MetLife introduced Equity Index Plus on Tuesday, an index strategy that offers institutional investors an option that replicates the performance of the S&P 500 index and offers a guaranteed enhancement if the contract is held to maturity.
Equity Index Plus is offered through a separate account under a group annuity contract issued by Metropolitan Life Insurance Co.
The product is designed for qualified pension plans that want a return equal to the S&P 500 index investment management fee, and a provision for a guaranteed enhancement above the index's return if the contract is held to maturity.
With a minimum lump sum investment and set contract terms, plan sponsors and managers get the S&P 500 index's total rate of return (with dividends), plus 0.10% annually for a five-year contract or 0.05% annually for a three-year contract if the contract is held to maturity.
MetLife, a subsidiary of MetLife Inc., provides insurance and other financial services to individual and institutional customers throughout the United States.
