Low Volatility Annual Point-to-Point with a Participation Rate and Asset Free Rate
Option U
Interest Credited under Option U is based on a formula linked in part to the Annual Change in the Index Values of the S&P 500® Low Volatility Daily Risk Control 5% Excess Return Index. To calculate your annual return under Interest Credit Option U, NWL calculates the Annual Index Change Rate. The Annual Index Change Rate is the Index Value on the Index Date less the Index Value on the immediately preceding Index Date (or Policy Date if the first Index Date), divided by the Index Value on the immediately preceding Index Date (or Policy Date if the first Index Date), multiplied by the Participation Rate for the Policy Year and then reduced by the Asset Fee Rate for the Policy Year. To calculate annual return amount, multiply the annual return by the premium. For Policy Year 1, premiums received within 20 days after the Policy Date, or in subsequent years, the previous Policy Anniversary Account Value. The Index Date for Option U is the last day of each annual period beginning on the Policy Date and the same day of each year thereafter. For example, if the Policy Date is January 15th, the Index Dates are January 14th in the first Policy Year and January 14th of each following year. The Index Value is the closing value of the S&P 500® Low Volatility Daily Risk Control 5% Excess Return Index on a
scheduled trading day. The Index Value on the Policy Date is the Index Value on the first day preceding the Policy Date for which the Index Value is available. The Index Value on any Policy Anniversary is the Index Value on the first day preceding the Policy Anniversary for which the Index Value is available. The Interest Credit for Option U will never be less than zero. The S&P 500® Low Volatility Daily Risk Control 5% Excess Return Index includes the portion of returns generated by the underlying index that come from dividend reinvestment and is funded at LIBOR or such other rate as may be set by S&P®.
Index
S&P 500® Low Volatility Daily Risk Control 5% Excess Return
Minimum Participation Rate Maximum Asset Fee Rate
20.00%
2.00%
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