Stagecoach XTra Credit SIX - Prudential Annuities

More documents

Recommendations

Info

Managing Your Account Value continued AMERICAN SKANDIA STAGECOACH XTRA CREDIT <strong>SIX</strong> PROSPECTUS amount (called the “Protected Principal Value”) against market downturns as of a specific date in the future, but also wish to exercise control of your available Account Value among the variable investment options to participate in market experience. Under the GRO Plus program, you give us the right to allocate amounts to Fixed Allocations as needed to support the guarantees provided. The available Account Value is the amount not allocated to the Fixed Allocations to support the guarantees provided. There is a fee associated with this program. See “Living Benefit Programs,” later in this Prospectus, for more information about this program. MAY I GIVE MY INVESTMENT PROFESSIONAL PERMISSION TO MANAGE MY ACCOUNT VALUE? Yes. Your Investment Professional may direct the allocation of your Account Value and request financial transactions between investment options while you are living, subject to our rules, and unless you tell us otherwise. If your Investment Professional has this authority, we deem that all transactions that are directed by your Investment Professional with respect to your Annuity have been authorized by you. You must contact us immediately if and when you revoke such authority. We will not be responsible for acting on instructions from your Investment Professional until we receive notification of the revocation of such person’s authority. We may also suspend, cancel or limit these privileges at any time. We will notify you if we do. MAY I AUTHORIZE MY THIRD PARTY INVEST- MENT ADVISOR TO MANAGE MY ACCOUNT? Yes. You may engage your own investment advisor to manage your account. These investment advisors may be firms or persons who also are appointed by us, or whose affiliated brokerdealers are appointed by us, as authorized sellers of the Annuity. Even if this is the case, however, please note that the investment advisor you engage to provide advice and/or make transfers for you, is not acting on our behalf, but rather is acting on your behalf. We do not offer advice about how to allocate your Account Value under any circumstance. As such, we are not responsible for any recommendations such investment advisors make, any investment models or asset allocation programs they choose to follow or any specific transfers they make on your behalf. Any fee that is charged by your investment advisor is in addition to the fees and expenses that apply under your Annuity. If you authorize your investment advisor to withdraw amounts from your Annuity (to the extent permitted) to pay for the investment advisor’s fee, as with any other withdrawal from your Annuity, you may incur adverse tax consequences, a CDSC and/or a Market Value Adjustment. Withdrawals to pay your investment advisor generally will also reduce the level of various living and death benefit guarantees provided (e.g. the withdrawals will reduce proportionately the Annuity’s guaranteed minimum death benefit.) We are not a party to the agreement you have with your investment advisor and do not verify that amounts withdrawn from your Annuity, including amounts withdrawn to pay for the investment advisor’s fee, are within the terms of your agreement with your investment advisor. You will, however, receive confirmations of transactions that affect your Annuity. If your investment advisor has also acted as your investment professional with respect to the sale of your Annuity, he or she may be receiving compensation for services provided both as an Investment Professional and investment advisor. Alternatively, the investment advisor may compensate the Investment Professional from whom you purchased your Annuity for the referral that led you to enter into your investment advisory relationship with the investment advisor. If you are interested in the details about the compensation that your investment advisor and/or your Investment Professional receive in connection with your Annuity, you should ask them for more details. We or an affiliate of ours may provide administrative support to licensed, registered Investment Professionals or investment advisors who you authorize to make financial transactions on your behalf. We may require Investment Professionals or investment advisors, who are authorized by multiple contract owners to make financial transactions, to enter into an administrative agreement with American Skandia as a condition of our accepting transactions on your behalf. The administrative agreement may impose limitations on the Investment Professional’s or investment advisor’s ability to request financial transactions on your behalf. These limitations are intended to minimize the detrimental impact of an Investment Professional who is in a position to transfer large amounts of money for multiple clients in a particular Portfolio or type of portfolio or Contract described herein is no longer available for sale. 44
