DoubleLine Capital Begins Managing $450 Million Variable Annuity Mandate Jackson® Adds DoubleLine to Managers of Its Elite Access Variable Annuity Investment Platform
LOS ANGELES, Sept. 23, 2013 /PRNewswire/ – DoubleLine Capital LP ("DoubleLine") has begun investing a $450 million variable annuity mandate awarded by Jackson National Life Insurance Company® (Jackson).
The Curian/DoubleLine Total Return Fund (the Fund), managed by DoubleLine CEO and Chief Investment Officer Jeffrey Gundlach and DoubleLine President Philip Baruch, is available within Jackson's Elite Access® Variable Annuity investment platform (Elite Access).
"We look forward to a successful relationship with Jackson," said Ron Redell, president of DoubleLine Funds Trust and an executive vice president of DoubleLine. "This mandate marks the continuing institutional interest in DoubleLine's investment services and our channel diversification into the variable annuity space."
Elite Access is a variable annuity designed to offer the opportunity for portfolio diversification through the utilization of both traditional and alternative asset classes in a tax-efficient vehicle1.
"Jackson continually reviews and updates the subaccount options available within Elite Access, enabling advisors to combine investments and strategies from several high-quality managers such as DoubleLine," said Alison Reed, senior vice president of Product and Investment Management for Jackson National Life Distributors, the distribution arm of Jackson. "With Elite Access, advisors are provided with a combination of traditional and alternative asset classes to help address individual financial goals and develop diversified retirement plans."
The objective of the Curian/DoubleLine Total Return Fund is to seek to maximize total return. The Fund seeks to achieve its investment objective by investing, under normal circumstances, at least 80 percent of its assets (net assets plus the amount of borrowings for investment purposes) in bonds.
The Fund intends to invest more than 50 percent of its net assets in mortgage-backed securities of any maturity or type guaranteed by, or secured by collateral that is guaranteed by, the United States Government, its agencies, instrumentalities or sponsored corporations, or in privately issued mortgage-backed securities rated at time of investment Aa3 or higher by Moody's Investor Service or AA- or higher by Standard & Poor's Rating Service or the equivalent by any other nationally recognized statistical rating organization or in unrated securities that are determined by DoubleLine, which is the Fund's sub-adviser, to be of comparable quality. The Fund may invest up to 33 ⅓ percent of its net assets in junk bonds, bank loans and assignments and credit default swaps of companies in the high yield universe.
About DoubleLine Capital LP
DoubleLine Capital LP, a registered investment adviser under the Investment Advisers Act of 1940, acts as the investment sub-adviser for the Fund. DoubleLine's headquarters is in Los Angeles, CA. Its offices can be reached by telephone at (213) 633-8200 or by e-mail at firstname.lastname@example.org. Media can reach DoubleLine by e-mail at email@example.com. DoubleLine® is a registered trademark of DoubleLine Capital LP.
Before investing, investors should carefully consider the investment objectives, risks, charges and expenses of the product, including its underlying investment options. The current prospectus provides this and other important information. Please contact your representative or the Company to obtain the prospectus(es). Please read the prospectus(es) carefully before investing or sending money.
- Diversification does not assure a profit or protect against loss in a declining market. Portfolios that have a greater percentage of alternatives may have greater risks, especially those including arbitrage, currency, leveraging and commodities. This additional risk can offset the benefit of diversification. Tax deferral offers no additional value if an annuity is used to fund a qualified plan, such as a 401(k) or IRA, and may be found at a lower cost in other investment products. It also may not be available if the annuity is owned by a "nonnatural person" such as a corporation or certain types of trusts.
About Curian/DoubleLine Total Return Fund
The fund's investment objectives, risks, charges and expenses must be considered carefully before investing. The prospectus contains this and other important information about the investment company, and it may be obtained by calling (800) 565-9044 or www.jackson.com. Read it carefully before investing.
Investments in debt securities typically decrease in value when interest rates rise. This risk is usually greater for longer‐term debt securities. Investments in Asset‐Backed and Mortgage‐Backed Securities include additional risks that investors should be aware of such as credit risk, prepayment risk, possible illiquidity and default, as well as increased susceptibility to adverse economic developments. Investments in lower rated and non‐rated securities present a greater risk of loss to principal and interest than higher‐rated securities. The Fund intends to invest more than 50% of its net assets in mortgage‐backed securities of any maturity or type. The Fund therefore potentially is more likely to react to any volatility or changes in the mortgage‐backed securities marketplace. Please refer to the prospectus for further details. DoubleLine Capital LP is not affiliated with Jackson National Life Distributors LLC.
