An Indexed Strategy is an approach within indexed life insurance policies where cash value growth is tied to the performance of a specific stock market index. It determines how and when the index’s performance will affect your cash value.
For example, in an annual point-to-point strategy, growth is measured yearly from the start date to the end date, and any increase within the cap is credited to your cash value. It’s a structured way to participate in market gains while still benefiting from a floor rate.