Professional Diversification The five asset allocation portfolios (1-5) were developed by Ibbotson Associates, a Morningstar company. Rooted in the seminal academic research of Professor Roger Ibbotson, Ibbotson Associates is one of the leading authorities on asset allocation. With expertise in capital market expectations, asset allocation and portfolio implementation, Ibbotson bridges the gap between academic theory and real-world practice. Diversification allows you to spread your money over a variety of investments. Some investments perform better than others at certain times, and with a diversified portfolio you have a better chance of weathering the ups and downs of the market. However, diversification cannot guarantee gains or protect against loss. Portfolio Rebalancing and Dollar Cost Averaging are additional contract features that can enhance your diversification strategy. See your prospectus for details. A simple questionnaire assesses your investment time horizon, willingness to accept risk and financial goals. Your responses are matched to one of the asset allocation portfolios, which is allocated among the underlying investment options. If you have not already been provided with a questionnaire, ask your registered representative for assistance.
Retirement-Driven Diversification – Courtesy of Fidelity® Investments In addition to the five questionnaire-driven asset allocation models, instant diversification can be achieved by selecting the Fidelity VIP Freedom Fund appropriate for your expected retirement date. Fidelity VIP Freedom Funds are lifecycle funds, offering the power of a diversified set of mutual funds in a single fund, with the added benefit of professional asset allocation. Freedom Funds have an asset allocation mix among stocks, bonds, and shortterm instruments that is more aggressive when you’re younger and becomes more conservative as you near retirement. Pick the fund with a target retirement date closest to when you want to retire, and Fidelity’s expert money managers will do the rest.
Fidelity VIP Freedom Funds 2050 Fund
2045 Fund
2040 Fund
Retirement Date 2048-2052
Retirement Date 2043-2047
Retirement Date 2038-2042
2035 Fund
2030 Fund
2025 Fund
Retirement Date 2033-2037
Retirement Date 2028-2032
Retirement Date 2023-2027
2020 Fund
2015 Fund
2010 Fund
Retirement Date 2018-2022
Retirement Date 2013-2017
Retirement Date 2008-2012
You should carefully consider a variable annuity or a variable universal life insurance policy’s risks, charges, limitations and expenses, as well as the risks, charges, expenses and investment objectives of the underlying investment options. This guide is authorized for distribution only when preceded or accompanied by product and fund prospectuses. The prospectuses contain more complete information about the product, including charges, limitations, expenses and investment options. As an investor, you should consider the investment objectives, risks, charges and expenses of the investment company carefully before investing. Read the prospectuses carefully before investing money. Variable annuities are long-term investments designed for retirement. The value of the variable investment options will fluctuate and, when redeemed, may be worth more or less than the original cost. Withdrawals and other distributions of taxable amounts, including death benefit payments, will be subject to ordinary income tax. If withdrawals and other distributions are taken prior to age 59 ½, a 10% federal tax penalty may apply. A withdrawal charge may also apply. Withdrawals will reduce the cash value of the contract, the contract’s death benefit, and any optional benefits. See your variable annuity product prospectus for details about specific product charges, risks and limitations. Variable universal life insurance is designed to provide a death benefit in case of loss of life of the insured. A variable universal life policy’s cash value is driven by the variable investment options, which will fluctuate and may be worth more or less than the original cost. As many of the fees and charges are deducted from the cash value of the policy, a policy will lapse if the amount of cash value available under the policy is insufficient to cover the fees and charges. Withdrawals from the contract will reduce cash value and may be subject to ordinary income tax. See your variable universal life product prospectus for details about specific product charges, risks and limitations. Actual allocations may vary from target allocations. Asset allocation does not guarantee future results. Investment in an individual fund or funds in a single asset class may outperform or underperform an asset allocation fund. Bond investments will fluctuate with interest rate changes. As interest rates rise, bond prices will fall. High yield bonds have greater credit risk than higher quality bonds. Small-cap, mid-cap and emerging-growth company stocks may be riskier and more volatile than larger, more established company stocks. International investing is subject to currency fluctuations and political changes. The risks of international investments can be accentuated when investing in emerging markets. Real estate investments involve risks such as refinancing, interest rate fluctuations, economic impact on industry, changes in property values, dependency on management skills and risks similar to small company investing. Sector portfolios and concentrated portfolios with fewer securities may be subject to greater price volatility. Although some portfolios may have names or investment objectives that resemble retail mutual funds managed by the same money manager, these portfolios will not have the same underlying holdings or performance as the retail mutual funds. Investment results may be higher or lower. An investment in the money market fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although the fund seeks to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in the fund. Century II Variable Products are not sponsored, managed, sold or promoted by Ibbotson Associates Inc. or its affiliates.
