate directly to index credits. Please refer to the Index Strategy Insert for more information about how interest is credited.

Four great companies at work for you

HSBC: One of the world’s largest banking and financial services companies, HSBC has connected over 40 million customers to opportunities since 1865. HSBC is the sponsor of the AiPEX index.

EquBot: The first team to develop and market an AI-based ETF, their proprietary algorithms and multiple AI cognitive computing platforms are the driving force behind the AiPEX methodology.

IBM Watson: A platform representing a new era in computing where systems understand the world the way humans do — through intuition, learning and experience.

Athene: A leader in fixed indexed annuity sales known for bringing innovative products to market.

Want to learn More?

Visit aipex.gbm.hsbc.com. Then, contact your Athene financial professional to see how this innovative index, through the power of AI, can help simplify investing in today’s technologically advanced world.

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AI: At work in your life

• Medical screenings and clinical trials

• GPS navigation

• Visual recognition

• Fraud protection

• Mobile banking and more!

ibm.com/watson/about

http://aipex.gbm.hsbc.com

http://ibm.com/watson/about

* AiPEX is an excess return index. The return of AiPEX is determined by reference to the performance of the Base Index (as adjusted based on the applicable exposure) in excess of the performance of a reference rate, the USD 3-month LIBOR rate. Because this index applies a volatility control mechanism, the range of both the positive and negative performance of the index is limited.

While there is no stated Cap Rate with this strategy, certain limitations such as a Participation Rate will apply. Interest credits, if any, are calculated and credited at the end of the Index Term Period. Interest credits are based upon the point-to-point movements of this index over the Index Term Period, subject to stated limitations. It is possible that the interest earned may be zero. Index Crediting strategies may be added or eliminated at the company’s discretion, and may not be available in all states.. If a strategy is eliminated, its value will be reallocated to the Fixed Strategy. Fixed indexed annuities are not stock market investments and do not directly participate in any stock or equity investments. Market indices may not include dividends paid on the underlying stocks, and therefore may not reflect the total return of the underlying stocks; neither an Index nor any market-indexed annuity is comparable to a direct investment in the equity markets. Clients who purchase indexed annuities are not directly investing in a stock market index.IBM Watson® • IBM and IBM Watson are registered trademarks of International Business Machines Corporation, registered in many jurisdictions worldwide.AI Powered US Equity Index • The AI Powered US Equity Index (the “AiPEX Index”) is the exclusive property of EquBot Inc. (“EquBot”) and administered, calculated, and published by Solactive AG. EquBot, AiPEX, and “AI Powered US Equity Index” (collectively, the “AiPEX Marks”) are trademarks or service marks of EquBot and have been licensed by HSBC and sub-licensed by Athene Annuity and Life Company (the “Company”) for use in a fixed indexed annuity offered by the Company. The fixed indexed annuity is not, in whole or in part, sponsored, structured, priced, endorsed, offered, sold, issued or promoted by EquBot or HSBC or any of their affiliates. EquBot and HSBC’s only relationship to the Company is the licensing of the AiPEX Index and AiPEX Marks for certain purposes. EquBot and HSBC shall not have any liability with respect to a fixed indexed annuity in which an interest crediting option is based on the AiPEX Index and are not liable for any loss relating to the fixed indexed annuity, whether arising directly or indirectly from the use of the AiPEX Index, its methodology, any AiPEX Mark or otherwise. Neither EquBot nor HSBC has any obligation to take into consideration any of the needs of the Company or any of the owners, annuitants or beneficiaries of the fixed indexed annuity, in designing, calculating, administering or licensing the AiPEX Index. NEITHER EQUBOT, HSBC, SOLACTIVE AG, OR THEIR SUPPLIERS GUARANTEES THE ACCURACY, ADEQUACY, TIMELINESS, COMPLETENESS OR AVAILABILITY OF THE AIPEX INDEX OR ANY COMPONENT THEREOF OR DATA INCLUDED THEREIN, OR THAT NO ERROR, OMISSION, DELAY OR INTERRUPTION WILL EXIST THEREIN. NEITHER HSBC NOR EQUBOT OR THEIR SUPPLIERS, MAKES ANY REPRESENTATION OR WARRANTY, AND EACH OF HSBC AND EQUBOT AND THEIR SUPPLIERS EXPRESSLY DISCLAIMS ALL REPRESENTATIONS AND WARRANTIES, EXPRESS OR IMPLIED, INCLUDING, WITHOUT LIMITATION, THOSE REGARDING (I) MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR USE, OR (II) THE ADVISABILITY OF ANY PERSON INVESTING IN THE FIXED INDEXED ANNUITY. No purchaser, seller or holder of the fixed indexed annuity, or any other person or entity, should use or refer to any AiPEX Mark or other EquBot trade name to sponsor, endorse, market or promote the fixed indexed annuity without a license from EquBot and HSBC. Under no circumstances may any person or entity claim any affiliation or association with EquBot or HSBC without the prior written permission of EquBot or HSBC. In calculating the performance of the AiPEX Index, EquBot deducts a servicing cost of 0.50% per annum, calculated on a daily basis. Such costs may vary over time with market conditions. These costs reduce the potential positive change in the AiPEX Index and thus the amount of interest that will be credited to the fixed indexed annuity option based on the AiPEX Index.The volatility control applied by EquBot may reduce the potential positive or negative change in the AiPEX Index and thus the amount of interest that will be credited to the fixed indexed annuity option that is based on the AiPEX Index. Nothing provided herein should be construed as HSBC or EquBot or their suppliers providing tax, legal, or investment advice nor is HSBC or its suppliers recommending engaging in any investment strategy or transaction.S&P 500® • The “S&P 500®” is a product of S&P Dow Jones Indices LLC, a division of S&P Global, or its affiliates (“SPDJI”) and has been licensed for use by Athene Annuity and Life Company. Standard & Poor’s® and S&P® are registered trademarks of Standard & Poor’s Financial Services LLC, a division of S&P Global (“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 Athene Annuity and Life Company. It is not possible to invest directly in an index. Athene Annuity and Life Company’s Products are not sponsored, endorsed, sold or promoted by SPDJI, Dow Jones, S&P, any of their respective affiliates (collectively, “S&P Dow Jones Indices”). S&P Dow Jones Indices do not make any representation or warranty, express or implied, to the owners of the Athene Annuity and Life Company’s Products or any member of the public regarding the advisability of investing in securities generally or in Athene Annuity and Life Company’s Products particularly or the ability of the S&P 500® to track general market performance. Past performance of an index is not an indication or guarantee of future results. S&P Dow Jones Indices only relationship to Athene Annuity and Life Company with respect to the S&P 500® is the licensing of the Index and certain trademarks, service marks and/or trade names of S&P Dow Jones Indices and/or its licensors. The S&P 500® is determined, composed and calculated by S&P Dow Jones Indices without regard to Athene Annuity and Life Company or the Athene Annuity and Life Company’s Products. S&P Dow Jones Indices have no obligation to take the needs of Athene Annuity and Life Company or the owners of Athene Annuity and Life Company’s Products into consideration in determining, composing or calculating the S&P 500®. S&P Dow Jones Indices are not responsible for and have not participated in the determination of the prices, and amount of Athene Annuity and Life Company’s Products or the timing of the issuance or sale of Athene Annuity and Life Company’s Products or in the determination or calculation of the equation by which Athene Annuity and Life Company’s Products is to be converted into cash, surrendered or redeemed, as the case may be. S&P Dow Jones Indices has no obligation or liability in connection with the administration, marketing or trading of Athene Annuity and Life Company’s Products. There is no assurance that investment products based on the S&P 500® will accurately track index performance or provide positive investment returns. S&P Dow Jones Indices LLC is not an investment or tax advisor. A tax advisor should be consulted to evaluate the impact of any tax-exempt securities on portfolios and the tax consequences of making any particular investment decision. Inclusion of a security within an index is not a recommendation by S&P Dow Jones Indices to buy, sell, or hold such security, nor is it considered to be investment advice.

