I want my investments to align with my goals and needs - Content … · 2020-02-19 · Group is an innovator and leader in the development of volatility-management strategies for

AXA Equitable Funds Management Group, LLC

I want my investments to align with my goals and needs

investment expertise

AXA Equitable Life Insurance Company (NY, NY)

Investments: • Are Not a Deposit of Any Bank • Are Not FDIC Insured • Are Not Insured by Any Federal Government Agency • Are Not Guaranteed by Any Bank or Savings Association • May Go Down in Value

Keep in mind that investing in mutual funds, variable annuities and variable life insurance entails market risk. Return and principal value will fluctuate, and shares may be worth more or less than your original investment when redeemed. Diversification and asset allocation do not guarantee a profit or protect against loss in a declining market.

AXA Equitable Life Insurance Company offers a variety of annuities, life insurance and retirement products, designed to meet your needs. AXA Equitable Funds Management Group, LLC, a wholly owned subsidiary of AXA Equitable, manages the underlying investment options within AXA Equitable’s variable annuity, variable life and retirement products.

Funds Management Group, doing business as 1290 Asset Managers, also advises the 1290 Funds®, a family of open-ended mutual funds.

giving you opportunities for investment successYou may be an individual, looking to accumulate assets, generate steady retirement income or transfer wealth to the next generation. Or you may be a business owner, with the goal of attracting, retaining or rewarding employees or key executives. Either way, we have a financial strategy that can fit your specific needs and provide you with potential opportunities for investment success.

• Annuities

• Life insurance

• Retirement plans

• Mutual funds

access the power of investment expertise

The investment markets offer individuals the potential to accumulate wealth and help ensure a comfortable retirement. But they offer pitfalls as well. Markets fall in and out of favor. Financial events a world away may impact investments at home. Funds Management Group offers access to a global financial powerhouse to accompany you on your investment journey.

Funds Management Group:

• Manages approximately $100 billion in assets, placing us among the top 10% of investment companies in the U.S.

• Hires and oversees more than 40 money management firms – some of the largest and most respected in the nation

• Supervises more than 100 different investment portfolios

• Draws on the expertise of around 65 investment professionals, with an average of 15 years of experience in asset management, fund development or operations, and many with critical legal, regulatory or compliance oversight

Large institutions like pensions, endowments and banks have traditionally had access to some of the best investment opportunities and money management services. AXA’s contractowners and clients have that same advantage. AXA Equitable Funds Management Group, LLC (FMG) provides institutional-quality investment expertise to all types of individual investors, through a thoughtfully designed lineup of insurance and 401(k) underlying investment options, and now through the 1290 Funds, as well.

All data as of 12/31/15.

2

Screening

Evaluati on

Due Diligence & Selecti

on

Monitoring

Cont

inui

ng A

sses

smen

t

AXA Equitable Funds Management

Group, LLC

investment expertise

Funds Management Group screens, selects and oversees the portfoliosThere are literally thousands of money managers and investment funds available in the marketplace today. With Funds Management Group, you don’t have to sort through them all to try and find options that are suitable for your risk profile and return needs. Working in conjunction with your financial adviser, our lineup will simplify the complex task of matching the products and investments that will help achieve your objectives.

We seek out qualified money managers in each investment category and approach to help ensure that you have the greatest opportunity for long-term investment success:

• Only managers with a proven track record. The money managers we select don’t chase fleeting trends, but maintain solid strategies that are consistent and well-defined, with long-term records.

• Only portfolios that meet our strict criteria. We submit each portfolio to a robust analytical process that seeks to ensure it meets our standards and, therefore, your needs.

Note: We use the words “portfolio” and “fund” interchangeably to refer to open-ended mutual funds and the underlying investment options within our variable life insurance and annuity products.

3

The Process What we do What that means for you

ScreeningWe review data from independent sources to identify a universe of investment management firms.

You don’t have to spend the time and resources to sort through the universe of investments available.

Evaluation

We perform rigorous analysis of the investment process and performance of each proposed investment manager, doing an extensive review of the personnel and firm, including face-to-face meetings and onsite evaluations.

You won’t get stuck with investment managers who guess at the future or “follow the herd”; instead, each one is selected for their expertise in their field.

Due Diligence & Selection

In conjunction with the actuaries and product managers who design AXA Equitable insurance and retirement products, we select managers and funds that will serve a wide range of client needs.

You can construct a well-diversified portfolio of solid investments, regardless of your individual risk tolerance and goals.

MonitoringWe evaluate all aspects of investment activity, including portfolio construction and performance.

You can feel confident that your investment managers are adhering to their portfolio’s objectives with discipline, and seeking to produce returns that are commensurate with the risk expended.

Continuing Assessment

We monitor each manager and fund to ensure that they continue to meet standards and practices for performance and style consistent with their investment mandate.

You won’t have to worry about surprises that could negatively affect your portfolio’s performance or diversification.

The process keeps your needs at the forefrontWhen you work with a financial professional to choose an AXA Equitable insurance, or retirement product or mutual fund, the Funds Management Group seeks to ensure that the proprietary investment options you and your adviser select from offer no surprises. That’s because we keep your needs in mind as we manage the selection process.