Income Fund
Variable Product Series
Presently retired Performance of the Freedom Funds depends on the underlying Fidelity funds. These funds are subject to the volatility of the financial markets in the U.S. and abroad and may be subject to the additional risks associated with investing in high-yield, small-cap and foreign securities. Please carefully consider the fund’s investment objectives, risks, charges and expenses before investing. Carefully read the prospectus before you invest or send money.
Ibbotson Associates Suggested Allocations May 2010
Building your future with a secure partner
Kansas City Life’s Century II Variable Product series is distributed by Sunset Financial Services Inc., Member FINRA and SIPC, a wholly owned subsidiary of Kansas City Life Insurance Company.
5690
www.kclife.com
5.10m
Kansas City Life Century II Variable Product Line
ASSET ALLOCATION PORTFOLIO MODELS Portfolio 1
Creating your own portfolio can be a complicated and confusing process. In conjunction with Ibbotson Associates, one of the leading authorities on asset allocation, the following investment models have been produced to help simplify the decision. If you know your risk tolerance, simply select a model and decide how much to invest. If you need help determining your risk tolerance, your registered representative can help you determine which model best suits your investment style by having you complete a brief questionnaire.
Time Horizon Investor Profile
Asset Class Allocations
15%
Portfolio 3
Portfolio 2
5%
Conservative
9%
5%
5%
61%
10%
10%
Large Cap Growth Large Cap Value Mid Cap Small Cap International Emerging Markets Global Real Estate (REITs) High Yield Bonds 44% Bonds Cash
Moderate Conservative 16%
5%
11% 4%
Conservative
5%
Moderate-Conservative
Portfolio 4 Moderate
12%
Large Cap Growth Large Cap Value Mid Cap 32% Small Cap International Emerging Markets Global Real Estate (REITs) High Yield Bonds Bonds Cash 3%
19%
7% 3% 3%
3%
13%
Moderate
Portfolio 5 Moderate Aggressive
15% 24%
Large Cap Growth Large Cap Value Mid Cap Small Cap International 4% Emerging Markets Global Real Estate (REITs) 4% High Yield Bonds Bonds Cash
20%
9%
16% 8%
Moderate Aggressive
Shorter
10%
Large Cap Growth Large Cap Value 5% Mid Cap Small Cap International Emerging Markets Global Real Estate 19% (REITs) High Yield Bonds Bonds Cash
21%
11%
12%
Aggressive
Longer
You have a lower tolerance for short-term market swings, a shorter investment time horizon, but desire some growth potential.
You can accept a moderate level of risk, have a medium investment time horizon and seek a growth potential that can compete with inflation concerns.
You can accept a moderate level of risk, have a medium investment time horizon and seek the opportunity for long-term moderate growth.
You are willing to accept above average risk, have a longer investment time horizon and seek high growth potential.
Less Volatile
You are willing to accept higher risk and can tolerate market swings, have a long investment time horizon and seek high growth potential.
More Volatile
15%
10%
5%
0%
0%
61%
44%
32%
24%
10%
5%
4%
3%
0%
0%
0%
0%
3%
4%
5%
Emerging Markets International Stocks Small Cap Stocks
0%
0%
3%
4%
5%
5%
11%
13%
16%
19%
0%
0%
3%
8%
11%
Mid Cap Stocks Large Cap Value Stocks
0% 9%
5% 16%
7% 19%
9% 20%
12% 21%
Large Cap Growth Stocks
5%
10%
12%
15%
17%
Cash Equivalents Bonds High Yield Bonds Global Real Estate (REITS)
Underlying Fund Allocations
Less Volatile
More Volatile
17% 5%
13% 7%
10% 8%
7% 11%
0% 11%
American Century VP Value Fund Dreyfus Stock Index Fund, Inc.
