Create a Source of Guaranteed Income for Life — Nationwide New Heights® Select

One of the most common fears in retirement planning is not running out of money before you run out of life. Traditional 401(k)s and IRAs leave you exposed to market swings at precisely the worst time — near or in retirement. The Nationwide New Heights® Select fixed indexed annuity, combined with the optional High Point 365® Select Lifetime Income Rider, is designed to solve that problem directly — creating a guaranteed paycheck that arrives every month for the rest of your life, no matter what markets do.

What Is a Fixed Indexed Annuity?

A fixed indexed annuity is a contract between you and an insurance company. You make a purchase payment, and in return the insurer credits interest based on the performance of a market index — such as the S&P 500® — while guaranteeing that your principal is never reduced by negative index performance.

Think of it as participation in market growth with a built-in floor of zero. When markets rise, your account grows. When markets fall, your value simply stays flat — it never goes negative. This combination of upside potential with downside protection is what makes fixed indexed annuities a powerful foundation for retirement income planning.

Key Features of Nationwide New Heights® Select

How Your Guaranteed Income Grows

The High Point 365® Select rider works through two simultaneous mechanisms that together create a powerful income-building engine:

Mechanism 1 — The Guaranteed Roll-Up

From day one, your Minimum Income Benefit Value starts with a 30% bonus on top of your purchase payment. From there it grows at 9.5% compound annually — every day — for up to 12 years. This growth is guaranteed regardless of what the market does. By year 12 with no withdrawals, your income benefit base is contractually guaranteed to more than triple your original purchase payment.

Mechanism 2 — The Daily High Point Lock-In

Simultaneously, the product tracks your Daily Accumulation Value (DAV) — which reflects actual index performance. Every single day that the DAV reaches a new high point, that value is automatically locked in as your new income benefit base. If market performance outpaces the guaranteed roll-up, your income benefit base automatically steps up to reflect the higher market value. You benefit from whichever is greater — the guaranteed floor or the market high point.

Real-World Examples

Two Ways Income Can Increase After You Start

Unlike traditional annuities where income is fixed once payments begin, Nationwide New Heights® Select continues to work for you even after withdrawals start:

• Every year you wait to begin: Your lifetime payout percentage increases guaranteed — up to 17.44% for single life. The longer you defer, the higher the percentage applied to your income benefit base.
• Every new daily high point: If your DAV reaches a new high point after income begins, your income benefit base resets upward and your next monthly payment increases automatically.

Important Considerations

As with any financial product, understanding the full picture is essential before making a decision:

• The optional High Point 365® Select rider carries an annual charge of 1.10%, calculated on the High Point Income Benefit Base and assessed quarterly from the contract value
• The income benefit base (used to calculate lifetime income) is not the same as your contract value and cannot be withdrawn as a lump sum
• Withdrawals exceeding your annual lifetime income amount are considered excess withdrawals and will reduce future income proportionally
• Lifetime income withdrawals cannot begin until after the first contract year and after the younger covered life reaches age 50
• Withdrawals before age 59½ may be subject to a 10% federal tax penalty in addition to ordinary income taxes
• All guarantees are subject to the claims-paying ability of Nationwide Life and Annuity Insurance Company — rated A+ by both S&P and AM Best