The Nationwide Peak 10 is a fixed index annuity built for income. With a 25% immediate bonus to the income benefit base, an 8% simple interest roll-up for up to 10 years, and access to some of the highest participation rates available on a volatility-controlled index, it’s one of the most competitive income-focused FIAs on the market right now.
But it comes with a 10-year surrender period, a 1% annual rider fee, and a newer index with limited live track record. Here’s our full breakdown of how the Nationwide Peak 10 works, what the numbers actually look like, and who it’s best suited for.
Nationwide Peak 10 at a Glance
| Feature | Details |
|---|---|
| Product Type | Fixed Index Annuity (FIA) |
| Carrier | Nationwide Life & Annuity Insurance Company |
| AM Best Rating | A+ (Superior) |
| Surrender Period | 10 years |
| Maximum Issue Age | Annuitant: 85 (single or joint); owner: any age |
| Free Withdrawals | 10% of contract value per year; RMDs also penalty-free even if over 10% |
| Income Rider | Bonus Income+ Rider, optional, 1.00% annual fee (max 1.20%) |
| Income Base Bonus | 25% at issue ($100K premium → $125K income base immediately) |
| Roll-Up Rate | 8% simple interest per year for up to 10 years |
| Market Value Adjustment | Yes, applies to surrenders and excess withdrawals during first 10 years |
| Qualified Funds | Traditional IRA, IRA Rollover, 401(k), Non-Qualified, 1035 Exchange |
Is Nationwide a Good Annuity Company?
Nationwide Life & Annuity Insurance Company is a subsidiary of Nationwide Mutual, one of the largest insurance and financial services companies in the U.S. They carry an A+ (Superior) rating from AM Best, the second-highest possible rating, which indicates strong long-term financial stability.
Since your annuity guarantees are backed by the claims-paying ability of the issuing carrier, Nationwide’s size and financial strength provide a solid foundation. For a full overview of their ratings, product lineup, and company background, see our Nationwide Annuity Review.
Index Crediting Strategies
The Nationwide Peak 10 offers a compelling two-strategy allocation that pairs a high-growth volatility-controlled index with traditional S&P 500 exposure. A typical illustration uses a 50/50 split between the two.
Strategy 1: BNP Paribas Global H-Factor (50% Allocation)
| Detail | Value |
|---|---|
| Crediting Method | 2-Year Point-to-Point with Participation Rate and Spread |
| Participation Rate | 295% |
| Spread | 1% |
| Term | 2 years |
The BNP Paribas Global H-Factor is a proprietary multi-factor, volatility-managed index launched in April 2022. It credits interest every two years based on the index’s growth multiplied by a 295% participation rate, minus a 1% spread. If the index declines, you receive 0%, no losses. This index has shown strong historical backtests, but it’s important to note that its live track record is still relatively short.
Strategy 2: S&P 500 Annual Point-to-Point (50% Allocation)
| Detail | Value |
|---|---|
| Crediting Method | 1-Year Point-to-Point with Cap |
| Current Cap Rate | 6.25% |
| Term | 1 year |
The S&P 500 strategy provides traditional, predictable accumulation. Annual gains are credited up to the 6.25% cap; down years credit 0%. This acts as a counterbalance to the higher-potential but longer-term BNP Paribas strategy.
For more on how participation rates, caps, and spreads work, see our FIA cap rates and participation rates page.
Hypothetical Performance (Current Rates)
Using the most recent 10-year historical index performance with a 50/50 allocation between the two strategies, the Nationwide Peak 10 generated the following hypothetical results on a $100,000 premium:
| Strategy | Highest 10-Yr | Lowest 10-Yr | Most Recent 10-Yr |
|---|---|---|---|
| BNP Paribas H-Factor (2-Yr PTP, 295% par, 1% spread) | 21.36% ann. | 11.74% ann. | 12.05% ann. |
| S&P 500 (1-Yr PTP, 6.25% cap) | 4.97% ann. | 4.06% ann. | 4.97% ann. |
| Blended 50/50 (most recent) | 8.51% annualized effective rate of return | ||
The illustration shows $407,250 in cumulative lifetime withdrawals by age 96, with the account value still exceeding $300,000 at that age. That’s exceptional for an income-focused product, where most competing annuities see the account value deplete during the withdrawal phase.