0% 9% 3%
0% 13% 8%
3% 14%
3% 14%
Federated Prime Money Fund II
9%
6%
0% 13% 12% 3%
12% 0%
14% 0%
3% 0% 0% 0% 33%
4% 0% 3% 0% 23%
4% 3% 5%
4% 4% 7%
5% 5% 9%
3% 17%
7% 14%
10% 6%
21% 0% 0% 0%
14% 4% 0% 5%
8% 4% 3%
0% 6% 3% 8%
0% 8% 3%
American Century VP Inflation Protection Fund (Class II) American Century VP International American Century VP Ultra速
Fidelity VIP Contrafund Portfolio Franklin Global Real Estate Securities Fund (Class 2) JPMorgan Insurance Trust Mid Cap Value Portfolio JPMorgan Insurance Trust Small Cap Core Portfolio MFS Research Bond Series MFS Strategic Income Series Seligman Capital Portfolio (Class 2) Templeton Developing Markets Securities Fund (Class 2) Templeton Foreign Securities Fund (Class 2)
Agg
17%
5%
7%
12%
L L M S In E G H B C
Kansas City Life Century II Variable Product Line
ASSET ALLOCATION PORTFOLIO MODELS Portfolio 1
Creating your own portfolio can be a complicated and confusing process. In conjunction with Ibbotson Associates, one of the leading authorities on asset allocation, the following investment models have been produced to help simplify the decision. If you know your risk tolerance, simply select a model and decide how much to invest. If you need help determining your risk tolerance, your registered representative can help you determine which model best suits your investment style by having you complete a brief questionnaire.
Time Horizon Investor Profile
Asset Class Allocations
15%
Portfolio 3
Portfolio 2
5%
Conservative
9%
5%
5%
61%
10%
10%
Large Cap Growth Large Cap Value Mid Cap Small Cap International Emerging Markets Global Real Estate (REITs) High Yield Bonds 44% Bonds Cash
Moderate Conservative 16%
5%
11% 4%
Conservative
5%
Moderate-Conservative
Portfolio 4 Moderate
12%
Large Cap Growth Large Cap Value Mid Cap 32% Small Cap International Emerging Markets Global Real Estate (REITs) High Yield Bonds Bonds Cash 3%
19%
7% 3% 3%
3%
13%
Moderate
Portfolio 5 Moderate Aggressive
15% 24%
Large Cap Growth Large Cap Value Mid Cap Small Cap International 4% Emerging Markets Global Real Estate (REITs) 4% High Yield Bonds Bonds Cash
20%
9%
16% 8%
Moderate Aggressive
Shorter
10%
Large Cap Growth Large Cap Value 5% Mid Cap Small Cap International Emerging Markets Global Real Estate 19% (REITs) High Yield Bonds Bonds Cash
21%
11%
12%
Aggressive
Longer
You have a lower tolerance for short-term market swings, a shorter investment time horizon, but desire some growth potential.
You can accept a moderate level of risk, have a medium investment time horizon and seek a growth potential that can compete with inflation concerns.
You can accept a moderate level of risk, have a medium investment time horizon and seek the opportunity for long-term moderate growth.
You are willing to accept above average risk, have a longer investment time horizon and seek high growth potential.
Less Volatile
You are willing to accept higher risk and can tolerate market swings, have a long investment time horizon and seek high growth potential.
More Volatile
15%
10%
5%
0%
0%
61%
44%
32%
24%
10%
5%
4%
3%
0%
0%
0%
0%
3%
4%
5%
Emerging Markets International Stocks Small Cap Stocks
0%
0%
3%
4%
5%
5%
11%
13%
16%
19%
0%
0%
3%
8%
11%
Mid Cap Stocks Large Cap Value Stocks
0% 9%
5% 16%
7% 19%
9% 20%
12% 21%
Large Cap Growth Stocks
5%
10%
12%
15%
17%
Cash Equivalents Bonds High Yield Bonds Global Real Estate (REITS)
Underlying Fund Allocations
Less Volatile
More Volatile
17% 5%
13% 7%
10% 8%
7% 11%
0% 11%
American Century VP Value Fund Dreyfus Stock Index Fund, Inc.
