-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, KSW+MAFlMvu0kT6FzKqzx8iBVqy6cj7KUKiMC0gvx+/LTjJ5kdK50meC9M65z8Hs 1H8bzkldZP/Bi8+9jqFWjQ== 0000837276-02-000050.txt : 20020414 0000837276-02-000050.hdr.sgml : 20020414 ACCESSION NUMBER: 0000837276-02-000050 CONFORMED SUBMISSION TYPE: 497 PUBLIC DOCUMENT COUNT: 1 FILED AS OF DATE: 20020225 FILER: COMPANY DATA: COMPANY CONFORMED NAME: VARIABLE ANNUITY ACCOUNT B OF AETNA LIFE INS & ANNUITY CO CENTRAL INDEX KEY: 0000103005 STATE OF INCORPORATION: CT FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 497 SEC ACT: 1933 Act SEC FILE NUMBER: 033-34370 FILM NUMBER: 02557591 BUSINESS ADDRESS: STREET 1: 151 FARMINGTON AVE CITY: HARTFORD STATE: CT ZIP: 06156 BUSINESS PHONE: 2032734808 MAIL ADDRESS: STREET 1: AETNA LIFE & CASUALTY STREET 2: 151 FARMINGTON AVE CITY: HARTFORD STATE: CT ZIP: 06156 FORMER COMPANY: FORMER CONFORMED NAME: VARIABLE ANNUITY ACCOUNT B OF AETNA VARIABLE ANNUITY LIFE IN DATE OF NAME CHANGE: 19791108 497 1 marathongetrsupp-final.txt DEFINITIVE SUPPLEMENT TO PROSPECTUS File Nos. 33-34370, 811-02512 Filed Under Rule 497(c) VARIABLE ANNUITY ACCOUNT B AETNA LIFE INSURANCE AND ANNUITY COMPANY SUPPLEMENT DATED MARCH 15, 2002 TO MAY 1, 2001 PROSPECTUS GENERAL DESCRIPTION OF GET R Series R of the ING GET Fund (formerly known as Aetna GET Fund)(GET R) is an investment option that may be available during the accumulation phase of the contract. Aetna Life Insurance and Annuity Company (the Company, we, our) makes a guarantee, as described below, when you direct money into GET R. Aeltus Investment Management, Inc. serves as investment adviser to GET R. We will offer GET R shares only during its offering period, which is scheduled to run from March 15, 2002 through the close of business on June 13, 2002. GET R may not be available under your contract, your plan or in your state. Please read the GET R prospectus for a more complete description of GET R, including its charges and expenses. INVESTMENT OBJECTIVE OF GET R GET R seeks to achieve maximum total return, without compromising a minimum targeted return, by participating in favorable equity market performance during the guarantee period. GET R's guarantee period runs from June 14, 2002 through June 15, 2007. During the offering period, all GET R assets will be invested in short-term instruments and during the guarantee period will be invested in a combination of fixed income and equity securities. THE GET FUND GUARANTEE The guarantee period for GET R will end on June 15, 2007, which is GET R's maturity date. The Company guarantees that the value of an accumulation unit of the GET R subaccount under the contract on the maturity date (as valued after the close of business on June 15, 2007) will not be less than its value as determined after the close of business on the last day of the offering period. If the value on the maturity date is lower than it was on the last day of the offering period, we will transfer funds from our general account to the GET R subaccount to make up the difference. This means that if you remain invested in GET R until the maturity date, at the maturity date you will receive no less than the value of your separate account investment directed to GET R as of the last day of the offering period, less any maintenance fees or any amounts you transfer or withdraw from the GET R subaccount. The value of dividends and distributions made by GET R throughout the guarantee period is taken into account in determining whether, for purposes of the guarantee, the value of your GET R investment on the maturity date is no less than its value as of the last day of the offering period. The guarantee does not promise that you will earn the fund's minimum targeted return referred to in the investment objective. If you withdraw or transfer funds from GET R before the maturity date, we will process the transactions at the actual unit value next determined after we receive your order. The guarantee will not apply to these amounts or to amounts deducted as a maintenance fee, if applicable. MATURITY DATE Before the maturity date, we will send a notice to each contract holder who has amounts in GET R. This notice will remind you that the maturity date is approaching and that you must choose other investment options for your GET R amounts. If you do not make a choice, on the maturity date we will transfer your GET R amounts to another available series of the GET Fund that is accepting deposits. If no GET Fund series is available, we will transfer your GET R amounts to the fund or funds designated by the Company. 