to comply with specific restrictions or limitations imposed by a Portfolio(s) of American Skandia. Contracts managed by your investment professional also are subject to the restrictions on transfers between investment options that are discussed in the section entitled “ARE THERE RESTRICTIONS OR CHARGES ON TRANSFERS BETWEEN INVESTMENT OPTIONS?”. Since transfer activity under contracts managed by an investment professional or third party investment advisor may result in unfavorable consequences to all contract owners invested in the affected options we reserve the right to limit the investment options available to a particular Owner whose contract is managed by the advisor or impose other transfer restrictions we deem necessary. The administrative agreement may limit the available investment options, require advance notice of large transactions, or impose other trading limitations on your investment professional. Your investment professional will be informed of all such restrictions on an ongoing basis. We may also require that your investment professional transmit all financial transactions using the electronic trading functionality available through our Internet website (www.americanskandia.prudential.com). Limitations that we may impose on your investment professional or investment advisor under the terms of the administrative agreement do not apply to financial transactions requested by an Owner on their own behalf, except as otherwise described in this Prospectus. HOW DO THE FIXED ALLOCATIONS WORK? We credit the fixed interest rate to the Fixed Allocation throughout a set period of time called a “Guarantee Period.” Fixed Allocations currently are offered with Guarantee Periods from 1 to 10 years. We may make Fixed Allocations of different durations available in the future including Fixed Allocations offered exclusively for use with certain optional investment programs. Fixed Allocations may not be available in all states and may not always be available for all Guarantee Periods depending on market factors and other considerations. The interest rate credited to a Fixed Allocation is the rate in effect when the Guarantee Period begins and does not change during the Guarantee Period. The rates are an effective annual rate of interest. We determine the interest rates for the various Guarantee Periods. At the time that we confirm your Fixed Allocation, we will advise you of the interest rate in effect and the date your Fixed Allocation matures. We may change the rates we credit new Fixed Allocations at any time. Any change in interest rate does not affect Fixed Allocations that were in effect before the date of the change. To inquire as to the current rates for Fixed Allocations, please call 1-800-752-6342. A Guarantee Period for a Fixed Allocation begins: • when all or part of a net Purchase Payment is allocated to that particular Guarantee Period; • upon transfer of any of your Account Value to a Fixed Allocation for that particular Guarantee Period; or • when you “renew” a Fixed Allocation by electing a new Guarantee Period. To the extent permitted by law, we may establish different interest rates for Fixed Allocations offered to a class of Owners who choose to participate in various optional investment programs we make available. This may include, but is not limited to, Owners who elect to use Fixed Allocations under a dollar cost averaging program (see “Do You Offer Dollar Cost Averaging?”) or a balanced investment program (see “Do you offer programs designed to guarantee a ”Return of Premium“ at a future date?”). The interest rate credited to Fixed Allocations offered to this class of purchasers may be different than those offered to other purchasers who choose the same Guarantee Period but who do not participate in an optional investment program. Any such program is at our sole discretion. American Skandia may offer Fixed Allocations with Guarantee Periods of 3 months or 6 months exclusively for use as a short-term Fixed Allocation (“Short-term Fixed Allocations”). Short-term Fixed Allocations may only be established with your initial Purchase Payment or additional Purchase Payments. You may not transfer existing