The great west investments fixed account is an attractive stable value investment choice provided by Great-West Life & Annuity Insurance Company (GWL&A). It offers principal preservation, steady returns, and low volatility. As a fixed account option, it provides a guaranteed minimum interest rate and allows investors to allocate a portion of their retirement plan assets for capital preservation. With strong financial backing from GWL&A, the fixed account provides a stable haven amid stock market turbulence. Its interest rates may not beat stocks in bull markets but will outperform in down markets. For conservative investors or those approaching retirement, it deserves consideration for the fixed income allocation.

The great west fixed account guarantees your principal and offers stable returns
The key advantage of the GWL&A fixed account is principal preservation and stable returns. Your original investment is fully guaranteed by GWL&A, which has strong claims-paying ability as an insurance company. This makes the fixed account an ideal option for capital preservation, especially for investors who want to reduce volatility as they approach retirement. While it may not generate exceptional growth, the fixed account provides steady returns. GWL&A declares a minimum guaranteed interest rate, so your account will never lose value. Over the long term, it has produced returns in line with other stable value products.
The interest rates on the fixed account generally keep pace with short-term bond yields
The fixed account credits interest daily based on declaration rates set by GWL&A. These declared rates typically follow short-term bond yields like US Treasuries. In declining rate environments, the fixed account will lag market interest rates but provide a stable haven against volatility. In rising rate environments, its returns should gradually increase with market yields. Overall, this close relationship with short-term bonds makes the fixed account returns predictable but moderate. For those seeking stability amid rate swings, the fixed account can play an important role.
The GWL&A fixed account has strong backing from a highly-rated insurance company
An insurance company backs the fixed account guarantees, so the financial strength of that insurer is critical. GWL&A has strong claims paying ability, reflected in high ratings from agencies like S&P, Moody’s, and Fitch. The parent company, Great-West Lifeco, has over $2 trillion in assets under administration. This enhances the safety of the fixed account. Conservative investors can have confidence that GWL&A has the financial resources to uphold its guarantees under adverse scenarios.
For retirement plan participants seeking predictable returns and capital preservation, the Great-West fixed account is an attractive stable value option. With principal guarantees, steady interest rates, and exceptional credit quality, it provides a safe haven from volatility.