A new way to manage market volatility
Equitable’s Market Stabilizer Option® II (MSO II)
See how MSO II Indexed Options work
Watch this video to see how clients may benefit from equities' upside potential in up, flat and down markets, with the goal of providing some downside protection to manage volatility.
Discover the innovation of Market Stabilizer Option® II
Our five buffered indexed options has the goal of providing some downside protection with competitive upside potential.
Three Standard options
Choose between -10%, -15% or -20% downside protection buffers with upside potential up to a cap.
When markets are down: The account provides 0% return (no loss) if the S&P 500® Price Return Index’s 1-year return is between 0% and the downside protection. If market volatility drives the index return lower than the downside protection rate, the account will be the index return less the downside protection rate selected.
When markets are up: The account would earn the S&P 500® Price Return Index’s 1-year return rate, up to the selected option’s declared Growth Cap Rate. Each protection buffer has its own Growth Cap Rate (lower protection buffers have higher Growth Cap Rates).
View current Growth Cap Rates.
The Step Up option
Potential for “stepped-up” return with -10% downside protection
When markets are down: No loss (0% return) if the index’s return is from 0% to 10%. If the index return is lower, the account will be the index return less the -10% downside protection buffer.
When markets are up: The 1-year account return is guaranteed to equal the Growth Cap Rate as long as the 1-year S&P 500® Price Return Index return is 0% or higher.
View current Growth Cap Rates.
The Dual Direction option
Downside protection of -10% and the potential for a positive MSO II return whether the S&P 500 index is up or down
When markets are down more than 10%: If the S&P 500® Price Return Index is lower than 10%, the return will reflect the index rate less the downside protection buffer of 10%
When markets are down 0% to -10%: For S&P 500® Price Return Index performance lower than 0% and up to -10%, the 1-year account return is the absolute value (e.g. -5% results in +5% MSO II return).
When markets are up: When the S&P 500® Price Return Index performance is equal to or greater than 0%, the account return is equal to 1-year index return up to the cap.
View current Growth Cap Rates.
Our Market Stabilizer Option® II is available with all our individual VULs
Equitable was the first to pioneer variable life insurance and the first to offer buffered strategies in VULs with our innovative Market Stabilizer Option®. Learn more about investing in equities’ upside potential with the goal of providing some downside protection through our range of variable universal life insurance products.
COIL Institutional Seriessm
Designed for high early cash surrender values with accumulation of tax-advantaged capital for personal retirement or to support corporate and key person retention plans. For qualifying professionals, higher income wage earners and business owners.
Protect your clients from market volatility with
our MSO II investment strategy
Get ahead of the competition with the
Market Stabilizer Option® II
Our variable universal life insurance with MSO II provides these benefits for your clients:
Below you can find resources you can share with your clients to start the conversation about market volatility.
Documents to view or email to clients
- MSO II brochure: Use in all states except IN, MA, MD, NJ, NY, OR, VA, WA
- MSO II History as a guide flyer: Use in all states except IN, MA, MD, NJ, NY, OR, VA, WA
- MSO brochure: Only use in IN, MA, MD, NJ, OR, VA, WA
- MSO brochure for Equitable Advantage Maxsm: Use only in IN, MA, MD, NJ, OR, VA, WA
- Addressing market volatility concerns flyer
- ALI and Equitable cobranded article on 5 questions clients should ask about market volatility
- Downturns and recoveries: A Morningstar report
- Emotional cycle of the market flyer
- Equitable strengths and stability
- What can Time teach us about investing? brochure
- Worried about volatility? flyer
1 The Market Stabilizer Option® II Indexed Options are available with new issues of VUL Optimizer®, VUL Optimizer® Max, COIL Institutional Seriessm, VUL Legacy®, Equitable Advantagesm and Equitable Advantage Maxsm policies, subject to state approvals.
Please be advised this web page is not intended as legal or tax advice. Accordingly, any tax information provided is not intended or written to be used, and cannot be used, by any taxpayer for the purpose of avoiding penalties that may be imposed on the taxpayer. The tax information was written to support the promotion or marketing of the transaction(s) or matter(s) addressed, and clients should seek advice based on their particular circumstances from an independent tax advisor. Neither Equitable Financial, Equitable America or its affiliates provide legal or tax advice.
Variable universal life insurance and the MSO II are sold by prospectus only. Be sure your clients review the current prospectus for complete details, including investment objectives, risks, charges, expenses, limitations and restrictions. Please be sure your clients read the product prospectuses and consider the information carefully before purchasing a policy or sending money. You can find a copy of the prospectus at equitable.com.
A variable universal life insurance contract is a contract with the primary purpose of providing a death benefit. It is also a long-term financial investment that can also allow potential accumulation of assets through customized, professionally managed investment portfolios. These portfolios are closely managed in order to satisfy stated investment objectives. There are fees and charges associated with variable life insurance contracts, including mortality and risk charges, administrative fees, investment management fees, front-end load, surrender charges and charges for optional riders.
Life insurance products are issued by Equitable Financial Life Insurance Company (NY, NY) or Equitable Financial Life Insurance Company of America, an Arizona stock corporation, and are distributed by Equitable Advisors, LLC (member FINRA, SIPC) (Equitable Financial Advisors in MI & TN) and Equitable Distributors, LLC, 1290 Avenue of Americas, NY, NY 10104. Equitable America is not licensed to conduct business in New York and Puerto Rico. When sold by New York state-based (i.e., domiciled) Equitable Advisors Financial Professionals, variable universal life insurance products are issued by Equitable Financial Life Insurance Company (NY, NY). Equitable Financial and Equitable America are separate companies, and each insurance company has sole responsibility for its life insurance obligations. The MSO II is an indexed linked option available with single life variable universal life insurance policies issued by Equitable Financial Life Insurance Company (NY, NY) and Equitable Financial Life Insurance Company of America.
References to Equitable in this document represent both Equitable Financial Life Insurance Company and Equitable Financial Life Insurance Company of America, which are affiliated companies. Overall, Equitable is the brand name of the retirement and protection subsidiaries of Equitable Holdings, Inc., including Equitable Financial Life Insurance Company (Equitable Financial) (NY. NY); Equitable Financial Life Insurance Company of America (Equitable America), an AZ stock company; and Equitable Distributors. LLC. Equitable Advisors is the brand name of Equitable Advisors. LLC (member FINRA, SIPC) (Equitable Financial Advisors in MI & TN). The obligations of Equitable Financial and Equitable America are backed solely by their claims-paying abilities.