Under an equity-indexed annuity,what name is given to the percentage increase in the stock index that is credited to the contract?

Question

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The name given to the percentage increase in the stock index that is credited to the contract in an equity-indexed annuity is the participation rate. This determines how much of the gain in the index will be credited to the annuity owner. A higher participation rate means the annuity owner will receive a larger portion of the gain in the index, while a lower participation rate means they will receive a smaller portion of the gain.

Under an Equity-Indexed Annuity,what Name Is Given to the Percentage