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AEFC

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Analysis and statistics

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About

American Equity Investment Life Holding Company (AEFC.US) is a financial services company that develops, markets, and sells fixed index annuities and other insurance products, primarily to pre-retirees and retirees in the United States. These annuities offer tax-deferred growth potential linked to market indexes while providing downside protection from market losses. American Equity primarily distributes its products through independent marketing organizations and independent agents.

Factors

Interest Rate Changes: When interest rates rise, the price of existing AEFC.US bonds typically falls, and vice versa. Bond yields need to stay competitive.

Credit Rating Changes: Downgrades in AEFC's credit rating can lower bond prices, while upgrades can increase them. Ratings reflect default risk.

Inflation Expectations: Higher inflation expectations can erode the real value of bond yields, leading to lower prices.

Economic Growth: Strong economic growth may reduce demand for safe-haven assets like bonds, decreasing prices.

Liquidity: If AEFC.US bonds become less liquid, meaning harder to buy or sell quickly, their price may decrease.

Maturity Date: Longer-maturity bonds are more sensitive to interest rate changes, potentially leading to greater price fluctuations.

Supply and Demand: Increased supply of AEFC.US bonds can decrease prices, while higher demand can increase prices.

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