STATS: RETURNS ARE VARIABLE AMONG ANNUITY PRODUCTS

Aggressive growth

Top 10

PRODUCT 1-YEAR % 3-YEAR % UNDERWRITER

Select*II PCM Voyager Q 33.91% 26.00% Reliastar Life

Select*III PCM New Opportunities Q 31.29% 25.44% Reliastar Life

Personal IDS Capital Resources 30.78% 18.48% American Enterprise Life

WRL Freedom VA Aggre Growth 30.67% 23.64% Western Reserve/Ohio

WRL Freedom Attainer Aggr Growth 30.67% 23.64% Western Reserve/Ohio

IDS Life Symphony Capital Resource 30.65% 18.43% IDS Life

IDS Life Symphony N.Y. Capital Resource 30.65% 13.92% IDS Life

WRL Freedom Bellwether Aggr Growth 30.48% 23.45% Western Reserve/Ohio

WRL Freedom Conqueror Aggr Growth 30.48% 23.45% Western Reserve/Ohio

Variflex Grp Unallocated Emerg Growth 28.96% 19.56% Security Benefit Life

BOTTOM 5

Momentum Plus 401(k) Aggr Stk 16.94% 21.86% Merrill Lynch Life Insurance

EQUI-VEST IRA/QP IRA OR Aggr Stk 17.11% 21.98% Merrill Lynch Life Insurance

BOA III/Strong Discovery 21.02% 15.29% Nationwide Life

Pacific Select VA Colum Cir Aggr Equity 21.28% N/A Pacific Mutual Life

Fortis Val Adv Plus Strong Disc II 21.75% N/A Fortis Benefit

Average 24.66% 20.41%

While Reliastar Life took top honors in the category, Western Reserve boasted four spots in the top 10. But the best performers in domestic growth beat aggressive growth by miles.

Corporate bond high yield

Top 10

PRODUCT 1-YEAR % 3-YEAR % UNDERWRITER

EQUI-VEST SEP/SAR Allian High Yield 16.72% 18.66% Merrill Lynch Life

Momentum 401(k) High Yield 16.72% 18.66% Merrill Lynch Life

Fidelity Reserves/VIP High Income 16.41% 15.72% Fidelity Investments Life

Cova VA Acct One Lord A. Bd Deben 15.62% N/A Cova Fin’l Services Life

Travelers Univ Annty High Yield Bd Q 14.45% 13.76% Travelers Life

PML Div II T. Rowe High Yield Bd Flex 13.98% 13.36% Penn Insurance & Annuity

Perspective PPM Amer/JNL High Yield Bd 13.30% N/A Jackson National Life

United Investors Adv II High Inc 13.14% 13.62% United Investors

Prudential Dis Plus High Yield Bd 12.83% 12.53% Prudential

Prudential VIP-86 High Yield Bd 12.83% 12.53% Prudential

BOTTOM 5

Pacific Select VA High Yield Bd 6.83% 10.63% Pacific Mutual Life

Fortis Masters Ann High Yield 7.55% 9.02% Fortis Benefit

Bankers Sec/Northstar High Yield Bd NQ 8.92% N/A Bankers Security

Cova VA Acct One VKM High Yield 9.73% 11.19% Cova Fin’l Services Life

Farm Bureau High Yield Bond 9.71% 11.02% Farm Bureau

Average 13.14% 13.80%

Merrill Lynch is on top of both the one- and three-year rankings, with Fidelity close behind in one-year. Pacific Select seems to be having some trouble with the concept of high yield.

Corporate bond diversified

Top 10

PRODUCT 1-YEAR % 3-YEAR % UNDERWRITER

Hancock Accomm Sin Immed Sovrn Bond 9.49% 8.89% John Hancock Mutual

NYLIAC Mainstay VP II Bond 9.24% 7.52% New York Life Ins & Annuity

Farm Bureau High Grade Bond 9.15% 7.75% Farm Bureau

Mainstay Plus Bond Fund 9.13% N/A New York Life Ins & Annuity

Variflex High Grade Income 9.07% 6.81% Security Benefit Life

Maxiflex Indiv Conseco Corp Bond 8.85% 8.94% Great American Reserve

Great Amer Res Uni Corp Bond NQ 8.85% 8.94% Great American Reserve

MFS Compass-G Bond Q 8.75% 9.13% Sun Life Ins Co of N. Y.

MFS Compass-1 (US) Bond 8.70% 9.07% Sun Life Ins Co of N. Y.

Manulife Acct 2 Ann Cap Gr Bond 8.34% 7.92% Manufacturers Life of N. A.

BOTTOM 5

Lincoln Benefit IAI Reserve 3.23% 3.36% Lincoln Benefit Life

Cigna Accru NB Limited Mat Bond 5.35% N/A Cigna Investors

United Investors Adv II Lm Term Bond 6.50% 6.44% United Investors Life

Prudential Dis Plus Diversified Bond 7.29% 8.90% Prudential

Kemper Gateway Elite Inv Grade Bond 7.69% N/A First Allmerica Financial

Average 8.01% 7.86%

There’s not a lot of variation from top to bottom of the one-year top 10, just a hair over one percentage point. Lincoln Benefit IAI Reserve gets points for consistency but not for returns.