NEITHER S&P DOW JONES INDICES NOR THIRD PARTY LICENSORGUARANTEES THE ADEQUACY, ACCURACY, TIMELINESS AND/OR THE COMPLETENESS OF THE S&P 500® OR ANY DATA RELATED THERETO OR ANY COMMUNICATION, INCLUDING BUT NOT LIMITED TO, ORAL OR WRITTEN COMMUNICATION (INCLUDING

ELECTRONIC COMMUNICATIONS) WITH RESPECT THERETO. S&P DOW JONES INDICES SHALL NOT BE SUBJECT TO ANY DAMAGES OR LIABILITY FOR ANY ERRORS, OMISSIONS, OR DELAYS THEREIN. S&P DOW JONES INDICES MAKES NO EXPRESS OR IMPLIED WARRANTIES, AND EXPRESSLY DISCLAIMS ALL WARRANTIES, OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR USE OR AS TO RESULTS TO BE OBTAINED BY ATHENE ANNUITY AND LIFE COMPANY, OWNERS OF THE ATHENE ANNUITY AND LIFE COMPANY’S PRODUCTS, OR ANY OTHER PERSON OR ENTITY FROM THE USE OF THE S&P 500® OR WITH RESPECT TO ANY DATA RELATED THERETO. WITHOUT LIMITING ANY OF THE FOREGOING, IN NO EVENT WHATSOEVER SHALL S&P DOW JONES INDICES BE LIABLE FOR ANY INDIRECT, SPECIAL, INCIDENTAL, PUNITIVE, OR CONSEQUENTIAL DAMAGES INCLUDING BUT NOT LIMITED TO, LOSS OF PROFITS, TRADING LOSSES, LOST TIME OR GOODWILL, EVEN IF THEY HAVE BEEN ADVISED OF THE POSSIBLITY OF SUCH DAMAGES, WHETHER IN CONTRACT, TORT, STRICT LIABILITY, OR OTHERWISE. THERE ARE NO THIRD PARTY BENEFICIARIES OF ANY AGREEMENTS OR ARRANGEMENTS BETWEEN S&P DOW JONES INDICES AND ATHENE ANNUITY AND LIFE COMPANY, OTHER THAN THE LICENSORS OF S&P DOW JONES INDICES.

