Strategy description, backtested methodology, assumptions, risk warnings, and important disclosures.
This document was last updated in June 2026.
Destination Trax™ (DX) is a structured wealth accumulation strategy that combines a sequence of Fixed Indexed Annuities (FIAs) with a market-exposed growth account. The strategy is designed to pursue above-market returns while maintaining significantly lower market exposure than a traditional stock portfolio.
Each cycle of the strategy works as follows:
The “Destination Trax™ — Backtested Growth (1998–2014)” chart illustrates how a hypothetical $100,000 deposit would have performed across five scenarios using actual historical market data over a 17-year period that includes the dot-com crash, 9/11, and the 2008 financial crisis.
S&P 500: A simple buy-and-hold investment in the S&P 500 index with total return including dividends, modeled as Vanguard VOO.
FIA Only: A single Fixed Indexed Annuity with a 20% premium bonus, 6% annual cap, and 0% floor.
Destination Trax™ with VOO: The full DX strategy using the S&P 500 ETF for the growth account.
Destination Trax™ with QQQ: The full DX strategy using the Nasdaq-100 ETF for the growth account.
Walk-Away Liquidity: The total cash value you could take home at any point if you chose to exit the strategy entirely, including applicable surrender charges and bonus clawbacks on the FIA component.
The faded red shading represents the portion of the DX portfolio exposed to market risk at each point in time. It starts at zero, builds gradually as annual withdrawals move into the growth account, then resets to zero at each roll when all funds consolidate back into a new protected FIA.
Average Annual ROI is calculated as: (Final Value / Initial Deposit − 1) × 100 ÷ Number of Years. This is a simple arithmetic average, not a compound annual growth rate (CAGR).
The walk-away value represents the total amount of money you could receive, in cash, if you chose to exit the Destination Trax™ strategy at any given point.
Walk-Away = FIA Surrender Value + Growth Account Balance
The FIA surrender value accounts for applicable Contingent Deferred Sales Charges (CDSC) and premium bonus clawback provisions during the surrender period. The growth account is always fully liquid because you own the ETF shares outright.
The performance shown is backtested using historical market data and does not represent actual client results. Past performance does not guarantee future results.
This strategy was not actively managed during the 1998–2014 period. Results are reconstructed by applying current product parameters to historical market data.
This material is for educational and illustrative purposes only. It does not constitute investment advice, a solicitation, or an offer to sell any security or insurance product. Consult with a qualified financial professional before making financial decisions.
FIAs are not securities and are not registered with the SEC or FINRA. Guarantees, including the 0% floor and premium bonuses, are backed by the financial strength and claims-paying ability of the issuing insurance company.
FIA products used in this strategy carry Contingent Deferred Sales Charges and premium bonus clawback provisions during the surrender period. Exiting early may result in penalties that reduce account value.
Day-one bonuses are credited immediately but may be subject to partial or full clawback if the product is surrendered before the end of the surrender period.
The 50% participation rate used in this illustration is assumed constant. Actual participation rates are set by the insurance carrier and may be subject to annual renewal.
Specific FIA products, availability, terms, and crediting parameters may vary by state, issue date, and carrier decisions.
This illustration does not account for income tax, capital gains tax, early withdrawal penalties, or the tax-deferred growth advantages of annuity products. Consult a tax professional.
All values shown are in nominal dollars. Purchasing power would be reduced by cumulative inflation over the illustrated period.
The illustration includes FIA annual product fees ranging from 0% to 1.2% depending on the product, and ETF expense ratios of 0.03% for VOO and 0.20% for QQQ. No additional advisory fees, platform fees, or transaction costs are modeled.
The strategy relies on the FIA’s annual penalty-free withdrawal feature. Withdrawals exceeding the penalty-free amount may incur surrender charges.
Actual results depend on product availability, crediting rates at time of issue, market conditions, timing of deposits and withdrawals, and individual circumstances.
It does not represent a specific named product. It uses a 20% bonus and 6% cap as a representative illustration of a typical Fixed Indexed Annuity without the Destination Trax™ strategy applied.
This disclosure page accompanies the Destination Trax™ backtested growth chart and related marketing materials. It is intended to provide transparency regarding the methodology, assumptions, and limitations of the illustrated performance.
For questions about how Destination Trax™ may apply to your specific financial situation, please schedule a Retirement Clarity Review.