EQUITY INCOME

Top 10

PRODUCT 1-YEAR % 3-YEAR % UNDERWRITER

Prudential Dis Plus Equity Income 36.17% 25.51% Prudential

DVA+ (Stan DB) Kayne Andrn Ris Div 33.51% 27.19% Golden American Life

United Investors Adv II Income 30.70% 26.58% United Investors Life

Kemper Gateway Custom Contra Value 30.25% N/A First Allmerica Financial

Kemper Adv III Value Q 30.00% N/A Kemper Investors Life

Fidelity Reserves/VIP Equity Income 28.28% 24.59% Fidelity Investments Life

Select*II VIPF Equity Income Q 27.81% 24.19% Reliastar Life

Zenith Flex VIP Equity Income 27.76% 24.35% New England Life

Alpha VIP Equity Income 27.69% 24.07% Alexander Hamilton Life

No-Load T. Rowe Price Equity Income 26.76% N/A Security Benefit Life

BOTTOM 4

IDS Life Symphony Equity Income 22.47% 16.29% IDS Life

Variflex LS Equity Income 25.40% N/A Security Benefit Life

Variflex Equity Income 25.66% N/A Security Benefit Life

Variflex Grp Allocated Equity Income 25.73% N/A Security Benefit Life

Average 28.16% 23.68%

IDS Life Symphony had a lock on the cellar, almost three percentage points below its nearest competitor for the year and more than seven points below the average for three years.

Domestic growth

Top 10

PRODUCT 1-YEAR % 3-YEAR % UNDERWRITER

MFS Compass-G Investors Growth Stk Q 53.90% 35.36% Sun Life of New York

MFS Compass-1 (U.S.) Growth Stk 53.83% 35.29% Sun Life of New York

Fortis Val Adv Plus Alliance PremGrowth 46.28% N/A Fortis Benefit

Value Guard II Flex Gabel Cap Asset 45.71% N/A Guardian Insurance & Annuity

Prudential Dis Plus Pru Jennison 41.06% N/A Prudential

BOA III/Nationwide Cap App 37.38% 30.37% Nationwide Life

USAA VA Scudder Capital Growth 37.23% 29.66% USAA Life

Hancock Accomm Sin Immed Lrg Cap Gr 36.82% 28.13% John Hancock Mutual

MN MultiOption Select Cap Appreciat 36.33% 23.49% Minnesota Mutual

MFS Regatta Gold Value 36.07% N/A Sun Life of New York

BOTTOM 5

Farm Bureau Growth Common Stock 3.95% 14.68% Farm Bureau

PML Div II VP Capital Apprec Flex 6.36% 6.12% Penn Insurance & Annuity

Fortis Val Adv Plus TCI Growth 7.17% N/A Fortis Benefit

Travelers Univ Temp Stock 12.44% 19.72% Travelers Life

DVA+ (Stan DB) Pilgrim Baxt All-Gr 14.91% 7.78% Golden American Life

Average 29.66% 26.67%

MFS Compass ought to give some pointers to MFS Regatta, though the latter’s one-year return was not at all shabby. It could have claimed a top spot in almost any other category.

International STOCK

Top 10

PRODUCT 1-YEAR % 3-YEAR % UNDERWRITER

BOA III/TCI Int’l 23.98% 19.42% Nationwide Life

Educator American Century VP Int’l 23.94% 19.33% Great American Reserve

Value Guard II Flex B Giff Int’l 23.08% 17.59% Guardian Insurance & Annuity

Phoenix Big Edge Plus Int’l 21.71% 18.66% Phoenix Home Life Mutual

Phoenix GSE Allocated Int’l 21.71% 18.66% Phoenix Home Life Mutual

WRL Janus Int’l 20.81% 29.67% Western Reserve/Ohio

Fortis Opport Ann Int’l Stock 19.36% 15.71% Fortis Benefit

American General VP Overseas 18.63% 15.00% American General Life

PML Div II Vontobel Int’l Equity Flex 17.70% 17.75% Penn Insurance & Annuity

Kemper Gateway Custom Int’l 16.71% 17.03% First Allmerica Financial

BOTTOM 5

Fortis Val Adv Plus Strong Int’l II -12.45% N/A Fortis Benefit

Independence Preferred Int’l Eq Indx 2.22% 6.32% John Hancock Mutual

Hancock Accomm Sin Immed Int’l Eqty 2.73% 6.85% John Hancock Mutual

Phoenix Big Edge Plus Wngr Int’l SmCp 3.53% N/A Phoenix Home Life Mutual

IDS Life Symphony Int’l Equity 5.63% 13.66% IDS Life

Average 8.51% 12.97%

Europe may have played a part in the returns of the top 10 here. Fortis Value’s portfolio managers selected stocks in all the wrong places and ended up in negative territory.

One-year figures are for the period from May 31, 1997, to May 31, 1998. Three-year returns are annualized. N/A means not applicable. Variable annuities and related products are mutual fund-type accounts with an insurance wrapper.

Source: CDA/Wiesenberger