First Chicago NBD Introduces Innovative Proprietary Fixed Annuity
Through an innovative arrangement, Pegasus Flex-Choice was co-developed by First Chicago NBD and Western National Life Insurance Company. Western National Life is underwriting the annuity; First Chicago NBD Investment Management Company is the investment advisor.
"The Pegasus Flex-Choice makes it possible for our customers to benefit from our asset management expertise and experience," said George Abel, chief investment officer of First Chicago NBD Investment Management Company, which has more than $50 billion in assets under management. "By putting our name on this product and serving as the investment advisor, we are giving our customers an additional level of confidence."
The Pegasus name comes from the Pegasus family of mutual funds also managed by First Chicago NBD Investment Management Company. The Pegasus Flex-Choice includes the following features:
-- Competitive interest rates, including a 1 percent first-year bonus.
-- Principal value guaranteed by Western National Life.
-- Flexible premiums, allowing additional payments at any time.
"Many of our customers will find the Pegasus Flex-Choice's stability of principal, attractive yield and tax-deferral benefits may help them achieve their long-term financial goals, such as retirement," said Carter Neild, product manager at First Chicago NBD. "Flex-Choice complements our other proprietary investment products, including the Pegasus mutual funds, variable annuity and wrap accounts."
First Chicago NBD, which has assets of $113.3 billion, is the Midwest's leader in providing financial services to consumers, small businesses, middle market companies and large corporations.
Western National Life, founded in 1944, is the principal subsidiary of Houston-based Western National Corporation. Western National Life was one of the first insurance companies to develop proprietary fixed annuities and is now the country's No.1 provider of fixed annuity products to the financial institution market.