121907--X.GETR34370-01-Marathon March 2002 The following information supplements the "Fee Table" contained in the prospectus: MAXIMUM FEES DEDUCTED FROM INVESTMENTS IN THE SEPARATE ACCOUNT In addition to the amounts currently listed under the heading "Fee Table" in the prospectus, we will make a daily deduction of a GET R Guarantee Charge, equal on an annual basis to the percentage shown below, from the amounts allocated to the GET R investment option: SERIES R GUARANTEE CHARGE (deducted daily during the Guarantee Period) 0.50% MAXIMUM TOTAL SEPARATE ACCOUNT EXPENSES 1.40%/1/ The following information supplements the "Fund Expense Table" contained in the prospectus: ING GET FUND SERIES R ANNUAL EXPENSES (As a percentage of the average net assets.)
TOTAL FUND ANNUAL EXPENSES (AFTER EXPENSE INVESTMENT REIMBURSEMENT)/4/ ADVISORY FEES/2/ 12B-1 FEE OTHER EXPENSES/3/ ------------------ ------------- --------------------- --------------------------- ING GET Fund Series R 0.60% 0.25% 0.15% 1.00%
For more information regarding expenses paid out of assets of the fund, see the GET R prospectus. - --------------------------- 1 The total separate account expenses that apply to your contract may be lower. Please refer to the "Fee Table" section of your prospectus. 2 The Investment Advisory Fee will be 0.25% during the offering period and 0.60% during the guarantee period. 3 "Other Expenses" include an annual fund administrative fee of 0.075% of the average daily net assets of GET R and any additional direct fund expenses. 4 The investment adviser is contractually obligated through GET R's maturity date to waive all or a portion of its investment advisory fee and/or its administrative fee and/or to reimburse a portion of the fund's other expenses in order to ensure that GET R's Total Fund Annual Expenses do not exceed 0.75% of the fund's average daily net assets (excluding the 12b-1 fee). It is not expected that GET R's actual expenses without this waiver or reimbursement will exceed this amount. 121907--X.GETR34370-01-Marathon 2 March 2002 The following information supplements the "Hypothetical Examples" contained in the prospectus: HYPOTHETICAL EXAMPLES--ING GET FUND SERIES R ACCOUNT FEES YOU MAY INCUR OVER TIME. The following hypothetical examples show the fees and expenses paid over time if you invest $1,000 in the GET R investment option under the contract (until GET R's maturity date) and assume a 5% annual return on the investment./5/ - -------------------------------------- > These examples are purely EXAMPLE A EXAMPLE B hypothetical. If at the end of the periods > They should not be considered a If you withdraw your entire shown you (1) leave your representation of past or future account value at the end of the entire account value invested expenses or expected returns. periods shown, you would pay or (2) select an income phase > Actual expenses and/or returns may the following expenses, payment option, you would pay be more or less than those shown including any applicable the following expenses (no in these examples. early withdrawal charge: early withdrawal charge is reflected): - -------------------------------------- 1 YEAR 3 YEARS 5 YEARS 1 YEAR 3 YEARS 5 YEARS ING GET Fund Series R $93 $144 $190 $30 $90 $154
