The Schwab OneSource Annuity offers you strong value with low costs, approximately 35%-50% lower than the industry average,1 and access to a wide selection of investment choices from a greater variety of fund families than some other low-cost annuities available to investors. Clients who have transferred their variable annuity assets to a Schwab OneSource Annuity have saved an average of $455 in annual fees.2 Year after year, savings like these could make a significant difference to you. Plus, any earnings will be tax-deferred until you begin making withdrawals.
1. Source: Mortality and Expense charges on the Schwab OneSource Annuity range from 0.65% to 0.85% as compared to an industry average of 1.33% (according to a Morningstar survey of 1,854 variable annuities on 12/31/2011). The percentage savings does not include fees associated with underlying variable portfolios.
2. Source: July 2006–December 2011, Schwab survey of variable annuity exchanges from a non-Schwab variable annuity to a no-load Schwab OneSource Annuity. The annual savings amount of $455 reﬂects the average differential in asset-based annuity fees (typically the mortality and expense risk and administrative charges) between the clients’ existing variable annuities and the Schwab OneSource Annuity for an assumed $100,000 purchase amount and assuming no subsequent additions or withdrawals. The savings figure does not reflect any other charges imposed by the existing annuity carrier, including surrender charges which, if included, would reduce or eliminate any potential savings. The actual amount you may save annually will vary based upon the difference in annuity fees, underlying portfolio fees, subaccount performance, amount transferred and any subsequent additions or withdrawals.