Jackson is a leading provider of retirement solutions for industry professionals and their clients. The company offers a diverse range of products including variable, fixed and fixed index annuities designed for tax-efficient accumulation and distribution of retirement income for retail customers, and fixed income products for institutional investors. Jackson subsidiaries and affiliates provide specialized asset management and retail brokerage services. With $173.6 billion in assets*, Jackson prides itself on product innovation, sound corporate risk management practices and strategic technology initiatives. Focused on thought leadership and education, the company develops proprietary research, industry insights and financial representative training on retirement planning and alternative investment strategies. Jackson is also dedicated to corporate social responsibility and supports charities focused on helping children and seniors in the communities where its employees live and work. For more information, visit www.jackson.com.
Jackson is the marketing name for Jackson National Life Insurance Company (Home Office: Lansing, Michigan) and Jackson National Life Insurance Company of New York (Home office: Purchase, New York). Jackson National Life Distributors LLC.
*Jackson has $173.6 billion in total IFRS assets and $161.2 billion in IFRS policy liabilities primarily set aside to pay future policyowner benefits as of June 30, 2013. International Financial Reporting Standards (IFRS) is a principles-based set of international accounting standards indicating how transactions and other events should be reported in financial statements. IFRS is issued by the International Accounting Standards Board in an effort to increase global comparability of financial statements and results. IFRS is used by Jackson's parent company.
Jackson National Life Insurance Company is an indirect subsidiary of Prudential plc, a company incorporated and with its principal place of business in the United Kingdom. Prudential plc and its affiliated companies constitute one of the world's leading financial service groups. It provides insurance and financial services directly and through its subsidiaries and affiliates throughout the world. It has been in existence for 165 years and has $648.2 billion in assets under management as of June 30, 2013. Prudential plc is not affiliated in any manner with Prudential Financial, Inc., a company whose principal place of business is in the United States of America.
Although asset allocation among different asset categories generally limits risk and exposure to any one category, the risk remains that management may favor an asset category that performs poorly relative to the other asset categories. The subaccounts expect to invest in positions that emphasize alternatives or nontraditional asset classes or investment strategies and, as a result, are subject to the risk factors of those asset classes. Some of those risks include general economic risk, geopolitical risk, commodity-price volatility, counterparty and settlement risk, currency risk, derivatives risk, emerging markets risk, foreign securities risk, high-yield bond exposure, noninvestment-grade bond exposure, index investing risk, industry concentration risk, leveraging risk, market risk, prepayment risk, liquidity risk, real estate investment risk, sector risk, short sales risk, temporary defensive positions and large cash positions.
Variable annuities are long-term, tax-deferred investments designed for retirement, involve investment risks and may lose value. Earnings are taxable as ordinary income when distributed and may be subject to a 10% additional tax if withdrawn before age 59½.
The investment companies (subaccounts) offered in Elite Access are registered as investment companies under the Investment Company Act of 1940, as amended ("1940 Act"), and their shares are registered under the Securities Act of 1933, as amended. There are many differences among 1940 Act registered subaccounts and unregistered hedge funds, including but not limited to liquidity, restrictions on leverage and diversification, fund reporting and transparency, fees, and availability.
International investing involves special risks, such as exposure to potentially adverse local political and economic developments, nationalization and exchange controls, potentially lower liquidity and higher volatility, possible problems arising from accounting, disclosure, settlement and regulatory practices that differ from U.S. standards, and the chance that fluctuations in foreign exchange rates will decrease the investment's value.
The latest income date allowed is age 95, which is the required age to annuitize or take a lump sum. Please see the prospectus for important information regarding the annuitization of a contract.
The standard death benefit is equal to contract value on the date of the claim and does not include any additional guarantees.
Curian Capital® is a registered investment advisor and affiliate of Jackson National Life Distributors LLC.
Elite Access Fixed and Variable Annuity (VA650, VA 660) is issued by Jackson National Life Insurance Company (Home Office: Lansing, Michigan) and in New York (VA650NY, VA 660NY) by Jackson National Life Insurance Company of New York (Home Office: Purchase, New York). Variable annuities are distributed by Jackson National Life Distributors LLC, member FINRA. May not be available in all states, and state variations apply. This product has limitations and restrictions, including withdrawal charges and excess interest adjustments (interest rate adjustments in New York) where applicable. Jackson issues other variable annuities with similar features, benefits, limitations and charges. Discuss them with your representative or contact Jackson for more information.