- ----------------------------- 5 The examples shown above reflect an annual mortality and expense risk charge of 1.25%, an annual contract administrative expense charge of 0.15%, an annual GET R guarantee charge of 0.50%, a $30 annual maintenance fee that has been converted to a percentage of assets equal to 0.023%, and all charges and expenses of the GET R Fund including the 12b-1 fee. Example A reflects an early withdrawal charge of 7% of the purchase payments at the end of year 1, 6% at the end of year 3, and 4% at the end of year 5. It also reflects the effect of the 10% free withdrawal amount. (The expenses that you would pay under your contract may be lower. Please refer to the "Fee Table" section of your prospectus.) 121907--X.GETR34370-01-Marathon 3 March 2002 The following information supplements "Appendix III--Description of Underlying Funds" contained in the prospectus: ING GET FUND (SERIES R) INVESTMENT OBJECTIVE Seeks to achieve maximum total return without compromising a minimum targeted return (Targeted Return) by participating in favorable equity market performance during the guarantee period, from June 14, 2002 through June 15, 2007, the maturity date. POLICIES Prior to June 14, 2002 assets are invested entirely in short-term instruments. After that date, assets are allocated between equities and fixed income securities. Equities consist primarily of common stocks. Fixed income securities consist primarily of short-to intermediate-duration U.S. Government securities and may also consist of mortgage backed securities and corporate obligations. The investment adviser uses a proprietary computer model to determine the percentage of assets to allocate between the fixed and the equity components. As the value of the equity component declines, more assets are allocated to the fixed component. RISKS The principal risks of investing in Series R are those generally attributable to stock and bond investing. The success of Series R's strategy depends on the investment adviser's skill in allocating assets between the equity and fixed components and in selecting investments within each component. Because Series R invests in both stocks and bonds, it may underperform stock funds when stocks are in favor and underperform bond funds when bonds are in favor. The risks associated with investing in stocks include sudden and unpredictable drops in the value of the market as a whole and periods of lackluster or negative performance. The principal risk associated with investing in bonds is that interest rates may rise, which generally causes bond prices to fall. If at the inception of, or any time during, the guarantee period interest rates are low, Series R assets may be largely invested in the fixed component in order to increase the likelihood of achieving the Targeted Return at the maturity date. The effect of low interest rates on Series R would likely be more pronounced at the beginning of the guarantee period as the initial allocation of assets would include more fixed income securities. In addition, if during the guarantee period the equity markets experienced a major decline, Series R assets may become largely invested in the fixed component in order to increase the likelihood of achieving the Targeted Return at the maturity date. Use of the fixed component reduces Series R's ability to participate as fully in upward equity market movements, and therefore represents some loss of opportunity, or opportunity cost, compared to a portfolio that is fully invested in equities. INVESTMENT ADVISER: Aeltus Investment Management, Inc. 121907--X.GETR34370-01-Marathon 4 March 2002 CONDENSED FINANCIAL INFORMATION (SELECTED DATA FOR ACCUMULATION UNITS OUTSTANDING THROUGHOUT EACH PERIOD) - -------------------------------------------------------------------------------- - -------------------------------------------------------------------------------- THE CONDENSED FINANCIAL INFORMATION PRESENTED BELOW FOR THE NINE MONTH PERIOD ENDED SEPTEMBER 30, 2001 IS DERIVED FROM THE UNAUDITED INTERIM FINANCIAL STATEMENTS OF THE SEPARATE ACCOUNT. THE FINANCIAL STATEMENTS FOR THE NINE MONTH PERIOD ENDED SEPTEMBER 30, 2001 ARE INCLUDED IN THE MARCH 15, 2002 STATEMENT OF ADDITIONAL INFORMATION.
