Target Growth 10SM

Target Growth 10SM is designed for customers looking for a strong accumulation solution that provides downside market protection.

 
When market index is up, annuity account value can rise. But when market index is down or flat, the annuity does not lose value.

This chart is a hypothetical representation of fixed index annuity (FIA) growth under varying market/index conditions and is not meant to represent the performance of any Delaware Life FIA product. It does not reflect any potential withdrawals or associated surrender charges. Interest credited to a FIA is subject to caps, spreads, and/or participation rates that affect the proportion of index gains the annuity captures. Account value is the sum of all premiums, plus accumulated interest, and minus the amount of any withdrawals. This is not a guarantee of performance and does not predict performance. Annuities do not participate directly in the stock market or any index. They are insurance products designed to help you prepare for the future.


Ways to grow your retirement money: fixed account and index-linked option(s)

Fixed rate

Payments allocated to this option will be credited with a fixed interest rate that is specified on the date the contract is effective. Each year, Delaware Life will declare new interest rates to reflect current conditions, but never less than a minimum guaranteed rate. If you want more certainty about the amount of interest that will be credited to your account value, this may be the choice for you.

Morgan Stanley Global Opportunities Index

This index uses a rules-based, multi-asset strategy and a trend-following methodology to make allocations to global equities, interest rates, and commodities. This approach is intended to diversify risk and balance exposure to various market risk factors to reduce the portfolio’s natural volatility. The index is managed to a 5% target volatility over the long term and may also include a cash allocation to reduce overall volatility.

Watch a video about the Morgan Stanley Global Opportunities Index

S&P 500® Index

For those who want to earn interest based on the performance of a range of large U.S. businesses, this index is widely regarded as a premier benchmark for the domestic stock market. It contains stocks from 500 leading companies in various industries.


First Trust Capital Strength® Barclays 5% Index

The First Trust Capital Strength® Barclays 5% Index creates a diversified portfolio by combining U.S. stocks selected based on capital strength methodology with a portfolio of four Barclays U.S. Treasury futures indexes. The index seeks to enhance return and manage risk exposure by adjusting the portfolio’s asset allocation on a monthly basis using techniques from modern portfolio theory. It aims to maintain an annual volatility level at or below 5%, using a procedure called volatility control, to further control risk.

View current fixed index annuity prices See prices
 

Ways to access your income:

Bailout

Target Growth 10SM includes a bailout benefit. The bailout provision allows you to withdraw the entire contract value of the annuity, without a surrender charge or market value adjustment (MVA), if the renewal cap for the one year point-to-point S&P 500® Index falls below the contract’s issue cap rate, which is declared at contract issue and will not change during the life of the contract. No allocation to the S&P 500® Index is required to receive bailout protection (on which your income is based).

The one year point-to-point with cap strategy is a crediting method whereby interest is credited annually based on the index return from one point in time to another, up to a maximum called the cap.

Free/periodic withdrawals1

After the first contract year, you can withdraw up to the greater of 10% of the last anniversary value of your account or the required minimum distributions (RMD) with no surrender charges or market value adjustment (MVA). MVA is an adjustment to the account for changes in the interest rate credited to the contract since inception that is applied to withdrawals and surrenders that exceed the 10% free withdrawal amount during the first 10 contract years. The exceptions to paying the early withdrawal charges are these scenarios:

  • If you are required to take RMDs starting at age 72
  • If, after the first contract anniversary, you need to make a one-time withdrawal to pay for a nursing home, hospice care, or a terminal illness, subject to restrictions

Surrender charges are paid on early withdrawals and surrenders based on a gradually decreasing schedule for each guarantee period year. Please see your product brochure or contract for more details about the 10-year surrender charge schedule.

MVA does not apply upon payment of a death benefit. MVA is subject to state availability and restrictions.

Withdrawals will reduce your future retirement earnings potential.

