FIA Market Briefing
What this means for FIA rates: The 10-year Treasury held essentially flat at 4.28% this week with volatility contained, so FIA options budgets are unlikely to shift meaningfully in the near term. The yield curve is normal (+67 bps), a healthy sign for insurer long-term portfolio returns.
With the 10-year holding at 4.28% and VIX calm at 18.2, option budgets are stable. Expect current FIA cap rates and participation rates to hold near-term.
Rates likely holding steady. No major pressure in either direction — yields are flat and options costs are contained. The 10-year moved from 4.29% to 4.28% over the week, and VIX went from 21.04 to 18.24. The yield curve is positive (67bps spread) — a healthy sign for insurer portfolio returns. Status quo environment. Current rate offerings should remain stable in the near term.
- →Rate environment is stable — a good window to review existing FIA positions and consider reallocation.
- →Markets are up — the S&P gained 6.14% this week. Remind clients that FIAs let them participate in gains like these while protecting their principal from downturns.
Today Financial Agency • Jed Monsen • 801.857.1069
Questions about FIA positioning? Book a call with Jed →