TABLE I TABLE II 1.40% TOTAL CHARGES 1.25% TOTAL CHARGES ------------------- ------------------- AETNA ASCENT VP Value at beginning of period $17.415 $15.521 Value at end of period $14.179 $12.652 Number of accumulation units outstanding at end of period 580,364 123,533 AETNA BALANCED VP, INC. Value at beginning of period $23.622 $16.759 Value at end of period $20.966 $14.892 Number of accumulation units outstanding at end of period 1,816,428 392,964 AETNA BOND VP Value at beginning of period $14.811 $12.640 Value at end of period $15.873 $13.561 Number of accumulation units outstanding at end of period 2,103,629 532,818 AETNA CROSSROADS VP Value at beginning of period $16.155 $14.665 Value at end of period $14.034 $12.755 Number of accumulation units outstanding at end of period 687,303 179,804 AETNA GROWTH VP Value at beginning of period $20.638 $20.755 Value at end of period $14.195 $13.782 Number of accumulation units outstanding at end of period 673,731 1,009,966 AETNA GROWTH AND INCOME VP Value at beginning of period $25.247 $16.928 Value at end of period $19.203 $12.890 Number of accumulation units outstanding at end of period 5,797,873 1,093,450 AETNA INDEX PLUS LARGE CAP VP Value at beginning of period $20.478 $20.261 Value at end of period $16.103 $15.951 Number of accumulation units outstanding at end of period 2,310,339 788,454 AETNA INTERNATIONAL VP Value at beginning of period $11.434 $11.481 Value at end of period $7.599 $7.638 Number of accumulation units outstanding at end of period 141,611 38,443 AETNA LEGACY VP Value at beginning of period $15.267 $14.271 Value at end of period $14.195 $13.284 Number of accumulation units outstanding at end of period 928,106 337,712 AETNA MONEY MARKET VP Value at beginning of period $13.392 $12.145 Value at end of period $13.563 $13.693 Number of accumulation units outstanding at end of period 60,616 7,268,248 AETNA SMALL COMPANY VP Value at beginning of period $18.458 $18.563 Value at end of period $16.262 $16.373 Number of accumulation units outstanding at end of period 943,280 297,451 AETNA TECHNOLOGY VP Value at beginning of period $5.824 $5.830 Value at end of period $3.254 $3.261 Number of accumulation units outstanding at end of period 400,072 53,330 AETNA VALUE OPPORTUNITY VP Value at beginning of period $20.480 $20.596 Value at end of period $17.086 $17.203 Number of accumulation units outstanding at end of period 814,799 197,615 CALVERT SOCIAL BALANCED PORTFOLIO Value at beginning of period $12.089 $12.146 Value at end of period $10.528 $10.589 Number of accumulation units outstanding at end of period 79,737 61,571
121907--X.GETR34370-01-Marathon 5 March 2002
TABLE I TABLE II 1.40% TOTAL CHARGES 1.25% TOTAL CHARGES ------------------- ------------------- FIDELITY VIP EQUITY-INCOME PORTFOLIO Value at beginning of period $23.395 $16.799 Value at end of period $20.116 $14.461 Number of accumulation units outstanding at end of period 4,793,520 890,806 FIDELITY VIP GROWTH PORTFOLIO Value at beginning of period $31.342 $20.785 Value at end of period $21.861 $14.514 Number of accumulation units outstanding at end of period 3,319,805 795,606 FIDELITY VIP HIGH INCOME PORTFOLIO Value at beginning of period $10.735 $9.648 Value at end of period $9.112 $8.199 Number of accumulation units outstanding at end of period 1,851,184 440,465 FIDELITY VIP OVERSEAS PORTFOLIO Value at beginning of period $17.062 $14.491 Value at end of period $11.338 $12.111 Number of accumulation units outstanding at end of period 194,437 508,258 FIDELITY VIP II ASSET MANAGER PORTFOLIO Value at beginning of period $18.456 $15.387 Value at end of period $16.163 $13.491 Number of accumulation units outstanding at end of period 725,838 139,942 FIDELITY