Minimum guaranteed surrender value

If you cash in, or surrender, your contract early (before the contract’s 10-year maturity date), you will be subject to surrender charges based on the 10-year surrender charge schedule. However, your contract’s Minimum Guaranteed Surrender Value (MGSV) will never be less than 87.5% of premiums paid, less any withdrawals and applicable withdrawal assessments, plus interest earned at the nonforfeiture rate stated in the contract. MGSV ends upon the annuity date or contract termination.

Annuity payments

For guaranteed income for life or for a specified period, you can choose from among several annuity payment options for you and your spouse (if you purchase a joint contract).

Other features:

Reallocation

You have the flexibility to reallocate your index strategies at the end of the crediting method term if your needs, goals, or risk tolerance shift over time. With a range of choices, this also gives you the ability to diversify in changing markets.

Guaranteed death benefit

If you die before you begin receiving annuity income payments, Target Growth 10SM guarantees that your beneficiary will receive at least the account value (including all the interest you’ve earned and minus any withdrawals taken) and may avoid probate.2

Index-linked options sponsored by a global leader

Morgan Stanley

Morgan Stanley is a leading global financial services firm with offices in New York City, London, Tokyo, Hong Kong, and other world financial centers. The firm provides investment banking, securities, wealth management, and investment management services to clients worldwide including corporations, governments, institutions, and individuals.

First Trust

At First Trust, their experience, history of innovation, and diversity of offerings are all part of their mission and are the only way they know to become a trusted financial professional. Because they consider each financial professional and their customers integral to their business, and truly our most valuable investment, they are committed to their best interests. They provide exceptional resources that help financial professionals define goals, solve problems, and develop long-term strategies to help their clients achieve their dreams and goals. They believe that this kind of leadership will provide the most fundamentally sound investment products and financial professional support available in today’s marketplace.

More about Target Growth 10SM

Guaranteed principal protects your retirement money and growth potential helps prepare for the expected – and unexpected – in retirement.

Unlike other retirement products, a fixed index annuity is not an investment in individual securities.

Footnotes

1If you withdraw your assets, your principal may be reduced by withdrawal and surrender charges, rider fees, and a market value adjustment (MVA). Charges will apply to the excess amount withdrawn in that contract year. Withdrawals may be subject to a MVA, which may decrease or increase your surrender value depending on how interest rates have changed since you first purchased your annuity (not applicable in every state). A MVA is an adjustment applied to withdrawals and surrenders in excess of the free annual withdrawal amount during the first seven contract years. MVA does not apply upon payment of death benefit. State variations may apply. Withdrawals are taxed as ordinary income, and you may have to pay a 10% federal tax penalty if you are younger than age 59½.

2The death benefit amount is the greater of the account value or minimum guaranteed surrender value. The death benefit is subject to adjustments for applicable charges and taxes.

Target Growth 10SM Legal Disclosure

All products and/or options may not be available in all states. Annuity contracts contain exclusions, limitations, reductions of benefits, and terms for keeping them in force. Your licensed financial professional can provide you with complete details. For use with policy forms ICC17-DLIC-FIA20-17 or DLIC-FIA20-17.

Target Growth 10SM is currently approved for sale in all states EXCEPT: NY and HI.

Standard & Poor's®

The Standard & Poor’s 500® (“S&P 500®”) is a product of S&P Dow Jones Indices LLC or its affiliates (“SPDJI”) and has been licensed for use by Delaware Life Insurance Company (“Delaware Life”). Standard & Poor’s® and S&P® are registered trademarks of Standard & Poor’s Financial Services LLC (“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 Delaware Life. Target Growth 10SM is not sponsored, endorsed, sold, or promoted by SPDJI, Dow Jones, S&P®, or their respective affiliates, and no such parties make any representation regarding the advisability of investing in such product(s) nor do they have any liability for any errors, omissions, or interruptions of the S&P 500®.

