Subaccount


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Subaccount

A term used in bookkeeping. For example, the insurance expense account may have various different subcategories such as building and property insurance, auto/fleet insurance, general liability, environmental, professional liability, law enforcement, and other insurance.

Subaccount

An account within an account. For example, funds in a subaccount may be available only to a certain person, or may be used only for a certain purpose.

Subaccount.

The separate account funds to which you allocate your variable annuity premiums are sometimes called subaccounts.

Each subaccount is managed by an investment specialist, or team of specialists, who make buy and sell decisions based on the subaccount's objective and their analysts' research.

If you're comparing different contracts to decide which to purchase, among the factors to consider are the variety of subaccounts each contract offers, the past performance of those subaccounts, the experience of the professional manager, and the fees.

In evaluating the past performance and other details of the subaccounts a contract offers, or those you select in the contract you choose, you can use the prospectus the annuity company provides for each subaccount. You may also be able to find independent research from firms such as Morningstar, Inc., Standard & Poor's, and Lipper. However, past performance is not indicative of future results.

References in periodicals archive ?
Also, the underlying insurance dedicated funds incur fund operating expenses, but these expenses are reflected in the daily unit value of each variable subaccount.
to Aegon USA Investment Management, LLC (AUIM) and additional variable annuity subaccount management changes.
We hope that the new Korea Subaccount will add significant value to technical assistance and training for beneficiary countries, while enhancing cooperation between Korea and the Fund, Deputy Prime Minister Hyun said at the ceremony.
What if Justin had gone a bit further in his salesmanship, and talked about a special "blend" of subaccounts that he recommends for all his variable annuity clients who are in Fred's age group?
MAS participated by a working paper on Saudi Arabia's experience in establishing a system of tourism information as well as preparing tourism subaccount in the Kingdom as "Guiding Model" for applying tourism subaccount.
The stability fund hasn't grown to the 5 percent threshold, so the capital subaccount is mostly dormant.
The bank also prepares 1099 forms at the end of the year and has a courier service to pick up deposits, which are posted to the subaccounts on the same day, Schwedhelm said, and checks can be cut or wire transfers made on instructions from the attorney.
Typically, the foreign banks have hundreds of subaccount holders.
The subaccount totals are divided by the number of months currently entered into the file, yielding a monthly average for spending on salaries, calibrators and standards, expendable supplies, etc.
In a variable annuity contract, investors pay both contract and subaccount fees.
Jackson continually reviews and updates the subaccount options available within Elite Access, enabling advisors to combine investments and strategies from several high-quality managers such as DoubleLine," said Alison Reed, senior vice president of Product and Investment Management for Jackson National Life Distributors, the distribution arm of Jackson.
i] Accountholders can allocate funds to all of the subaccounts as long as each subaccount has a minimum of 1% of each purchase payment.