Carl Is Concerned That If He Purchases an Equity Indexed

question 29

Multiple Choice

Carl is concerned that if he purchases an equity indexed annuity, he will lose money long-term if the stock index declines. Which equity indexed annuity provision assures Carl that he will not lose money if he holds the equity indexed annuity to term?

• A) the indexing method
• B) the participation rate
• C) the guaranteed minimum value
• D) the maximum rate cap

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Definitions:

Nutrient-rich Bottom Water

Deep waters that contain high concentrations of essential nutrients such as nitrogen and phosphorus, typically resulting from the decomposition of organic matter and critical for marine ecosystems.

Ocean's Surface

The interface between the ocean and the atmosphere, playing a critical role in climate regulation, gas exchange, and as a habitat for marine organisms.

Interior

Relating to the inner or indoor parts of a place, building, or object; can also refer to the inland regions of a country or area.

Continents

Large, continuous areas of land on Earth, traditionally numbered as seven major divisions.