This material is a general description intended for general public use. Athene Annuity and Life Company (61689), headquartered in West Des Moines, Iowa, and issuing annuities in 49 states (excluding NY) and D.C., is not undertaking to provide investment advice for any individual or in any individual situation, and therefore nothing in this should be read as investment advice. Please reach out to your financial professional if you have any questions about Athene products or their features.

The term “financial professional” is not intended to imply engagement in an advisory business with compensation unrelated to sales. Financial professionals will be paid a commission on the sale of an Athene annuity.

ATHENE ANNUITIES ARE A PRODUCT OF THE INSURANCE INDUSTRY AND NOT GUARANTEED BY ANY BANK NOR INSURED BY FDIC OR NCUA/NCUSIF. MAY LOSE VALUE. NO BANK/CREDIT UNION GUARANTEE. NOT A DEPOSIT. NOT INSURED BY ANY FEDERAL GOVERNMENT AGENCY. MAY ONLY BE OFFERED BY A LICENSED INSURANCE AGENT.This insert must be accompanied by the applicable product brochure and Certificate of Disclosure which provide more detailed product information, including all charges or limitations as well as definitions of capitalized terms.Not for use in OR.




Athene.com



23001 (02/03/20)

Looking for the opportunity to pursue interest credits based on a global measure of market performance? Consider a crediting strategy powered by the BNP Paribas Multi Asset Diversified (MAD) 5 Index (Ticker Symbol: BNPIMAD5).

Maintaining a diversified portfolio has long been considered an effective strategy for managing market risk. This index seeks stable, risk-adjusted returns in all market environments by measuring the performance of a diverse range of asset classes in several geographic regions. It is dynamically rebalanced on a daily basis using momentum investing principles with a volatility filter.

A diversified approach• This index offers eight underlying components — three equity futures indices, three bond

futures indices and two commodity indices represent generally non-correlated assets across three geographic regions: the United States, Europe and Japan.

• The index rebalances its underlying components on a daily basis, using a rules-based methodology that seeks a hypothetical portfolio with the highest past returns1 subject to volatility and weighting constraints.2

• The index uses a 5% risk control mechanism to reduce the impact of short-term volatile markets through daily re-allocation between equities and cash.3

How you earn interestPotential interest credits are based in part on the performance of the BNPP MAD 5 Index during each Index Term Period, subject to a Participation Rate.


Choosing an interest crediting strategy in your Athene fixed indexed annuity The BNPP MAD 5 Index may be appropriate for you if you want an index that seeks to:

• Achieve global diversification within an individual index.

• Maintain exposure to the performance of multiple asset classes.

• Manage the risk of volatility in the underlying index with a volatility control mechanism.


Pursue growth opportunities through global diversification

BNP Paribas Multi Asset Diversified 5 Index

A multi-asset index designed for consistent, risk-adjusted returns in all market environments

BNP Paribas Multi Asset Diversified (MAD) 5 Index: Hypothetical Index Values


BNPP MAD 5

The BNP Paribas Multi Asset Diversified 5 Index inception date is 01/15/2016. This scenario illustrates both pre-inception performance data of the Index, as provided by BNP, based on the hypothetical closing index data from 12/31/2004 through 01/14/2016 and actual performance data after the inception date through 12/31/2019.

Index performance reflects back-tested results, which is not actual performance but is calculated by applying the index methodology (designed with the benefit of hindsight) to historical financial data. While the index did not exist during this time period, the components did. Back-tested performance is hypothetical and has been provided for informational purposes only. It is not intended to predict future performance and actual performance will vary, perhaps materially, from the hypothetical performance shown above. The hypothetical performance of the index does not correlate directly to index credits. Please refer to the Index Strategy Insert for more information about how interest is credited.

United for a changing world

BNP Paribas: The world’s third-largest bank as measured by total assets, BNP Paribas is a global provider of banking and financial services with operations in 75 countries, including Europe and the United States. Its three major business lines, which include Corporate and Institutional Banking, Domestic Markets and International Financial Services, provide a substantial diversified asset base.


Want to learn More?

Visit madindex.bnpparibas.com. Then, contact your Athene financial professional to see how this innovative index can help you pursue growth through global diversify.

