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Variable annuities

A variable annuity is a tax-deferred, long-term investment that accumulates assets and converts it into an income stream. You can take income from an annuity for as long as you live. The money you contribute is tax-deferred until you take a withdrawal and unlike many retirement plans, there is no limit on contributions that you make.

Variable annuities can be used to help provide a greater degree of control over your retirement income because you can choose from a range of investment options for greater diversification. Because the underlying subaccount investment options reside within the variable annuity, they also offer you the flexibility to change subaccounts without paying fees or taxes. This gives you the flexibility to adjust your exposure to market risk.

A subaccount invests in an underlying fund with a name, portfolio manager, objectives, strategies and characteristics that are the same or substantially similar to those of a publicly-traded mutual fund. Despite these similarities, an underlying fund is not the same as any publicly traded retail mutual fund. Each underlying fund will have its own unique portfolio holdings, fees, operating expenses and operating results. The results of each underlying fund may differ significantly from any publicly-traded retail mutual fund.

How can variable annuities help you?

Growth potential

The value of a variable annuity is based on the investments within it and goes up and down with the market. Because you choose the investment options, variable annuities range from conservative to aggressive. You may allocate a portion of your earned money to a fixed account. As the contract holder, you assume the potential rewards and risks of the market.

Diversification

Variable annuities offer options for diversification. You can choose your investments from a range of options. In addition, you can transfer funds from one investment option to another, tax free.

Income options

Choose between a fixed or variable stream of income. With variable income, your payments are based on the performance of the underlying investment options. With either option, you can also choose between a lump-sum payment or equal payments.

Optional benefits

Choose from living and death benefit riders, available for an extra fee, that can provide more protection, growth and income opportunities.

Variable annuities are insurance products that are complex long-term investment vehicles that are subject to market risk, including the potential loss of principal invested. Before you invest, be sure to ask your financial professional about the variable annuity's features, benefits, risks and fees, and whether the variable annuity is appropriate for you, based on your financial situation and objectives.

RiverSource® Annuities

Ameriprise Financial offers a range of annuity products, issued by RiverSource Life Insurance Company and in New York by RiverSource Life Insurance Company of New York. These products offer unique combinations of features and benefits to help you in all stages of retirement planning— accumulating assets, taking income and wealth transfer.

Variable annuity prospectuses
Variable annuity unit values

Withdrawals that do not qualify for a waiver may be subject to a withdrawal charge. Withdrawals are subject to income taxes, and withdrawals before age 59-1/2 may incur an IRS 10% early withdrawal penalty.

You should consider the investment objectives, risks, charges and expenses of the variable annuity and its underlying investment options carefully before investing. For a free copy of the annuity's and underlying investment's prospectus, which contains this and other information about variable annuities, call 1 (800) 437- 4332. Read the prospectus carefully before you invest.

Ameriprise Financial Services, Inc. offers financial advisory services, investments, insurance and annuity products. RiverSource® products are offered by affiliates of Ameriprise Financial Services, Inc., Member FINRA and SIPC. CA License #0684538.

Most annuities have a tax-deferred feature. So do many retirement plans under the Internal Revenue code. As a result, when you use an annuity to fund a retirement plan that is tax-deferred, your annuity will not provide any necessary or additional deferral for that retirement plan. But annuities do have features other than tax deferral that may help you reach your retirement goals. You should consult your tax advisor prior to making a purchase for an explanation of the tax implications to you.

The benefits of tax deferral may outweigh the costs of a variable annuity only if you hold it as a long-term investment.

RiverSource Distributors, Inc. (Distributor), Member FINRA. Insurance and annuity products are issued by RiverSource Life Insurance Company and in New York, by RiverSource Life Insurance Co. of New York, Albany, New York. Only RiverSource Life Insurance Co. of New York is authorized to sell insurance and annuities in New York.

VARIABLE ANNUITIES:

Are Not a Deposit of Any Bank OR BANK affiliate Are Not FDIC Insured Are Not Insured by Any FEDERAL Government Agency Are Not Insured by Any FEDERAL Government Agency May Lose Value
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Diversification helps you spread risk throughout your portfolio, so investments that do poorly may be balanced by other that do relatively better. Diversification does not assure a profit or protect against loss.
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