4

Putting us to work for youConsulting with your financial adviser, you may choose from a broad array of investment style choices that make sense for you—including active management, passive management, or a combination of the two.

• Active management capitalizes on anomalies in the market, seeking undervalued or underappreciated securities by applying expertise to asset classes and companies. With this management style, you place a considerable amount of trust in professional money managers, and accept that the underlying investments may change frequently and you will have less transparency.

• Passive management typically offers greater transparency into the underlying investments being tracked within a market index.

would you like help managing volatility?

A number of the portfolios available to you include a managed-

volatility overlay that can provide risk-reduction benefits while

maintaining the potential for growth. Funds Management

Group is an innovator and leader in the development of

volatility-management strategies for variable insurance and

retirement products. The Group currently offers a robust

lineup of proprietary volatility-management solutions,

along with a range of options managed by prominent

external advisers.

Active

Seeks to outperform a broad market index by uncovering opportunities in the market.

Multi-Strategy

A mix of active and passive strategies.

Passive

Seeks to replicate a specific market index that would

otherwise not be available for direct investment.

Your investment universeWhether you’re seeking alpha potential through active portfolio management, the transparency of indexed portfolios, the discipline of asset allocation or a volatility-management strategy, we have quality portfolio choices for you. With our carefully selected lineup of mutual funds and underlying investment options, you can tailor a strategy to meet your specific investment goals.

• U.S. Equity Funds – Invest in stocks of companies based in the United States.

• U.S. Bond Funds – Invest in bonds from companies based in the United States.

• Specialty or Sector Funds – Invest in a distinct subset of the market or an industry. Specialty or sector fund investments involve a higher degree or risk. Investors should be aware of their risks as described in the prospectus before investing or sending money.

• Global and International Funds – Offer worldwide equity and fixed-income investing, in both developed and emerging markets. Investments in global and international funds invest outside the U.S, and do involve a higher degree of risk. Investors should be aware of their risks as described in the prospectus before investing or sending money.

• Asset Allocation Funds – Include a variety of “one-stop” solutions: traditional asset allocation using fixed-income, equity and international portfolios as underlying investments for given levels of risk; portfolios that go beyond traditional allocation to include alternatives like real estate and commodities; multi-strategy portfolios that include both an actively managed portion and a passively managed portion; and target date portfolios that are specially designed to meet your needs throughout your lifetime and will gradually shift to a more conservative mix, that is generally more income-oriented, as you get older.

• Alternatives – Alternative and non-traditional asset classes and strategies may offer investors with any objective a way to expand diversification, potentially lower risk and create the possibility for differentiated returns. Alternative funds typically hold more aggressive non-traditional investments and employ more complex trading strategies. Investors considering alternative funds should be aware of their unique characteristics as described in the prospectus before investing or sending money.

5

What is your investment goal?

If you need to: Accumulate Wealth Preserve WealthTailor Investment Solutions

Look for funds with this objective:

Capital Appreciation Income

Total Return (or a combination of both capital appreciation and income)

We have these types of funds available:

U.S. Equity/Specialty/Sector/International

U.S. Bond/Specialty/Sector/International

Asset Allocation

6

The benefits of a diversified portfolioAs you can see in the table below, no one asset class performs well consistently throughout all economic conditions. Therefore, it is wise to select a variety of asset classes so that you can benefit from the ups and downs of diverse markets.

Source: AXA FMG, LLC; Morningstar Direct, as of 12/31/15Past performance is no indication of future results. An individual cannot invest in an index.Representative indices: LC Equity – S&P 500®, MC Equity – S&P Midcap 400, SC Equity – Russell 2000, Int. Equity – MSCI EAFE, Bonds – Barclays U.S. Government Intermediate Bond. Moderate Growth is a blend of 30% S&P 500®, 10% S&P Midcap 400, 10% Russell 2000®, 10% MSCI EAFE and 40% Barclays® U.S. Government Intermediate Term Bond.Asset Allocation portfolios subject an investor to higher fees than if the underlying portfolios were invested in directly.Asset allocation is a form of diversification, it does not guarantee a profit nor protect against loss.

Selected Case Sectors v. A Diversified Portfolio Total Return (%)

