Common use of Net Return Clause in Contracts

Net Return. Factor for Each Valuation Period - The value of an Accumulation Unit for any Valuation Period is calculated by multiplying the Accumulation Unit value for the immediately preceding Valuation Period by the net return factor of the appropriate Fund for the current period. The net return factor for each Fund is equal to 1.0000000 plus the net return rate. The net return rate equals: (a) The value of the shares of the Fund held by the Separate Account at the end of a Valuation Period; minus (b) The value of the shares of the Fund held by the Separate Account at the start of the Valuation Period; plus or minus (c) Taxes (or reserves for taxes) on the Separate Account (if any); divided by (d) The total value of the Fund(s) Accumulation Units and Fund(s) Annuity Units of the Separate Account at the start of the Valuation Period; minus (e) A daily actuarial charge as shown on the Contract Schedule for Annuity mortality and expense risks and profit and a daily administrative charge. The net return rate may be more or less than zero (0) percent. The value of a share of the Fund is equal to the net assets of the Fund divided by the number of shares outstanding.

Net Return. Factor for Each Valuation Period - The value of an Accumulation Unit for any Valuation Period is calculated by multiplying the Accumulation Unit value for the immediately preceding Valuation Period by the net return factor of the appropriate Fund for the current period. The net return factor for each Fund is equal to 1.0000000 plus the net return rate. The net return rate equals: (a) The value of the shares of the Fund held by the Separate Account at the end of a Valuation Period; minus (b) The value of the shares of the Fund held by the Separate Account at the start of the Valuation Period; plus or minus (c) Taxes (or reserves for taxes) on the Separate Account (if any); divided by (d) The total value of the Fund(sFunds(s) Accumulation Units and Fund(s) Annuity Units of the Separate Account at the start of the Valuation Period; minus (e) A daily actuarial charge as shown on the Contract Schedule for Annuity mortality and expense risks and profit and a daily administrative charge. The net return rate may be more or less than zero (0) percent. The value of a share of the Fund is equal to the net assets of the Fund divided by the number of shares outstanding.