More than 2,000 advisers surveyed indicate an increasing use of alternative asset classes and a growing need for guided strategies from product providers

LANSING, Mich.--(BUSINESS WIRE)-- Jackson National Life Insurance Company^® (Jackson) today released the results of the Elite Access Alternative Investment Survey. The survey collected responses from more than 2,000 financial advisers to gauge their use of alternative asset classes and most critical needs from product providers. The responses showed an overwhelming increase in the expected use of alternatives to help offset market volatility and potentially improve portfolio diversification. Advisers also expressed a growing demand for guided strategies to help leverage alternatives within client portfolios.

According to the survey, more than nine out of 10 advisers expect to increase their use of alternative asset classes over the next year. Among those advisers who anticipate an increase, more than half said they would increase their use of alternatives by 15 percent or more in the next 12 months. Nearly a third will boost their use of alternatives by 20 percent or more. Of the small percentage of advisers who have not used alternative asset classes to date, more than 90 percent say they are now considering using them.

“The trend toward alternative asset classes among retail investors has been growing steadily for the past several years and this survey highlights the growing demand for new strategies,” said Clifford Jack, executive vice president and head of retail for Jackson. “Over the last decade, markets have experienced record volatility. We’re entering a new era of diversification and alternative asset classes are becoming a significant part of that development.”

The reason for an increased use of alternative asset classes was consistent among advisers, with nearly two-thirds citing further diversification as the primary purpose. However, the practical use of alternatives was not as clear among respondents. Understanding of alternative asset classes and clarity on how to use them within client portfolios topped the list of adviser concerns. The contrast between the demand for alternatives and adviser confidence in their proper utilization highlights a specific knowledge gap for product providers to consider.

With alternative use on the rise, guided strategies may become an important part of bridging that knowledge gap for advisers. According to those surveyed, guided strategies from product providers will play a key role in their use of alternatives. More than 95 percent of respondents said that guided strategies would be very or somewhat important in their construction of client portfolios. Nearly four out of five advisers said they would be more likely to use alternatives if offered within a guided strategy.

“The needs of investors are changing in today’s marketplace,” Jack said. “Portfolio allocation strategies are evolving beyond the traditional 60/40 model. As financial advisers adapt to these new strategies and rely more on alternative asset classes, product providers must offer the tools and resources they need to meet these demands. The advisers who took part in this survey made it very clear that guided strategies could play an important role in that effort.”

Jackson distributed the survey to advisers in attendance at more than 100 road shows across the country in support of Elite Access, a variable annuity designed to provide the potential for greater portfolio diversification through the use of alternative asset classes. The surveys were conducted in March 2012 and responses were received from 2,190 advisers. To request a copy of the executive summary, please contact Ryan McSparran at 303-224-7537 or ryan.mcsparran@jackson.com. To learn more about Elite Access, advisers should please visit www.Elite-Access.com or call 888-565-4997.

About Jackson National Life Insurance Company

With $120 billion in assets (IFRS)*, Jackson National Life Insurance Company (Jackson) is a leading provider of retirement solutions. The company sells variable, fixed and fixed index annuities, life insurance and institutional products. Through its affiliates and subsidiaries, Jackson also provides asset management and retail brokerage services. Jackson markets its products in 49 states and the District of Columbia through independent and regional broker-dealers, wirehouses, financial institutions and independent insurance agents. Jackson’s subsidiary, Jackson National Life Insurance Company of New York^®, similarly markets products in the state of New York. For more information, visit www.jackson.com.

*Jackson has $120 billion in total IFRS assets and $109 billion in IFRS policy liabilities primarily set aside to pay future policyowner benefits (as of 12/31/11). International Financial Reporting Standards (IFRS) is a principles-based set of international accounting standards indicating how transactions and other events should be reported in financial statements. IFRS is issued by the International Accounting Standards Board in an effort to increase global comparability of financial statements and results. IFRS is used by Jackson’s parent, Prudential plc, to report the Group’s financial results.

Diversification does not assure a profit or protect loss in a declining market.

Elite Access Fixed and Variable Annuity (VA650, VA 660) is issued by Jackson National Life Insurance Company (Home Office: Lansing, Michigan) and in New York (VA650NY, VA 660NY) by Jackson National Life Insurance Company of New York (Home Office: Purchase, New York). Variable annuities are distributed by Jackson National Life Distributors LLC, member FINRA. May not be available in all states, and state variations apply. This product has limitations and restrictions, including withdrawal charges and excess interest adjustments (interest rate adjustments in New York) where applicable. Jackson issues other variable annuities with similar features, benefits, limitations and charges. Discuss them with your representative or contact Jackson for more information. Before investing, investors should carefully consider the investment objectives, risks, charges and expenses of the variable annuity and its underlying investment options. The current contract prospectus and underlying fund prospectuses, which are contained in the same document, provide this and other important information. Please contact the Company to obtain the prospectuses. Please read the prospectuses carefully before investing or sending money. Variable annuities are long-term, tax-deferred investment vehicles designed for retirement. Earnings are taxable as ordinary income when distributed and, if withdrawn before age 59½, may be subject to a 10% federal tax penalty. Variable annuities involve investment risks and may lose value. Although asset allocation among different asset categories generally limits risk and exposure to any one category, the risk remains that management may favor an asset category that performs poorly relative to the other asset categories. . Some of those risks include general economic risk, geo-political risk, commodity-price volatility, counterparty and settlement risk, currency risk, derivatives risk, emerging markets risk, foreign securities risk, high-yield bond exposure, non-investment grade bond exposure, index investing risk, industry concentration risk, leveraging risk, market risk, prepayment risk, liquidity risk, real estate investment risk, sector risk, short sales risk, temporary defensive positions, and large cash positions.

Jackson National Life Insurance Company
Corporate Communications
Ryan McSparran, (303) 224-7537
ryan.mcsparran@jackson.com

Source: Jackson National Life Insurance Company