0% 9% 3%
0% 13% 8%
3% 14%
3% 14%
Federated Prime Money Fund II
9%
6%
0% 13% 12% 3%
12% 0%
14% 0%
3% 0% 0% 0% 33%
4% 0% 3% 0% 23%
4% 3% 5%
4% 4% 7%
5% 5% 9%
3% 17%
7% 14%
10% 6%
21% 0% 0% 0%
14% 4% 0% 5%
8% 4% 3%
0% 6% 3% 8%
0% 8% 3%
American Century VP Inflation Protection Fund (Class II) American Century VP International American Century VP Ultra速
Fidelity VIP Contrafund Portfolio Franklin Global Real Estate Securities Fund (Class 2) JPMorgan Insurance Trust Mid Cap Value Portfolio JPMorgan Insurance Trust Small Cap Core Portfolio MFS Research Bond Series MFS Strategic Income Series Seligman Capital Portfolio (Class 2) Templeton Developing Markets Securities Fund (Class 2) Templeton Foreign Securities Fund (Class 2)
Agg
17%
5%
7%
12%
L L M S In E G H B C
Kansas City Life Century II Variable Product Line
ASSET ALLOCATION PORTFOLIO MODELS Portfolio 1
Creating your own portfolio can be a complicated and confusing process. In conjunction with Ibbotson Associates, one of the leading authorities on asset allocation, the following investment models have been produced to help simplify the decision. If you know your risk tolerance, simply select a model and decide how much to invest. If you need help determining your risk tolerance, your registered representative can help you determine which model best suits your investment style by having you complete a brief questionnaire.
Time Horizon Investor Profile
Asset Class Allocations
15%
Portfolio 3
Portfolio 2
5%
Conservative
9%
5%
5%
61%
10%
10%
Large Cap Growth Large Cap Value Mid Cap Small Cap International Emerging Markets Global Real Estate (REITs) High Yield Bonds 44% Bonds Cash
Moderate Conservative 16%
5%
11% 4%
Conservative
5%
Moderate-Conservative
Portfolio 4 Moderate
12%
Large Cap Growth Large Cap Value Mid Cap 32% Small Cap International Emerging Markets Global Real Estate (REITs) High Yield Bonds Bonds Cash 3%
19%
7% 3% 3%
3%
13%
Moderate
Portfolio 5 Moderate Aggressive
15% 24%
Large Cap Growth Large Cap Value Mid Cap Small Cap International 4% Emerging Markets Global Real Estate (REITs) 4% High Yield Bonds Bonds Cash
20%
9%
16% 8%
Moderate Aggressive
Shorter
10%
Large Cap Growth Large Cap Value 5% Mid Cap Small Cap International Emerging Markets Global Real Estate 19% (REITs) High Yield Bonds Bonds Cash
21%
11%
12%
Aggressive
Longer
You have a lower tolerance for short-term market swings, a shorter investment time horizon, but desire some growth potential.
You can accept a moderate level of risk, have a medium investment time horizon and seek a growth potential that can compete with inflation concerns.
You can accept a moderate level of risk, have a medium investment time horizon and seek the opportunity for long-term moderate growth.
You are willing to accept above average risk, have a longer investment time horizon and seek high growth potential.
Less Volatile
You are willing to accept higher risk and can tolerate market swings, have a long investment time horizon and seek high growth potential.
More Volatile
15%
10%
5%
0%
0%
61%
44%
32%
24%
10%
5%
4%
3%
0%
0%
0%
0%
3%
4%
5%
Emerging Markets International Stocks Small Cap Stocks
0%
0%
3%
4%
5%
5%
11%
13%
16%
19%
0%
0%
3%
8%
11%
Mid Cap Stocks Large Cap Value Stocks
0% 9%
5% 16%
7% 19%
9% 20%
12% 21%
Large Cap Growth Stocks
5%
10%
12%
15%
17%
Cash Equivalents Bonds High Yield Bonds Global Real Estate (REITS)
Underlying Fund Allocations
Less Volatile
More Volatile
17% 5%
13% 7%
10% 8%
7% 11%
0% 11%
American Century VP Value Fund Dreyfus Stock Index Fund, Inc.