Key Facts

13,000 corporate and institutional clients

192,000 employees

20 million retail customers worldwide

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1 Computed based on a trend indicator that compares current component level to past component level over a one-year period.2 The BNPP MAD 5 Index is an “Excess Return Index,” meaning its returns are derived from changes in the price of its underlying components (known as “price

return”) and profit or loss gained from rolling from one futures contract to another (known as “roll return”). Unlike Total Return Indices, it does not derive returns based on interest earned on cash or other collateral deposited in connection with the purchase of futures contracts (known as “collateral return”).

3 Because this index applies a volatility control mechanism, the range of both the positive and negative performance of the index is limited.

While there is no stated Cap Rate with this strategy, certain limitations such as a Participation Rate will apply. Interest credits, if any, are calculated and credited at the end of the Index Term Period. Interest credits are based upon the point-to-point movements of this index over the Index Term Period, subject to stated limitations. It is possible that the interest earned may be zero. Index Crediting strategies may be added or eliminated at the company’s discretion, and may not be available in all states. If a strategy is eliminated, its value will be reallocated to the Fixed Strategy.

Fixed indexed annuities are not stock market investments and do not directly participate in any stock or equity investments. Market indices may not include dividends paid on the underlying stocks, and therefore may not reflect the total return of the underlying stocks; neither an Index nor any market-indexed annuity is comparable to a direct investment in the equity markets. Clients who purchase indexed annuities are not directly investing in a stock market index.BNP Paribas Multi Asset Diversified 5 Index • The BNP Paribas Multi Asset Diversified 5 Index (the “BNPP MAD 5 Index”) is the exclusive property of BNP Paribas or one of its affiliates (BNP Paribas and its affiliates collectively, are hereinafter called “BNPP”) and is determined, composed and calculated by BNPP. “BNP”, “BNPP”, “BNP Paribas”, “BNPP MAD 5 Index” and “BNP Paribas Multi Asset Diversified 5 Index” (collectively, the “BNPP Marks”) are trademarks or service marks of BNPP and have been licensed by Athene Annuity and Life Company (“Company”) for use in a fixed indexed annuity offered by the Company (the “fixed indexed annuity”). The fixed indexed annuity is not, in whole or in part, sponsored, structured, priced, endorsed, offered, sold, issued or promoted by BNPP or any of its affiliates, or by Standard and Poor’s or any of its affiliates (collectively, “S&P”) or by any third party licensor of information to BNPP (the “Third Party Licensors”). BNPP’s only relationship to the Company is the licensing of the BNPP MAD 5 Index and BNPP Marks for certain purposes. S&P®, S&P 500® and S&P GSCI® are trademarks of Standard & Poor’s Financial Services LLC and have been licensed for use by BNPP. None of S&P, BNPP or any Third Party Licensors has any obligation to take into consideration any of the needs of the Company or any of the owners, annuitants or beneficiaries of the fixed index annuity. BNPP, S&P OR ANY THIRD PARTY LICENSOR DOES NOT GUARANTEE THE ACCURACY, ADEQUACY, TIMELINESS, COMPLETENESS OR AVAILABILITY OF THE BNPP MAD 5 INDEX OR ANY COMPONENT THEREOF OR DATA INCLUDED THEREIN, OR THAT NO ERROR, OMISSION, DELAY OR INTERRUPTION WILL EXIST THEREIN. NONE OF BNPP, S&P OR ANY THIRD PARTY LICENSOR MAKES ANY REPRESENTATION OR WARRANTY, AND EACH OF BNPP, S&P AND THE THIRD PARTY LICENSORS EXPRESSLY DISCLAIMS ALL REPRESENTATIONS AND WARRANTIES, EXPRESS OR IMPLIED, REGARDING THE BNPP MAD 5 INDEX, ANY BNPP MARK, AN S&P INDEX, TRADEMARK (INCLUDING S&P 500® OR THE S&P GSCI®) OR SERVICE MARK OF S&P (COLLECTIVELY, THE “S&P MARKS”) OR THE FIXED INDEXED ANNUITY, INCLUDING, WITHOUT LIMITATION, THOSE REGARDING (I) MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR USE, OR (II) THE ADVISABILITY OF ANY PERSON INVESTING IN THE FIXED INDEXED ANNUITY.BNPP, S&P or any Third Party Licensor does not have any liability with respect to the fixed indexed annuity in which an interest crediting option is based on the BNPP MAD 5 Index is included, and is not liable for any loss relating to the fixed indexed annuity, whether arising directly or indirectly from the use of the BNPP MAD 5 Index, its methodology, any BNPP Mark or S&P Mark or otherwise. No purchaser, seller or holder of the fixed indexed annuity, or any other person or entity, should use or refer to any BNPP Mark or other BNPP trade name to sponsor, endorse, market or promote the fixed indexed annuity without first contacting BNPP. Under no circumstances may any person or entity claim any affiliation with BNPP without the prior written permission of BNPP.In calculating the performance of the BNPP MAD 5 Index, BNPP deducts a servicing cost of 0.50% per annum, calculated on a daily basis. In addition, the BNPP MAD 5 Index methodology embeds certain costs which cover among other things, rebalancing and replication costs. Such costs may vary over time with market conditions. These costs reduce the potential positive change in the BNPP MAD 5 Index and thus the amount of interest that will be credited to the fixed indexed annuity that includes the BNPP MAD 5 Index.The volatility control applied by BNPP may reduce the potential positive or negative change in the BNPP MAD 5 Index and thus the amount of interest that will be credited to the fixed indexed annuity that includes the BNPP MAD 5 Index.S&P 500® • The “S&P 500®” is a product of S&P Dow Jones Indices LLC, a division of S&P Global, or its affiliates (“SPDJI”) and has been licensed for use by Athene Annuity and Life Company. Standard & Poor’s® and S&P® are registered trademarks of Standard & Poor’s Financial Services LLC, a division of S&P Global (“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 Athene Annuity and Life Company. It is not possible to invest directly in an index. Athene Annuity and Life Company’s Products are not sponsored, endorsed, sold or promoted by SPDJI, Dow Jones, S&P, any of their respective affiliates (collectively, “S&P Dow Jones Indices”). S&P Dow Jones Indices do not make any representation or warranty, express or implied, to the owners of the Athene Annuity and Life Company’s Products or any member of the public regarding the advisability of investing in securities generally or in Athene Annuity and Life Company’s Products particularly or the ability of the S&P 500® to track general market performance. Past performance of an index is not an indication or guarantee of future results. S&P Dow Jones Indices only relationship to Athene Annuity and Life Company with respect to the S&P 500® is the licensing of the Index and certain trademarks, service marks and/or trade names of S&P Dow Jones Indices and/or its licensors. The S&P 500® is determined, composed and calculated by S&P Dow Jones Indices without regard to Athene Annuity and Life Company or the Athene Annuity and Life Company’s Products. S&P Dow Jones Indices have no obligation to take the needs of Athene Annuity and Life Company or the owners of Athene Annuity and Life Company’s Products into consideration in determining, composing or calculating the S&P 500®. S&P Dow Jones Indices are not responsible for and have not participated in the determination of the prices, and amount of Athene Annuity and Life Company’s Products or the timing of the issuance or sale of Athene Annuity and Life Company’s Products or in the determination or calculation of the equation by which Athene Annuity and Life Company’s Products is to be converted into cash, surrendered or redeemed, as the case may be. S&P Dow Jones Indices has no obligation or liability in connection with the administration, marketing or trading of Athene Annuity and Life Company’s Products. There is no assurance that investment products based on the S&P 500® will accurately track index performance or provide positive investment returns. S&P Dow Jones Indices LLC is not