Morgan Stanley

There are risks associated with any product linked to the Morgan Stanley Global Opportunities Index (the “Index”):

  • Allocation to a crediting method using the Index provides the potential for interest to be credited based in part on the performance of the Index.
  • The Index may not increase in value due to a number of factors, and as a result, there may be no interest credited to the annuity contract.
  • Because the Index is managed to a volatility target, the Index performance will not match the performance of the underlying Index components and may dampen the performance of the Index in rising markets
  • The Index has a limited performance history, and past performance is no indication of future performance.
  • The Index may be comprised of a small number of index components at any given time, and the performance of the index involves risk associated with international and U.S. equities and bonds, commodities, and precious metals, which may impact the Index's value and the interest credited to the annuity contract.
  • Premium allocated to a crediting method using the Index is not a direct investment in stock markets, bond markets, commodities, precious metals, or in the index.
  • Purchasers of products linked to the index will have no access to the components underlying the Index.
  • The Index is calculated on excess return basis.

Note on simulated returns: The Index has a limited performance history, and as with any index, past performance is no indication of future performance. The Index has been in existence since July 20, 2017. Ending values in years prior to inception are determined by Morgan Stanley & Co. LLC on a hypothetical basis using statistical analysis and hypothetical circumstances to estimate how the Index may have performed. The actual future performance of the Index may vary significantly from the results obtained from the hypothetical analysis. Morgan Stanley provides no assurance or guarantee that any product linked to the Index will operate or would have operated in the past in a manner consistent with what is shown in these hypothetical examples. Actual future results will vary, perhaps materially, from the hypothetical values used and presented in this document. Certain index components existed for only a portion of the back-tested period; in such cases, substitute data has been used for portions of the simulation.

Disclaimer: This product is not sponsored, endorsed, sold, or promoted by Morgan Stanley or any of its affiliates. Neither Morgan Stanley nor any other party (including, without limitation, any calculation agents or data providers) makes any representation or warranty, express or implied, regarding the advisability of purchasing this product. The Morgan Stanley Global Opportunities Index (the “Index”) is the exclusive property of Morgan Stanley. Morgan Stanley and the Index are service marks of Morgan Stanley and have been licensed for use for certain purposes by Delaware Life Insurance Company. Morgan Stanley will not have any obligation or liability to owners of this product in connection with the administration or marketing of this product, and neither Morgan Stanley nor any other party guarantees the accuracy and/or the completeness of the Index or any data included therein. Morgan Stanley and its affiliates may engage in transactions involving components of the Index for their proprietary accounts and/or for accounts of their clients, which may affect the value of such components and the level of the Index.

Barclays and First Trust®

Neither Barclays Bank PLC ("BB PLC") nor any of its affiliates (collectively ‘Barclays’) is the issuer or producer of Delaware Life Target Growth 10SM fixed index annuity, and Barclays has no responsibilities, obligations, or duties to investors in Delaware Life Target Growth 10SM. The First Trust Capital Strength® Barclays 5% Index (the 'Index'), together with any Barclays indexes that are components of the Index, is a trademark owned by Barclays and, together with any component indexes and index data, is licensed for use by Delaware Life Insurance Company as the issuer or producer of Delaware Life Target Growth 10SM fixed index annuity (the 'Issuer').

Barclays’ only relationship with the Issuer in respect of the Index is the licensing of the Index, which is administered, compiled, and published by BB PLC in its role as the index sponsor (the ‘Index Sponsor’) without regard to the Issuer or the Delaware Life Target Growth 10SM or investors in the Delaware Life Target Growth 10SM. Additionally, Delaware Life Insurance Company as issuer or producer of Delaware Life Target Growth 10SM may for itself execute transaction(s) with Barclays in or relating to the Index in connection with Delaware Life Target Growth 10SM. Investors acquire Delaware Life Target Growth 10SM from Delaware Life Insurance Company, and investors neither acquire any interest in the Index nor enter into any relationship of any kind whatsoever with Barclays upon making an investment in Delaware Life Target Growth 10SM. The Delaware Life Target Growth 10SM is not sponsored, endorsed, sold, or promoted by Barclays, and Barclays makes no representation regarding the advisability of the Delaware Life Target Growth 10SM or use of the Index or any data included therein. Barclays shall not be liable in any way to the Issuer, investors. or other third parties in respect of the use or accuracy of the Index or any data included therein.

