AB Growth and Value Balanced IndexSM [ABGAVL]

The AB Growth and Value Balanced IndexSM (the Index) combines a dynamic equity strategy with duration managed fixed income to deliver diversification and consistent returns. The Index dynamically adapts exposures using a rules-based approach to help navigate changing market environments.

Pricing History

Past performance does not guarantee future results. Hypothetical, backdated data for illustrative purposes.

Total Returns

Past performance does not guarantee future results. The AB Growth and Value Balanced IndexSM was launched on October 22, 2020. Levels for the Index before October 22, 2020 represent hypothetical data determined by retroactive application of a back-tested model, itself designed with the benefit of hindsight. The above hypothetical chart only reflects the performance of the AB Growth and Value Balanced IndexSM, which seeks to provide excess returns reflecting the performance of the weighted components minus a specific benchmark. Dividends may or may not be included. The benchmark used by the Index is the Fed Funds rate. Individuals cannot invest directly in an index. The AB Growth and Value Balanced IndexSM (the “Index”) embeds an annual index cost in the calculations of the change in index value. This embedded index cost will reduce any change in index value, and it funds certain operational and licensing costs for the Index.

The performance for the index prior to 10/22/2020, the index’s inception date, reflects an inception date of 7/1/1992 and is the date used to calculate max range annualized performance.

Source: AB


The Index seeks consistent risk-adjusted returns, with diversification across stocks and bonds

Fund Overview
  • Uses a risk-driven approach to tactically allocate more assets into stocks in calm markets and more assets into bonds when markets are stressed
  • Employs proprietary signals to dictate allocations between growth and value equities
  • Actively manages the interest rate sensitivity of the index to navigate changing interest rate environments
Primary Investments
  • US Growth Equities
  • US Value Equities
  • 10 Year US Treasuries
  • 2 Year US Treasuries
AB’s Multi-Asset Solutions
Experience That Counts; Strategies That Matter

Leveraging capabilities across asset classes, AB’s Multi-Asset team takes a thoughtful, unconstrained approach to strategy design and implementation. Backed by 50 years of trusted portfolio management and innovation, we use all markets to get through all markets. This global perspective allows us to see beyond conventional investment strategy in creating custom solutions to meet unique client needs.

Market Risk: The market values of the portfolio’s holdings rise and fall from day to day, so investments may lose value.

Foreign (non-US) Risk: Non-US securities may be more volatile because of political, regulatory, market and economic uncertainties associated with such securities. Fluctuations in currency exchange rates may negatively affect the value of the investment or reduce returns. These risks are magnified in emerging or developing markets.

Interest-Rate Risk: As interest rates rise, bond prices fall and vice versa—long-term securities tend to rise and fall more than short-term securities.

Diversification Risk: Portfolios that hold a smaller number of securities may be more volatile than more diversified portfolios, since gains or losses from each security will have a greater impact on the portfolio’s overall value.

Credit Risk: A bond’s credit rating reflects the issuer’s ability to make timely payments of interest or principal—the lower the rating, the higher the risk of default. If the issuer’s financial strength deteriorates, the issuer’s rating may be lowered and the bond’s value may decline.

Leverage Risk: Trying to enhance investment returns by borrowing money or using other leverage tools can magnify both gains and losses, resulting in greater volatility.

Derivatives Risk: Derivative instruments such as options, futures, forwards or swaps can be riskier than traditional investments, and may be more volatile, especially in a down market.

Below-Investment-Grade Securities Risk: Investments in fixed-income securities with lower ratings (commonly known as “junk bonds”) tend to have a higher probability that an issuer will default or fail to meet its payment obligations.

Real Estate Risk: Investments in real estate can decline due to a variety of factors affecting the real estate market, such as economic conditions, mortgage rates and availability. REITs may have additional risks due to limited diversification and the impact of tax law changes.

Commodity Risk: Commodity-linked investments may experience greater volatility than investments in traditional securities. The value of commodity linked investments may be affected by financial factors, political developments and natural disasters.

ETF Risk: Investments in an ETF bear the share of the ETF’s expenses and run the risk that the ETF may not achieve its investment objective.

Asset Allocation Risk: Diversification and asset allocation may not protect against market risk. All investments have inherent risks and investors may experience a loss.

Sector Risk: Investing a significant portion of assets in any one sector may cause a fund to be more volatile, as securities within a specific sector can be prone to regulatory action, be more sensitive to interest-rate fluctuations, and be the target of increased competition.

Alternative Investment Risk: An alternative investment is subject to a number of risks and is not suitable for all investors. Investing in alternative investments is only intended for experienced and sophisticated investors who are willing to bear the high economic risk associated with such investments.

AB Growth and Value Balanced IndexSM is a service mark owned by AllianceBernstein L.P. (“AB”), and has been licensed to Nationwide (“Licensee”). The index annuity product to which this disclosure applies (the “Product”) has been developed solely by Licensee. The Product is not sponsored, endorsed, or promoted by AB, and AB bears no liability with respect to the Product or any index on which such Product is based. AB does not provide investment advice to the Product or Licensee, and in no event shall any contract owner of the Product be deemed to be a client of AB. The prospectus, contract, policy or other similar governing document contains a more detailed description of the limited relationship AB has with Licensee and any related product.

For more information, please email Financial Services Client Service or call 1-516-217-6797.