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015

Int.Equity 13.54

Int.Equity 26.34

Int.Equity 11.17

Bonds 10.43

MC Equity 37.38

SC Equity 26.85

Bonds 6.08

MC Equity 17.88

SC Equity 38.82

LC Equity 13.69

LC Equity 1.38

MC Equity 12.56

SC Equity 18.37

Bonds 8.47

ModerateGrowth -20.49

Int.Equity 31.78

MC Equity 26.64

LC Equity 2.11

Int.Equity 17.32

MC Equity 33.50

MC Equity 9.77

Bonds 1.18

ModerateGrowth 5.31

LC Equity 15.79

MC Equity 7.98

SC Equity -33.79

SC Equity 27.17

LC Equity 15.06

ModerateGrowth 1.58

SC Equity 16.32

LC Equity 32.39

ModerateGrowth 6.10

ModerateGrowth 0.41

LC Equity 4.91

ModerateGrowth 11.68

ModerateGrowth 6.95

MC Equity -36.23

LC Equity 26.46

ModerateGrowth 13.07

MC Equity -1.73

LC Equity 16.00

Int.Equity 22.78

SC Equity 4.89

Int.Equity -0.81

SC Equity 4.55

MC Equity 10.32

LC Equity 5.49

LC Equity -37.00

ModerateGrowth 17.35

Int.Equity 7.75

SC Equity -4.18

ModerateGrowth 10.66

ModerateGrowth 17.76

Bonds 2.52

MC Equity -2.18

Bonds 1.68

Bonds 3.84

SC Equity -1.57

Int.Equity -43.38

Bonds -0.32

Bonds 4.98

Int.Equity -12.14

Bonds 1.73

Bonds -1.25

Int.Equity -4.90

SC Equity -4.41

7

Money managersOur lineup includes brands you recognize and boutique firms you may have heard of, giving you access to some of the best and brightest in the industry.

As of 12/31/15, subject to change. List includes only relationships within the group’s proprietary portfolios. Not all money managers are listed. For information regarding a portfolio’s investment strategy, please speak with your financial professional or visit www.axa.com.

Ranked #1insurance brand in the world3

AXA Group1 has been

59countries2

AXA Group is present in

since

1859Providing stability and reliability to our clients

Since 1859, AXA Equitable Life Insurance of America has stood among the nation’s premier providers of life insurance and annuity products. While AXA Equitable, part of the global AXA Group, has grown considerably over the decades, it has not lost sight of a fundamental commitment: helping people build sound financial futures through honesty, integrity, trustworthiness, and innovative financial strategies.

8

1 AXA Group refers to AXA, a French holding company for an international group of insurance and financial services companies, together with its direct and indirect consolidated subsidiaries. AXA Equitable Life Insurance Company is an indirect, wholly-owned subsidiary of AXA. 2 Source: AXA Group, as of 12/31/14.3 Source: Interbrand, 10/5/15.

All guarantees on variable annuity and variable life products are based solely on the claims-paying ability of the issuing company, either AXA Equitable Life Insurance Company or MONY Life Insurance Company of America.

depend on the strength of AXA

€€92 billion in revenue2 103 million clients2

“AXA” is the brand name of AXA Equitable Financial Services, LLC and its family of companies, including AXA Equitable Life Insurance Company (NY, NY), MONY Life Insurance Company of America (AZ stock company, administrative office: Jersey City, NJ), AXA Advisors, LLC, and AXA Distributors, LLC. AXA S.A. is a French holding company for a group of international insurance and financial services companies, including AXA Equitable Financial Services, LLC. This brand name change does not change the legal name of any of the AXA Equitable Financial Services, LLC companies. The obligations of AXA Equitable Life Insurance Company and MONY Life Insurance Company of America are backed solely by their claims-paying ability.

The Barclays U.S. Government Intermediate Bond Index covers the U.S. dollar-denominated, intermediate-term government bond market of securities.

The Russell 2000® Index measures the performance of approximately 2000 of the smallest companies in the Russell 3000® Index, and represents approximately 10% of the total market capitalization of the Russell 3000® Index.

The S&P 500® Index is a weighted index of common stocks of 500 leading companies in leading industries of the U.S. economy, capturing 75% coverage of U.S. equities. The index is capitalization-weighted, thereby giving greater weight to companies with the largest market capitalizations.

The Standard & Poor’s 400 MidCap Index is an unmanaged weighted index of 400 domestic stocks chosen for market size (market capitalization range of approximately $460.0 million to $9.2 billion), liquidity and industry group representation.

An investment that employs the use of derivatives, including futures and options, may not perform as intended and can, through unexpected market movements, increase the portfolio’s exposure to the existing risks of the underlying investments and maybe illiquid and difficult to value. Derivative transactions can increase portfolio transaction costs and are subject to a portfolio manager’s ability to correctly predict the direction of securities prices, interest rates, currency exchange rates and other economic factors. As a result, the portfolio may not realize the anticipated benefits of such transactions and may realize losses. Please see a portfolio’s prospectus for more risk information.

Please consider the charges, risks, expenses, and investment objectives carefully before purchasing a variable annuity, variable life insurance product or a mutual fund. For a prospectus containing this and other information, please contact a financial professional or log on to www.axa-equitablefunds.com. Read it carefully before you invest or send money.

The investment options discussed in this material are available only through certain mutual funds, variable life insurance and variable annuity products that are issued by AXA Equitable Life Insurance Company (AXA Equitable), New York, NY. Variable life insurance and variable annuity products are co-distributed through AXA Advisors, LLC, and AXA Distributors, LLC, members FINRA. AXA Equitable, AXA Advisors and AXA Distributors are affiliated companies located at 1290 Avenue of the Americas, New York, NY 10104, (212) 554-1234. AXA Equitable, AXA Advisors and AXA Distributors do not provide tax or legal advice.

G36892 GE-110602 (3/16) (Exp. 3/18) Cat# 152991 (3/16)