The benefits associated with variable annuities are expressed in terms of annuity units that fluctuate with the performance of an investment portfolio.

Question

Quizplus · Accepted Answer

Variable annuities are investment products where the payments to the annuitant are based on the performance of an investment portfolio, and thus, the amount of each payment can vary over time. The benefits or payments are indeed expressed in terms of annuity units, whose value fluctuates with the underlying investment performance.

The Benefits Associated with Variable Annuities Are Expressed in Terms