Scudder Kemper Investments announced last week that it is offering a new no-load, low-cost variable annuity.
Scudder Horizon Advantage is issued by Glenbrook Life and Annuity Co., a subsidiary of Allstate Life Insurance Co. It has no front-end sales load, surrender charge, or annual maintenance fee.
Total insurance costs are about 70 basis points, or half the industry average, the company said.
The annuity lets customers choose variable or fixed payments, increasing or decreasing annuitization based on a customer's underlying portfolio performance, and an annual step-up of death benefits.
The annuity is automatically rebalanced each quarter to keep in step with a customer's asset allocation wishes.