0% 9% 3%
0% 13% 8%
3% 14%
3% 14%
Federated Prime Money Fund II
9%
6%
0% 13% 12% 3%
12% 0%
14% 0%
3% 0% 0% 0% 33%
4% 0% 3% 0% 23%
4% 3% 5%
4% 4% 7%
5% 5% 9%
3% 17%
7% 14%
10% 6%
21% 0% 0% 0%
14% 4% 0% 5%
8% 4% 3%
0% 6% 3% 8%
0% 8% 3%
American Century VP Inflation Protection Fund (Class II) American Century VP International American Century VP Ultra速
Fidelity VIP Contrafund Portfolio Franklin Global Real Estate Securities Fund (Class 2) JPMorgan Insurance Trust Mid Cap Value Portfolio JPMorgan Insurance Trust Small Cap Core Portfolio MFS Research Bond Series MFS Strategic Income Series Seligman Capital Portfolio (Class 2) Templeton Developing Markets Securities Fund (Class 2) Templeton Foreign Securities Fund (Class 2)
Agg
17%
5%
7%
12%
L L M S In E G H B C
Professional Diversification The five asset allocation portfolios (1-5) were developed by Ibbotson Associates, a Morningstar company. Rooted in the seminal academic research of Professor Roger Ibbotson, Ibbotson Associates is one of the leading authorities on asset allocation. With expertise in capital market expectations, asset allocation and portfolio implementation, Ibbotson bridges the gap between academic theory and real-world practice. Diversification allows you to spread your money over a variety of investments. Some investments perform better than others at certain times, and with a diversified portfolio you have a better chance of weathering the ups and downs of the market. However, diversification cannot guarantee gains or protect against loss. Portfolio Rebalancing and Dollar Cost Averaging are additional contract features that can enhance your diversification strategy. See your prospectus for details. A simple questionnaire assesses your investment time horizon, willingness to accept risk and financial goals. Your responses are matched to one of the asset allocation portfolios, which is allocated among the underlying investment options. If you have not already been provided with a questionnaire, ask your registered representative for assistance.
Retirement-Driven Diversification – Courtesy of Fidelity® Investments In addition to the five questionnaire-driven asset allocation models, instant diversification can be achieved by selecting the Fidelity VIP Freedom Fund appropriate for your expected retirement date. Fidelity VIP Freedom Funds are lifecycle funds, offering the power of a diversified set of mutual funds in a single fund, with the added benefit of professional asset allocation. Freedom Funds have an asset allocation mix among stocks, bonds, and shortterm instruments that is more aggressive when you’re younger and becomes more conservative as you near retirement. Pick the fund with a target retirement date closest to when you want to retire, and Fidelity’s expert money managers will do the rest.