VIP II CONTRAFUND PORTFOLIO Value at beginning of period $24.674 $19.792 Value at end of period $20.041 $16.095 Number of accumulation units outstanding at end of period 3,801,059 621,629 FIDELITY VIP II INDEX 500 PORTFOLIO Value at beginning of period $24.151 $20.173 Value at end of period $18.985 $15.876 Number of accumulation units outstanding at end of period 4,179,541 941,399 JANUS ASPEN AGGRESSIVE GROWTH PORTFOLIO Value at beginning of period $30.497 $21.226 Value at end of period $16.076 $11.202 Number of accumulation units outstanding at end of period 2,212,854 515,174 JANUS ASPEN BALANCED PORTFOLIO Value at beginning of period $26.630 $21.234 Value at end of period $23.947 $19.116 Number of accumulation units outstanding at end of period 2,701,838 765,709 JANUS ASPEN FLEXIBLE INCOME PORTFOLIO Value at beginning of period $16.170 $13.554 Value at end of period $17.179 $14.415 Number of accumulation units outstanding at end of period 774,708 214,077 JANUS ASPEN GROWTH PORTFOLIO Value at beginning of period $29.345 $20.951 Value at end of period $19.310 $13.802 Number of accumulation units outstanding at end of period 2,429,930 498,516 JANUS ASPEN WORLDWIDE GROWTH PORTFOLIO Value at beginning of period $32.413 $23.476 Value at end of period $22.060 $15.995 Number of accumulation units outstanding at end of period 5,688,925 1,017,319 MFS GLOBAL GOVERNMENTS SERIES Value at beginning of period $10.799 $10.875 Value at end of period $11.193 $11.286 Number of accumulation units outstanding at end of period 132,673 33,139 MFS TOTAL RETURN SERIES Value at beginning of period $16.782 $16.901 Value at end of period $15.770 $15.900 Number of accumulation units outstanding at end of period 2,088,500 475,578 OPPENHEIMER AGGRESSIVE GROWTH FUND/VA Value at beginning of period $21.423 $21.545 Value at end of period $13.399 $13.491 Number of accumulation units outstanding at end of period 856,280 267,951 OPPENHEIMER GLOBAL SECURITIES FUND/VA Value at beginning of period $21.023 $21.142 Value at end of period $15.654 $15.761 Number of accumulation units outstanding at end of period 503,445 90,235
121907--X.GETR34370-01-Marathon 6 March 2002
TABLE I TABLE II 1.40% TOTAL CHARGES 1.25% TOTAL CHARGES ------------------- ------------------- OPPENHEIMER MAIN STREET GROWTH & INCOME FUND/VA Value at beginning of period $14.248 $14.329 Value at end of period $11.746 $11.826 Number of accumulation units outstanding at end of period 1,895,303 614,010 OPPENHEIMER STRATEGIC BOND FUND/VA Value at beginning of period $11.206 $11.269 Value at end of period $11.147 $11.224 Number of accumulation units outstanding at end of period 779,705 236,378 PPI MFS CAPITAL OPPORTUNITIES PORTFOLIO Value at beginning of period $17.303 $17.385 Value at end of period $10.845 $10.909 Number of accumulation units outstanding at end of period 1,116,505 314,907 PPI MFS EMERGING EQUITIES PORTFOLIO Value at beginning of period $19.644 $13.372 Value at end of period $11.536 $7.861 Number of accumulation units outstanding at end of period 3,720,936 537,151 PPI MFS RESEARCH GROWTH PORTFOLIO Value at beginning of period $17.659 $12.169 Value at end of period $12.306 $8.489 Number of accumulation units outstanding at end of period 2,874,930 524,055 PPI SCUDDER INTERNATIONAL GROWTH PORTFOLIO Value at beginning of period $14.415 $14.482 Value at end of period $10.059 $10.117 Number of accumulation units outstanding at end of period 219,954 60,547 PPI T. ROWE PRICE GROWTH EQUITY PORTFOLIO Value at beginning of period $27.438 $19.893 Value at end of period $17.316 $21.321 Number of accumulation units outstanding at end of period 249,196 3,081,320
121907--X.GETR34370-01-Marathon 7 March 2002 -----END PRIVACY-ENHANCED MESSAGE-----