Ever used a ratchet wrench?
After each turn of the wrench, your progress on tightening the screw locks into place.
IUL is just like a ratchet wrench: your indexing gains can securely lock in, with no backsliding during downturns.
Let’s say you choose a 1-year indexing strategy.
Each year, any gains are “locked in,” and the base resets, so even if the market dips the following year, your previous gains are protected with a 0% floor.
This ‘lock in and reset’ feature ensures that you won’t lose anything due to market volatility, regardless of market fluctuations.
Want to learn more?
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