Fidelity VIP Freedom Funds 2050 Fund
2045 Fund
2040 Fund
Retirement Date 2048-2052
Retirement Date 2043-2047
Retirement Date 2038-2042
2035 Fund
2030 Fund
2025 Fund
Retirement Date 2033-2037
Retirement Date 2028-2032
Retirement Date 2023-2027
2020 Fund
2015 Fund
2010 Fund
Retirement Date 2018-2022
Retirement Date 2013-2017
Retirement Date 2008-2012
You should carefully consider a variable annuity or a variable universal life insurance policy’s risks, charges, limitations and expenses, as well as the risks, charges, expenses and investment objectives of the underlying investment options. This guide is authorized for distribution only when preceded or accompanied by product and fund prospectuses. The prospectuses contain more complete information about the product, including charges, limitations, expenses and investment options. As an investor, you should consider the investment objectives, risks, charges and expenses of the investment company carefully before investing. Read the prospectuses carefully before investing money. Variable annuities are long-term investments designed for retirement. The value of the variable investment options will fluctuate and, when redeemed, may be worth more or less than the original cost. Withdrawals and other distributions of taxable amounts, including death benefit payments, will be subject to ordinary income tax. If withdrawals and other distributions are taken prior to age 59 ½, a 10% federal tax penalty may apply. A withdrawal charge may also apply. Withdrawals will reduce the cash value of the contract, the contract’s death benefit, and any optional benefits. See your variable annuity product prospectus for details about specific product charges, risks and limitations. Variable universal life insurance is designed to provide a death benefit in case of loss of life of the insured. A variable universal life policy’s cash value is driven by the variable investment options, which will fluctuate and may be worth more or less than the original cost. As many of the fees and charges are deducted from the cash value of the policy, a policy will lapse if the amount of cash value available under the policy is insufficient to cover the fees and charges. Withdrawals from the contract will reduce cash value and may be subject to ordinary income tax. See your variable universal life product prospectus for details about specific product charges, risks and limitations. Actual allocations may vary from target allocations. Asset allocation does not guarantee future results. Investment in an individual fund or funds in a single asset class may outperform or underperform an asset allocation fund. Bond investments will fluctuate with interest rate changes. As interest rates rise, bond prices will fall. High yield bonds have greater credit risk than higher quality bonds. Small-cap, mid-cap and emerging-growth company stocks may be riskier and more volatile than larger, more established company stocks. International investing is subject to currency fluctuations and political changes. The risks of international investments can be accentuated when investing in emerging markets. Real estate investments involve risks such as refinancing, interest rate fluctuations, economic impact on industry, changes in property values, dependency on management skills and risks similar to small company investing. Sector portfolios and concentrated portfolios with fewer securities may be subject to greater price volatility. Although some portfolios may have names or investment objectives that resemble retail mutual funds managed by the same money manager, these portfolios will not have the same underlying holdings or performance as the retail mutual funds. Investment results may be higher or lower. An investment in the money market fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although the fund seeks to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in the fund. Century II Variable Products are not sponsored, managed, sold or promoted by Ibbotson Associates Inc. or its affiliates.
Income Fund
Variable Product Series
Presently retired Performance of the Freedom Funds depends on the underlying Fidelity funds. These funds are subject to the volatility of the financial markets in the U.S. and abroad and may be subject to the additional risks associated with investing in high-yield, small-cap and foreign securities. Please carefully consider the fund’s investment objectives, risks, charges and expenses before investing. Carefully read the prospectus before you invest or send money.
Ibbotson Associates Suggested Allocations May 2010
Building your future with a secure partner
Kansas City Life’s Century II Variable Product series is distributed by Sunset Financial Services Inc., Member FINRA and SIPC, a wholly owned subsidiary of Kansas City Life Insurance Company.
5690
www.kclife.com
5.10m
Professional Diversification The five asset allocation portfolios (1-5) were developed by Ibbotson Associates, a Morningstar company. Rooted in the seminal academic research of Professor Roger Ibbotson, Ibbotson Associates is one of the leading authorities on asset allocation. With expertise in capital market expectations, asset allocation and portfolio implementation, Ibbotson bridges the gap between academic theory and real-world practice. Diversification allows you to spread your money over a variety of investments. Some investments perform better than others at certain times, and with a diversified portfolio you have a better chance of weathering the ups and downs of the market. However, diversification cannot guarantee gains or protect against loss. Portfolio Rebalancing and Dollar Cost Averaging are additional contract features that can enhance your diversification strategy. See your prospectus for details. A simple questionnaire assesses your investment time horizon, willingness to accept risk and financial goals. Your responses are matched to one of the asset allocation portfolios, which is allocated among the underlying investment options. If you have not already been provided with a questionnaire, ask your registered representative for assistance.
Retirement-Driven Diversification – Courtesy of Fidelity® Investments In addition to the five questionnaire-driven asset allocation models, instant diversification can be achieved by selecting the Fidelity VIP Freedom Fund appropriate for your expected retirement date. Fidelity VIP Freedom Funds are lifecycle funds, offering the power of a diversified set of mutual funds in a single fund, with the added benefit of professional asset allocation. Freedom Funds have an asset allocation mix among stocks, bonds, and shortterm instruments that is more aggressive when you’re younger and becomes more conservative as you near retirement. Pick the fund with a target retirement date closest to when you want to retire, and Fidelity’s expert money managers will do the rest.