an investment or tax advisor. A tax advisor should be consulted to evaluate the impact of any tax-exempt securities on portfolios and the tax consequences of making any particular investment decision. Inclusion of a security within an index is not a recommendation by S&P Dow Jones Indices to buy, sell, or hold such security, nor is it considered to be investment advice.

NEITHER S&P DOW JONES INDICES NOR THIRD PARTY LICENSORGUARANTEES THE ADEQUACY, ACCURACY, TIMELINESS AND/OR THE COMPLETENESS OF THE S&P 500® OR ANY DATA RELATED THERETO OR ANY COMMUNICATION, INCLUDING BUT NOT LIMITED TO, ORAL OR WRITTEN COMMUNICATION (INCLUDING ELECTRONIC COMMUNICATIONS) WITH RESPECT THERETO. S&P DOW JONES INDICES SHALL NOT BE SUBJECT TO ANY DAMAGES OR LIABILITY FOR ANY ERRORS, OMISSIONS, OR DELAYS THEREIN. S&P DOW JONES INDICES MAKES NO EXPRESS OR IMPLIED WARRANTIES, AND EXPRESSLY DISCLAIMS ALL WARRANTIES, OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR USE OR AS TO RESULTS TO BE OBTAINED BY ATHENE ANNUITY AND LIFE COMPANY, OWNERS OF THE ATHENE ANNUITY AND LIFE COMPANY’S PRODUCTS, OR ANY OTHER PERSON OR ENTITY FROM THE USE OF THE S&P 500® OR WITH RESPECT TO ANY DATA RELATED THERETO. WITHOUT LIMITING ANY OF THE FOREGOING, IN NO EVENT WHATSOEVER SHALL S&P DOW JONES INDICES BE LIABLE FOR ANY INDIRECT, SPECIAL, INCIDENTAL, PUNITIVE, OR CONSEQUENTIAL DAMAGES INCLUDING BUT NOT LIMITED TO, LOSS OF PROFITS, TRADING LOSSES, LOST TIME OR GOODWILL, EVEN IF THEY HAVE BEEN ADVISED OF THE POSSIBLITY OF SUCH DAMAGES, WHETHER IN CONTRACT, TORT, STRICT LIABILITY, OR OTHERWISE. THERE ARE NO THIRD PARTY BENEFICIARIES OF ANY AGREEMENTS OR ARRANGEMENTS BETWEEN S&P DOW JONES INDICES AND ATHENE ANNUITY AND LIFE COMPANY, OTHER THAN THE LICENSORS OF S&P DOW JONES INDICES.







