American Century Investments® C to A Class Auto Conversion Update
In August 2018, American Century Investments’ funds started converting C Class shares to A Class shares in the month following the 10-year anniversary of the purchase date.
Beginning on March 1, 2021, all C Class shares will automatically convert to A Class shares in the month following the 8-year anniversary of the purchase date.
As before, there is no sales charge, fee, or other charge associated with the conversion. After the conversion takes place, the shares will be subject to all features and expenses of the respective fund’s A Class shares.
Click here for important updates and additional details.
U.S. Life of New York / AIG, Power Index Premier, Fixed Indexed Annuity Now Available in New York
ESI is pleased to announce that the Power Index Premier, fixed indexed annuity is now available in the state of New York. The Power Index Premier offers an optional income rider at no additional charge. The product offers three index options and banded cap rates. If you have questions about this product, please call TruChoice Financial, Mike Bacchus or Shelly Porter at 800.886.4757.
PIMCO Funds Class C and C-2 to Class A Monthly Automatic Conversion – Update
Effective January 18, 2021, PIMCO will be updating the holding period to automatically convert Class C and C-2 shares to Class A shares from 10 to eight years. Beginning February 10th, 2021, PIMCO Funds Class C and C-2 shares held eight years or longer will automatically convert to the corresponding PIMCO Funds Class A shares on the 10th calendar day of each month. If the 10th calendar day falls on a weekend or holiday, shares will be converted the next business day. Omnibus intermediaries may perform the conversion on the 10th calendar day or as soon as reasonably practical.
KEY OPERATIONAL POINTS
- Applies to Class C and C-2 shares held eight years or longer (new and existing), based on the holding period of the share lot.
- The conversion will be transacted on the 10th calendar day the month following the anniversary date.
- If the 10th calendar day falls on a weekend or holiday, shares will be converted the next business day.
- Shareholders will not pay a sales charge or CDSC upon the conversion.
- The automatic conversion is non-taxable.
- Reinvested dividends are converted proportionate to purchased lots.
- Conversion revision will not affect firm-specific Class C and C2 share to Class A share policies and procedures as outlined in Appendix B to the PIMCO prospectus.
- In addition to shares that have been held for eight years, any shares for which the record keeper cannot determine a holding period (commonly known as “Free Shares”) may, depending on system settings, convert to Class A shares even if such Free Shares have been held for less than eight years.
Note: As an example, free shares may be a result of reinvested dividend lots not associated with a purchase lot.
Prior to purchasing any share class of a PIMCO Fund, please ensure your firm has completed all required agreements. If you have any questions or need additional information, please call 888.87.PIMCO or visit www.pimco.com.
And in case You Missed Them…
Important Transamerica Updates: Changes to Products and Required Paperwork Effective 12/7!
Transamerica is committed to providing your clients with retirement income solutions they can count on, now and in the future. Given the current market, it’s necessary to make adjustments to our living benefits, effective December 7, 2020.
CLICK HERE TO READ MORE ABOUT THESE CHANGES
Nationwide Defined Protection Annuity is Now Available!
The Nationwide Defined Protection Annuity is a single purchase payment deferred variable annuity, (VA) contract issued by Nationwide Life Insurance Company. This VA is referred to as a registered index linked annuity, RILA, or hybrid annuity – due to product features that resemble a fixed indexed annuity. Under this annuity, contract owners may lose principal. The performance of the annuity will be dependent on the underlying index selected and the level of downside protection chosen by the contract owner. The Defined Protection Annuity offers three Protection Levels:
- 100% Protection Level for maximum protection
- 95% Protection Level
- 90% Protection Level
Click here for more information.
For additional information, please contact Nationwide at 1-800-321-6064.
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