Fidelity VIP Freedom Funds 2050 Fund
2045 Fund
2040 Fund
Retirement Date 2048-2052
Retirement Date 2043-2047
Retirement Date 2038-2042
2035 Fund
2030 Fund
2025 Fund
Retirement Date 2033-2037
Retirement Date 2028-2032
Retirement Date 2023-2027
2020 Fund
2015 Fund
2010 Fund
Retirement Date 2018-2022
Retirement Date 2013-2017
Retirement Date 2008-2012
You should carefully consider a variable annuity or a variable universal life insurance policy’s risks, charges, limitations and expenses, as well as the risks, charges, expenses and investment objectives of the underlying investment options. This guide is authorized for distribution only when preceded or accompanied by product and fund prospectuses. The prospectuses contain more complete information about the product, including charges, limitations, expenses and investment options. As an investor, you should consider the investment objectives, risks, charges and expenses of the investment company carefully before investing. Read the prospectuses carefully before investing money. Variable annuities are long-term investments designed for retirement. The value of the variable investment options will fluctuate and, when redeemed, may be worth more or less than the original cost. Withdrawals and other distributions of taxable amounts, including death benefit payments, will be subject to ordinary income tax. If withdrawals and other distributions are taken prior to age 59 ½, a 10% federal tax penalty may apply. A withdrawal charge may also apply. Withdrawals will reduce the cash value of the contract, the contract’s death benefit, and any optional benefits. See your variable annuity product prospectus for details about specific product charges, risks and limitations. Variable universal life insurance is designed to provide a death benefit in case of loss of life of the insured. A variable universal life policy’s cash value is driven by the variable investment options, which will fluctuate and may be worth more or less than the original cost. As many of the fees and charges are deducted from the cash value of the policy, a policy will lapse if the amount of cash value available under the policy is insufficient to cover the fees and charges. Withdrawals from the contract will reduce cash value and may be subject to ordinary income tax. See your variable universal life product prospectus for details about specific product charges, risks and limitations. Actual allocations may vary from target allocations. Asset allocation does not guarantee future results. Investment in an individual fund or funds in a single asset class may outperform or underperform an asset allocation fund. Bond investments will fluctuate with interest rate changes. As interest rates rise, bond prices will fall. High yield bonds have greater credit risk than higher quality bonds. Small-cap, mid-cap and emerging-growth company stocks may be riskier and more volatile than larger, more established company stocks. International investing is subject to currency fluctuations and political changes. The risks of international investments can be accentuated when investing in emerging markets. Real estate investments involve risks such as refinancing, interest rate fluctuations, economic impact on industry, changes in property values, dependency on management skills and risks similar to small company investing. Sector portfolios and concentrated portfolios with fewer securities may be subject to greater price volatility. Although some portfolios may have names or investment objectives that resemble retail mutual funds managed by the same money manager, these portfolios will not have the same underlying holdings or performance as the retail mutual funds. Investment results may be higher or lower. An investment in the money market fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although the fund seeks to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in the fund. Century II Variable Products are not sponsored, managed, sold or promoted by Ibbotson Associates Inc. or its affiliates.
Income Fund
Variable Product Series
Presently retired Performance of the Freedom Funds depends on the underlying Fidelity funds. These funds are subject to the volatility of the financial markets in the U.S. and abroad and may be subject to the additional risks associated with investing in high-yield, small-cap and foreign securities. Please carefully consider the fund’s investment objectives, risks, charges and expenses before investing. Carefully read the prospectus before you invest or send money.
Ibbotson Associates Suggested Allocations May 2010
Building your future with a secure partner
Kansas City Life’s Century II Variable Product series is distributed by Sunset Financial Services Inc., Member FINRA and SIPC, a wholly owned subsidiary of Kansas City Life Insurance Company.
5690
www.kclife.com
5.10m