Athene.com



22140 (02/03/20)

Put technology to work for your retirement with the Nasdaq FC Index (Ticker Symbol: BOFANFCC). This innovative index is powered by Fast Convergence (FC) technology pioneered by Bank of America (BofA), a global leader in financial services.Today, markets move at a pace that’s faster than even the savviest investors. FC technology is designed to adapt to changing economic conditions more quickly and efficiently. The Nasdaq FC Index applies this groundbreaking technology to the stocks in the Nasdaq-100, home to world-class innovators like Apple, Amazon, Google and Netflix.1 For the first time, this powerful combination is being used with the goal of improving performance potential within a fixed indexed annuity.

Innovation at work• This rules-based index systematically monitors market movement and rebalances throughout the

trading day, using only equities in its construction.

• The index uses FC technology, a patent-pending methodology, that aims to outperform traditional volatility control methods by responding faster in both up and down markets to target a 12.5% annualized volatility.

• To improve participation rates, this index imposes a 4% cap each day on returns for the preceding one-month period.2 The daily rebalancing follows a path similar to dollar cost averaging, which prudently balances risks and returns and smooths out your exposure to the monthly performance control mechanism.

How you earn interestInterest credits, if any, are based in part on the performance of the Nasdaq FC Index during each Index Term Period, subject to a Participation Rate.


Choosing an interest crediting strategy in your Athene fixed indexed annuityThe Nasdaq FC Index may be appropriate for you if you want an index that seeks to:

• Quickly adapt to changing market conditions.

• Harness the performance of one of the world’s preeminent large cap growth indexes.

• Manage volatility risk in the underlying index through intraday rebalancing powered by FC technology.


The power to put technology to work

Nasdaq FC Index

Fast Convergence technology: stability + performance

Nasdaq FC Index: Hypothetical Index Values


BOFANFCC Index

The Nasdaq FC Index inception date is 01/29/2020. This scenario illustrates pre-inception performance data of the Index, as provided by Bloomberg, BofA Securities, based on the hypothetical closing index data from 12/31/2005 through 12/31/2019.

Index performance reflects back-tested results, which is not actual performance, but is calculated by applying the index methodology (designed with the benefit of hindsight) to historical financial data. While the index did not exist during this time period, the components did. Back-tested performance is hypothetical and has been provided for informational purposes only. It is not intended to predict future performance and actual performance will vary, perhaps materially, from the hypothetical performance shown above. The hypothetical performance of the index does not correlate directly to index credits. Please refer to the Index Strategy Insert for more information about how interest is credited.

Partnering in innovation

Bank of America (BofA): One of the most recognizable U.S. based financial services brands serving approximately 66 million consumers and small business clients worldwide.

Nasdaq: The Nasdaq-100 Index is home to some of the world’s most recognizable companies — all at the forefront of innovation with unique ideas and robust business solutions.1


Want to learn More?

Visit NasdaqFC.ml.com. Then, contact your Athene financial professional to see how this innovative index can put technology to work for you.

Key Facts

Nasdaq-100 A proven history of growth, impact and performance.1

54% weighted in technology companies consisting of…

• 24% Consumer Services

• 11% Healthcare

• 5% Consumer goods

• 4% Industrial

1 www.nasdaq.com/nasdaq-100/innovation, as of December 31, 2019.

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2 Nasdaq FC is an excess return index. The return of the index is determined by reference to the performance of the Base Index (as adjusted based on the applicable exposure) in excess of the performance of a reference rate, the USD 3-month LIBOR rate. The Index features a performance control mechanism that limits its maximum growth potential within any given month. Consumers may therefore forego part of the growth of the Index if it rises beyond this limit within a month. Because this index applies a volatility control mechanism, the range of both the positive and negative performance of the index is limited.

While there is no stated Cap Rate with this strategy, certain limitations such as a Participation Rate will apply. Interest credits, if any, are calculated and credited at the end of the Index Term Period. Interest credits are based upon the point-to-point movements of this index over the Index Term Period, subject to stated limitations. It is possible that the interest earned may be zero. Index Crediting strategies may be added or eliminated at the company’s discretion, and may not be available in all states. If a strategy is eliminated, its value will be reallocated to the Fixed Strategy.

Fixed indexed annuities are not stock market investments and do not directly participate in any stock or equity investments. Market indices may not include dividends paid on the underlying stocks, and therefore may not reflect the total return of the underlying stocks; neither an Index nor any market-indexed annuity is comparable to a direct investment in the equity markets. Clients who purchase indexed annuities are not directly investing in a stock market index.

