In the accumulation phase of a variable deferred annuity, each premium payment purchases, after applicable contract charges are deducted, a number of accumulation units for each investment subaccountchosen by the contract holder.
The accumulation unit values of these accounts on the day his premium is received are set forth in the table below, along with the changes in the subaccounts that will occur when Mr.
During the accumulation phase premium payments are applied toward the purchase of accumulation units.
If variable benefits are to be received the accumulation units are first exchanged for annuity units.
As additional premiums are paid, the annuity holder is credited with additional accumulation units
Your units may either be income units or accumulation units
A local independent financial adviser can discuss the exact choice, but one possibility is Edinburgh Fund of Funds accumulation units
(0800 028 6789).
The initial charges are usually taken in initial/capital units, reduced unit allocation or accumulation units
The contribution or premium is allocated to accumulation Units
in the Fund at the offer price.
Variable annuity accumulation units
fluctuate according to underlying economic and market conditions.
Any contract "gain" is the result of increases in the value of the accumulation units
Investing in the variable accumulation units
of a variable insurance product involves risk.