InvesTrackTM
Managing Variable Life Insurance Policies and Variable Annuity Contracts
As a Registered Investment Advisor, RIC can be retained to actively manage the investment component of variable life insurance and variable annuity contracts.
Although most companies employ investment analysts to manage client portfolios, variable life and annuity policies held in trust are difficult to review cost effectively. Additionally, it is challenging to determine whether the allocations are appropriate given the unique performance characteristics of the life insurance contract. Providing investment management services for these asset classes allows total contract oversight to fiduciaries, which now encompasses all aspects of life insurance and annuity management.
Investment Advisory Service Components
Contract Review
Every InvesTrack report includes a LifeTrack baseline review which provides funding adequacy, carrier strength and competitive performance analysis.
Asset Allocation Summary
Reviews the investment management objectives, diversification and asset allocation modeling adopted by the trustee. This provides appropriate consideration for possible reallocation of the sub-accounts.
Option Identification
Identify investment options available through the carrier, the investment objective of the different funds available and the historical performance of those funds.
Capital Reallocation
We determine and implement a suitable sub-account allocation based upon the findings of the above components. This reallocation meets Trustee guidelines and the funding requirements of the existing contract within appropriate risk considerations.
Confirmation
We provide documented confirmation that the carrier implemented our reallocation request and provide to the Trustee an investment report detailing our assessment, our actions and our opinion as to the investment health of the policy.
RIC will deliver our completed reports electronically in the clients hosted file room on our website, as we do with all of our other reviews. InvesTrack reports are performed on an annual basis for the trustee. Trustees may maintain investment authority or delegate investment authorization to RIC.