Barclays Index Administration (“BINDA”), a distinct function within BB PLC, is responsible for day-to-day governance of BB PLC’s activities as Index Sponsor.

To protect the integrity of Barclays’ indexes, BB PLC has in place a control framework designed to identify and remove and/or mitigate (as appropriate) conflicts of interest. Within the control framework, BINDA has the following specific responsibilities:

  • oversighteeing of any third-party index calculation agent;
  • acting as approvals body for index lifecycle events (index launch, change, and retirement); and
  • resolving unforeseen index calculation issues where discretion or interpretation may be required (for example, upon the occurrence of market disruption events).

To promote the independence of BINDA, the function is operationally separate from BB PLC’s sales, trading and structuring desks, investment managers, and other business units that have, or may be perceived to have, interests that may conflict with the independence or integrity of Barclays’ indexes.

Notwithstanding the foregoing, potential conflicts of interest exist as a consequence of BB PLC providing indexes alongside its other businesses. Please note the following in relation to Barclays’ indexes:

  • BB PLC may act in multiple capacities with respect to a particular index including, but not limited to, functioning as index sponsor, index administrator, index owner, and licensor.
  • Sales and trading or structuring desks in BB PLC may launch products linked to the performance of an index. These products are typically hedged by BB PLC’s trading desks. In hedging an index, a trading desk may purchase or sell constituents of that index. These purchases or sales may affect the prices of the index constituents, which could in turn affect the level of that index.
  • BB PLC may establish investment funds that track an index or otherwise use an index for portfolio or asset allocation decisions.

The Index Sponsor is under no obligation to continue the administration, compilation and publication of the Index or the level of the Index. While the Index Sponsor currently employs the methodology ascribed to the Index (and application of such methodology shall be conclusive and binding), no assurance can be given that market, regulatory, juridical, financial, fiscal or other circumstances (including, but not limited to, any changes to or any suspension or termination of or any other events affecting any constituent within the Index) will not arise that would, in the view of the Index Sponsor, necessitate an adjustment, modification or change of such methodology. In certain circumstances, the Index Sponsor may suspend or terminate the Index. The Index Sponsor has appointed a third-party agent (the ‘Index Calculation Agent’) to calculate and maintain the Index. While the Index Sponsor is responsible for the operation of the Index, certain aspects have thus been outsourced to the Index Calculation Agent.

Barclays

a. makes no representation or warranty, express or implied, to the Issuer or any member of the public regarding the advisability of investing in transactions generally or the ability of the Index to track the performance of any market or underlying assets or data; and

b. has no obligation to take the needs of the Issuer into consideration in administering, compiling, or publishing the Index.

Barclays has no obligation or liability in connection with the administration, marketing, or trading of the Delaware Life Target Growth 10SM.

The licensing agreement between Delaware Life Insurance Company and BB PLC is solely for the benefit of Delaware Life Insurance Company and Barclays and not for the benefit of the owners of the Delaware Life Target Growth 10SM, investors, or other third parties.

BARCLAYS DOES NOT GUARANTEE, AND SHALL HAVE NO LIABILITY TO THE PURCHASERS AND TRADERS, AS THE CASE MAY BE, OF THE TRANSACTION OR TO THIRD PARTIES FOR THE QUALITY, ACCURACY, AND/OR COMPLETENESS OF THE INDEX / OR ANY DATA INCLUDED THEREIN OR FOR INTERRUPTIONS IN THE DELIVERY OF THE INDEX. BARCLAYS MAKES NO EXPRESS OR IMPLIED WARRANTIES, AND HEREBY EXPRESSLY DISCLAIMS ALL WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR USE WITH RESPECT TO THE INDEX, INCLUDING, WITHOUT LIMITATION, THE indexes, OR ANY DATA INCLUDED THEREIN. IN NO EVENT SHALL BARCLAYS HAVE ANY LIABILITY FOR ANY SPECIAL, PUNITIVE, INDIRECT, OR CONSEQUENTIAL DAMAGES, OR ANY LOST PROFITS, EVEN IF NOTIFIED OF THE POSSIBLITY OF SUCH DAMAGES, SAVE TO THE EXTENT THAT SUCH EXCLUSION OF LIABILITY IS PROHIBITED BY LAW.