Nasdaq FC Index • Athene Annuity and Life Company’s Product (“Product”) is not sponsored, endorsed, sold or promoted by BofA Securities, Inc. or its affiliates (“BofAS”). BofAS has not passed on the legality or suitability of, or the accuracy or adequacy of descriptions and disclosures relating to, the Product, nor makes any representation or warranty, express or implied, to the owners of the Product or any member of the public regarding the Product or the advisability of purchasing the Product, particularly the ability of the NASDAQ FC Index (“Index”) to track performance of any market or strategy. BofAS’s only relationship to Athene Annuity and Life Company (“Licensee”) is the licensing of certain trademarks and trade names and the Index or components thereof. The Index is determined, composed and calculated by BofAS without regard to the Licensee or the Product or its holders. BofAS has no obligation to take the needs of the Licensee or the holders of the Product into consideration in determining, composing or calculating the Index. BofAS is not responsible for and has not participated in the determination of the timing of, prices of, or quantities of the Product to be issued or in the determination or calculation of the equation by which the Product is to be priced, sold, or purchased, or redeemed. BofAS has no obligation or liability in connection with the administration or marketing of the Product. BOFAS DOES NOT GUARANTEE THE ACCURACY AND/OR THE COMPLETENESS OF THE INDEX OR ANY DATA INCLUDED THEREIN AND BOFAS SHALL HAVE NO LIABILITY FOR ANY ERRORS, OMISSIONS, UNAVAILABILITY, OR INTERRUPTIONS THEREIN. BOFAS MAKES NO WARRANTY, EXPRESS OR IMPLIED, AS TO RESULTS TO BE OBTAINED BY LICENSEE, HOLDERS OF THE PRODUCT OR ANY OTHER PERSON OR ENTITY FROM THE USE OF THE INDEX OR ANY DATA INCLUDED THEREIN. BOFAS MAKES NO EXPRESS OR IMPLIED WARRANTIES AND EXPRESSLY DISCLAIMS ALL WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR USE, WITH RESPECT TO THE INDEX OR ANY DATA INCLUDED THEREIN. WITHOUT LIMITING ANY OF THE FOREGOING, IN NO EVENT SHALL BOFAS HAVE ANY LIABILITY FOR ANY SPECIAL, PUNITIVE, INDIRECT, INCIDENTAL, CONSEQUENTIAL DAMAGES, OR LOST PROFITS, EVEN IF NOTIFIED OF THE POSSIBILITY OF SUCH DAMAGES. The Product is not sponsored, endorsed, sold or promoted by Nasdaq, Inc. or its affiliates (Nasdaq, with its affiliates, are referred to as the “Corporations”). The Corporations have not passed on the legality or suitability of, or the accuracy or adequacy of descriptions and disclosures relating to, the Product. The Corporations make no representation or warranty, express or implied to the owners of the Product or any member of the public regarding the advisability of investing in securities generally or in the Product particularly, or the ability of the NASDAQ-100 Index and NASDAQ FC Index to track general stock market performance. The Corporations’ only relationship to BofA Securities, Inc. (“BofAS”) is in the licensing of Nasdaq® and certain trade names of the Corporations and the use of the NASDAQ-100 Index which is determined, composed and calculated by Nasdaq without regard to BofAS or the Product. Nasdaq has no obligation to take the needs of BofAS or the owners of the Product into consideration in determining, composing or calculating the NASDAQ-100 Index. The Corporations are not responsible for and have not participated in the determination of the timing of, prices at, or quantities of the Product to be issued or in the determination or calculation of the equation by which the Product is to be converted into cash. The Corporations have no liability in connection with the administration, marketing or trading of the Product. THE CORPORATIONS DO NOT GUARANTEE THE ACCURACY AND/OR UNINTERRUPTED CALCULATION OF THE NASDAQ-100 INDEX OR ANY DATA INCLUDED THEREIN. THE CORPORATIONS MAKE NO WARRANTY, EXPRESS OR IMPLIED, AS TO RESULTS TO BE OBTAINED BY BOFAS, OWNERS OF THE PRODUCT, OR ANY OTHER PERSON OR ENTITY FROM THE USE OF THE NASDAQ-100 INDEX AND NASDAQ FC INDEX OR ANY DATA INCLUDED THEREIN. THE CORPORATIONS MAKE NO EXPRESS OR IMPLIED WARRANTIES, AND EXPRESSLY DISCLAIM ALL WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR USE WITH RESPECT TO THE NASDAQ-100 INDEX AND NASDAQ FC INDEX OR ANY DATA INCLUDED THEREIN. WITHOUT LIMITING ANY OF THE FOREGOING, IN NO EVENT SHALL THE CORPORATIONS HAVE ANY LIABILITY FOR ANY LOST PROFITS OR SPECIAL, INCIDENTAL, PUNITIVE, INDIRECT, OR CONSEQUENTIAL DAMAGES, EVEN IF NOTIFIED OF THE POSSIBILITY OF SUCH DAMAGES.S&P 500® • The “S&P 500®” is a product of S&P Dow Jones Indices LLC, a division of S&P Global, or its affiliates (“SPDJI”) and has been licensed for use by Athene Annuity and Life Company. Standard & Poor’s® and S&P® are registered trademarks of Standard & Poor’s Financial Services LLC, a division of S&P Global (“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 Athene Annuity and Life Company. It is not possible to invest directly in an index. Athene Annuity and Life Company’s Products are not sponsored, endorsed, sold or promoted by SPDJI, Dow Jones, S&P, any of their respective affiliates (collectively, “S&P Dow Jones Indices”). S&P Dow Jones Indices do not make any representation or warranty, express or implied, to the owners of the Athene Annuity and Life Company’s Products or any member of the public regarding the advisability of investing in securities generally or in Athene Annuity and Life Company’s Products particularly or the ability of the S&P 500® to track general market performance. Past performance of an index is not an indication or guarantee of future results. S&P Dow Jones Indices only relationship to Athene Annuity and Life Company with respect to the S&P 500® is the licensing of the Index and certain trademarks, service marks and/or trade names of S&P Dow Jones Indices and/or its licensors. The S&P 500® is determined, composed and calculated by S&P Dow Jones Indices without regard to Athene Annuity and Life Company or the Athene Annuity and Life Company’s Products. S&P Dow Jones Indices have no obligation to take the needs of Athene Annuity and Life Company or the owners of Athene Annuity and Life Company’s Products into consideration in determining, composing or calculating the S&P 500®. S&P Dow Jones Indices are not responsible for and have not participated in the determination of the prices, and amount of Athene Annuity and Life Company’s Products or the timing of the issuance or sale of Athene Annuity and Life Company’s Products or in the determination or calculation of the equation