Account Value to a Short-term Fixed Allocation. We reserve the right to terminate offering these special purpose Fixed Allocations at any time. On the Maturity Date of the Short-term Fixed Allocation, the Account Value will be transferred to the Sub-account(s) you choose at the inception of the program. If no instructions are provided, such Account Value will be transferred to the AST Money Market Sub-account. Short-term Fixed Allocations may not be renewed on the Maturity Date. If you surrender the Annuity or transfer any Account Value from the Short-term Fixed Allocation to any other investment option before the end of the Guarantee Period, a Market Value Adjustment will apply. Contract described herein is no longer available for sale. AMERICAN SKANDIA STAGECOACH XTRA CREDIT <strong>SIX</strong> PROSPECTUS 45
Page 1 and 2: Effective January 1, 2008, American
Page 3 and 4: Contents Introduction .............
Page 5 and 6: Introduction Why Would I Choose to
Page 7 and 8: Glossary of Terms Many terms used w
Page 9 and 10: The following table provides a summ
Page 11 and 12: OPTIONAL BENEFIT HIGHEST ANNIVERSAR
Page 13 and 14: UNDERLYING PORTFOLIO Wells Fargo Va
Page 15 and 16: (1) As noted above, shares of the P
Page 17 and 18: Expense Examples These examples are
Page 19 and 20: STYLE/ TYPE International Equity In
Page 21 and 22: STYLE/ TYPE Large Cap Growth Large
Page 23 and 24: STYLE/ TYPE Fixed Income Fixed Inco
Page 25 and 26: STYLE/ TYPE Mid Cap Growth Specialt
Page 27 and 28: STYLE/ TYPE Specialty Specialty Spe
Page 31 and 32: STYLE/ TYPE Specialty Specialty Lar
Page 35 and 36: Fees and Charges The charges under
Page 37 and 38: Account Value based on market fluct
Page 39 and 40: survivorship. Refer to the Glossary
Page 41 and 42: MAY I MAKE SCHEDULED PAYMENTS DIREC
Page 43 and 44: Additional Purchase Payment in Annu
Page 45 and 46: which such purchase and redemption
Page 47: DO YOU OFFER PROGRAMS DESIGNED TO G
Page 51 and 52: MVA Examples The following hypothet
Page 53 and 54: HOW MUCH CAN I WITHDRAW AS A FREE W
Page 55 and 56: of the applicable “Contingency Ev
Page 57 and 58: may apply, by the factor determined
Page 59 and 60: Living Benefit Programs DO YOU OFFE
Page 61 and 62: guaranteed amount based on your cur
Page 63 and 64: If a significant amount of your Acc
Page 65 and 66: GUARANTEED RETURN OPTION (GRO) The
Page 67 and 68: Special Considerations under the Gu
Page 69 and 70: The GMWB program does not affect yo
Page 71 and 72: Termination of the Program The prog
Page 73 and 74: • If you elect to step-up the Pro
Page 75 and 76: • Where allowed by law, we reserv
Page 77 and 78: greater than the Protected Withdraw
Page 79 and 80: • Remaining Annual Withdrawal Amo
Page 81 and 82: may terminate the program at any ti
Page 83 and 84: Calculation of Enhanced Beneficiary
Page 85 and 86: of either joint Owner or the Annuit
Page 87 and 88: AMERICAN SKANDIA’S ANNUITY REWARD
Page 89 and 90: of a decree of a court of competent
Page 91 and 92: stances beyond our control, our off
Page 93 and 94: Tax Considerations The tax consider
Page 95 and 96: exemptions unless you designate a d
Page 97 and 98: SEPs. SEPs are a variation on a sta
Page 99 and 100:
ERISA Disclosure/Requirements ERISA
Page 101 and 102:
Corporation Variable Account B, als
Page 103 and 104:
In addition, the investment adviser
Page 105 and 106:
facsimile, Internet or any other el
Page 107 and 108:
Appendix A — Condensed Financial
Page 109 and 110:
Year Ended December 31, Sub-account
Page 111 and 112:
Page 113 and 114:
Page 115 and 116:
Page 117 and 118:
Page 119 and 120:
Page 121 and 122:
Page 123 and 124:
Page 125 and 126:
Page 127 and 128:
Page 129 and 130:
Page 131 and 132:
Page 133 and 134:
Page 135 and 136:
Page 137 and 138:
Page 139 and 140:
Page 141 and 142:
Page 143 and 144:
Page 145 and 146:
Page 147 and 148:
Page 149 and 150:
Page 151 and 152:
Page 153 and 154:
Page 155 and 156:
Page 157 and 158:
1. Effective May 2, 2005 the name o
Page 159 and 160:
Appendix B — Calculation of Optio
Page 161 and 162:
Highest Anniversary Value = $90,000
Page 163 and 164:
Example with withdrawals Assume tha
Page 165 and 166:
Appendix C — Additional Informati
Page 167 and 168:
PLEASE SEND ME A STATEMENT OF ADDIT
Page 169 and 170:
NOTES Contract described herein is
Page 171 and 172:
NOTES Contract described herein is
Page 173 and 174:
IRA Disclosure Statement This state
Page 175 and 176:
the 10% penalty unless the excess c
Page 177 and 178:
AMERICAN SKANDIA’S PRIVACY POLICY
show all

Stagecoach XTra Credit SIX - Prudential Annuities

Create successful ePaper yourself

Delete template?

Save as template?