None of the information supplied by Barclays and used in this publication may be reproduced in any manner without the prior written permission of Barclays Bank PLC. Barclays Bank PLC is registered in England No. 1026167. Registered office 1 Churchill Place, London E14 5HP.

Bloomberg Index Services Limited is the official index calculation and maintenance agent of the Index, an index owned and administered by Barclays. Bloomberg Index Services Limited does not guarantee the timeliness, accurateness, or completeness of the Index calculations or any data or information relating to the Index. Bloomberg Index Services Limited makes no warranty, express or implied, as to the Index or any data or values relating thereto or results to be obtained therefrom, and expressly disclaims all warranties of merchantability and fitness for a particular purpose with respect thereto. To the maximum extent allowed by law, Bloomberg Index Services Limited, its affiliates, and all of their respective partners, employees, subcontractors, agents, suppliers, and vendors (collectively, the “protected parties”) shall have no liability or responsibility, contingent or otherwise, for any injury or damages, whether caused by the negligence of a protected party or otherwise, arising in connection with the calculation of the Index or any data or values included therein or in connection therewith and shall not be liable for any lost profits, losses, or punitive, incidental, or consequential damages.

First Trust®, First Trust & Design®, and First Trust Capital Strength® (“Mark”) is a registered trademark of First Trust Portfolios LP (“First Trust”) and has been licensed for use by Delaware Life. Delaware Life Target Growth 10SM (“Product”) is not sponsored, endorsed, sold or promoted by First Trust. FIRST TRUST MAKES NO WARRANTY, EXPRESS OR IMPLIED, AS TO RESULTS TO BE OBTAINED BY DELAWARE LIFE, A PRODUCT ISSUER, THE INVESTORS IN THE PRODUCT, OWNERS OF THE PRODUCT, OR ANY OTHER PERSON OR ENTITY FROM THE USE OF THE MARKS OR PRODUCT. FIRST TRUST EXPRESSLY DISCLAIMS ALL WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR USE OF THE PRODUCT.

Delaware Life

In certain market scenarios, such as a rising equity market when volatility is high or increasing, reductions in positive performance of a volatility controlled Index could result in less interest being credited to an Index Account than if the volatility controlled Index did not use a volatility control strategy that can limit positive performance. Conversely, in a declining equity market, when volatility is high or increasing, reductions in the negative performance of the volatility controlled Index could result in more interest being credited to an Index Account than if the volatility controlled Index did not use a volatility control strategy. However, in such a declining market, the benefit from the volatility control strategy would be limited by the floor to the Contract. In general, we incur less expense for the hedging transactions we use to mitigate our risk in providing Contract guarantees to you for a volatility controlled Index than for other indexes in the Contract.

Premium allocated to a crediting method using the Index is not a direct investment in stock markets, bond markets, commodities, precious metals or the index. Purchasers of products linked to the index will have no access to the components underlying the Index. The Index is calculated on an excess return basis.

Annuity withdrawals and other distributions of taxable amounts, including death benefit payouts, will be subject to ordinary income tax. For nonqualified contracts, an additional 3.8% federal tax may apply on net investment income. If withdrawals and other distributions are taken prior to age 59½, an additional 10% federal tax may apply. A withdrawal charge and a market value adjustment (MVA) also may apply. State variations may apply. Withdrawals will reduce the contract value and the value of the death benefits, and also may reduce the value of any optional benefits.

Fixed index annuities are not securities and do not participate directly in the stock market or any index, and are not investments. It is not possible to invest directly in an index.