Your plan now offers Nationwide Indexed Principal ProtectionSM
Nationwide Indexed Principal Protection (NW-IPP) is a long-term savings option that protects your principal. That means no matter what the market does, your money is protected and you retain the opportunity for upside potential.
What is Nationwide Indexed Principal Protection?
NW-IPP is a group fixed indexed annuity for retirement plans that tracks the performance of the S&P 500® Daily Risk Control 5% Excess Return Index (Index). Your money is not directly invested in the Index, but its performance is used to credit you with interest earnings, subject to a specific limit, called a "cap rate".
- If the Index goes up, your account will be credited with interest earnings up to the cap rate. For example, if the Index gains 8% at the end of the Index Term and your cap rate is 7%, contributions to this account will be 7% interest earnings.
- If the Index goes down, your account loses nothing because your principal is protected.
Hypothetical assumptions: A $100,000 one-time contribution is allocated to Nationwide Indexed Principal Protection℠ with a 5-year book value payout term. This chart demonstrates historical performance of S&P 500® Daily Risk Control 5% Excess Return Index assuming a 7% cap and a 0% floor. This example assumes that the initial deposit on 10/1/2010 remains invested in NW-IPP for 10 years, and the cap remains the same over the illustrated 10 years. The cap and interest rate may be changed for each term. This illustration is not a projection or prediction of future performance. The performance could be significantly different than the investment performance shown and shouldn’t be considered a representation of performance or investor experience of the index(es) in the future. Withdrawals will reduce the contract value; this illustration does not demonstrate the impact of withdrawals.