Patent ID: 8645261
Filing Date: 2014-02-04
Classification: G06Q

Abstract:
1. A computerized method utilizing a processing device for providing an index-backed annuity, the method comprising: electronically receiving an investor request for an index-backed annuity and a plurality of funds to be invested in the index-backed annuity; electronically receiving a selection of at least one investment segment, for each investment segment receiving a selection of a segment term; electronically placing, via a processing device, the plurality of funds in a holding account; electronically determining, via the processing device a performance cap rate and a segment buffer rate and transferring the plurality of funds to a segment account on a segment start date; receiving a request to exercise an opt-out option prior to maturity of the segment term; electronically calculating, via the processing device, a segment interim value of the index-backed annuity prior to the maturity of the segment term, the segment interim value calculated based at least on a of a current value of fixed instruments, current value of derivatives, and an expense spread refund based on the current value of the derivatives and a value of the derivatives at the segment start date; crediting the segment interim value of the index-backed annuity to the plurality of funds in the segment account; in response to a rollover request, electronically determining whether the index-backed annuity should be rolled over based on an annuity contract of the investor; and upon determining that the index-backed annuity should be rolled over, electronically transferring the plurality of funds into a new investment segment.