by which Athene Annuity and Life Company’s Products is to be converted into cash, surrendered or redeemed, as the case may be. S&P Dow Jones Indices has no obligation or liability in connection with the administration, marketing or trading of Athene Annuity and Life Company’s Products. There is no assurance that investment products based on the S&P 500® will accurately track index performance or provide positive investment returns. S&P Dow Jones Indices LLC is not an investment or tax advisor. A tax advisor should be consulted to evaluate the impact of any tax-exempt securities on portfolios and the tax consequences of making any particular investment decision. Inclusion of a security within an index is not a recommendation by S&P Dow Jones Indices to buy, sell, or hold such security, nor is it considered to be investment advice.

NEITHER S&P DOW JONES INDICES NOR THIRD PARTY LICENSORGUARANTEES THE ADEQUACY, ACCURACY, TIMELINESS AND/OR THE COMPLETENESS OF THE S&P 500® OR ANY DATA RELATED THERETO OR ANY COMMUNICATION, INCLUDING BUT NOT LIMITED TO, ORAL OR WRITTEN COMMUNICATION (INCLUDING ELECTRONIC COMMUNICATIONS) WITH RESPECT THERETO. S&P DOW JONES INDICES SHALL NOT BE SUBJECT TO ANY DAMAGES OR LIABILITY FOR ANY ERRORS, OMISSIONS, OR DELAYS THEREIN. S&P DOW JONES INDICES MAKES NO EXPRESS OR IMPLIED WARRANTIES, AND EXPRESSLY DISCLAIMS ALL WARRANTIES, OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR USE OR AS TO RESULTS TO BE OBTAINED BY ATHENE ANNUITY AND LIFE COMPANY, OWNERS OF THE ATHENE ANNUITY AND LIFE COMPANY’S PRODUCTS, OR ANY OTHER PERSON OR ENTITY FROM THE USE OF THE S&P 500® OR WITH RESPECT TO ANY DATA RELATED THERETO. WITHOUT LIMITING ANY OF THE FOREGOING, IN NO EVENT WHATSOEVER SHALL S&P DOW JONES INDICES BE LIABLE FOR ANY INDIRECT, SPECIAL, INCIDENTAL, PUNITIVE, OR CONSEQUENTIAL DAMAGES INCLUDING BUT NOT LIMITED TO, LOSS OF PROFITS, TRADING LOSSES, LOST TIME OR GOODWILL, EVEN IF THEY HAVE BEEN ADVISED OF THE POSSIBLITY OF SUCH DAMAGES, WHETHER IN CONTRACT, TORT, STRICT LIABILITY, OR OTHERWISE. THERE ARE NO THIRD PARTY BENEFICIARIES OF ANY AGREEMENTS OR ARRANGEMENTS BETWEEN S&P DOW JONES INDICES AND ATHENE ANNUITY AND LIFE COMPANY, OTHER THAN THE LICENSORS OF S&P DOW JONES INDICES.







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athene’s guide to indices - annuityexpertadvice.com · 2020. 10. 13. · athene — a different...

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