The BNP Paribas Global H-Factor index was launched in April 2022. Data before that date represents backtested hypothetical performance. Backtested data is inherently limited and may reflect favorable selection bias. Past hypothetical performance using current rates does not predict future results.
Bonus Income+ Rider, How It Works
The Bonus Income+ Rider is an optional lifetime income rider (GLWB) that is the main reason most people buy the Nationwide Peak 10. It’s where the product really differentiates itself.
Key Income Rider Details
| Feature | Details |
|---|---|
| Income Base Bonus | 25% at issue, $100K premium becomes $125K income base immediately |
| Roll-Up Rate | 8% simple interest per year for up to 10 years from issue |
| Rider Fee | 1.00% per year of account value (charged quarterly); maximum 1.20% |
| Income Base at Issue | $125,000 (after 25% bonus on $100K premium) |
| Income Base at Age 65 | $175,000 ($125K + 5 years × $10K/year simple roll-up, if purchased at age 60) |
| Payout Rate at Age 65 | 6.25% of income base |
| Annual Income at Age 65 | $10,938/year ($175,000 × 6.25%) |
| Eligibility | Ages 45–85 at issue; income may begin as early as age 45 |
| Step-Up Feature | If account value exceeds income base on any anniversary, the income base steps up, income can increase |
Income Base vs. Account Value, Know the Difference
This is where many people get confused, so it’s worth being clear:
- Account Value = the actual money you own. It grows with index credits, shrinks with withdrawals, and is reduced by the 1% rider fee (charged quarterly). This is what you’d receive if you surrendered the contract.
- Income Benefit Base = a calculation number used only to determine your guaranteed income payment. It starts at $125,000 (25% bonus on $100K) and grows at 8% simple interest per year during deferral. You cannot surrender or inherit the income base, it only determines payment size.
The 25% bonus and 8% roll-up apply to the income base only, not to your account value. This is standard for income riders across the industry, but it’s a critical distinction to understand before buying.
Surrender Charge Schedule
| Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 | Year 11+ |
|---|---|---|---|---|---|---|---|---|---|---|
| 10% | 10% | 9% | 8% | 7% | 6% | 5% | 4% | 3% | 2% | 0% |
A Market Value Adjustment (MVA) also applies during the first 10 years. If interest rates have risen since you purchased the annuity, the MVA is negative (reduces your value); if rates have fallen, it’s positive. Nationwide waives both the MVA and surrender charges in cases of death, terminal illness, or confinement.
RMDs are always penalty-free, even if they exceed the 10% free withdrawal threshold, an important feature for IRA owners.
Nationwide Peak 10 Pros and Cons
Pros
- AM Best A+ (Superior), second-highest possible rating from a top-tier carrier
- 25% immediate income base bonus, one of the largest available on any standard FIA
- 8% simple roll-up builds the income base rapidly during the deferral period
- 295% participation rate on BNP Paribas H-Factor, extremely competitive for growth potential
- Step-up feature means income can increase if your account value outperforms expectations
- 8.51% hypothetical annual return on a blended 50/50 allocation at current rates, unusually strong for an income product
- Account value stays positive, illustrations show substantial account value remaining even after decades of income withdrawals
- Income can start as early as age 45
- RMDs are always penalty-free regardless of amount
Cons
- 10-year surrender period with 10% charge in years 1–2, among the longest and steepest in the FIA market
- BNP Paribas H-Factor is relatively new (launched April 2022) with limited live track record; backtested data can overstate real-world performance
- 1.00% annual rider fee charged on account value (not income base), this reduces actual accumulation over time
- 25% bonus applies to income base only, not to account value; you can’t surrender or inherit the bonus
- Payout rate of 6.25% at age 65 is solid but slightly lower than some competitors (e.g., Corebridge Power 10 Protector at 7.5%)
- Market Value Adjustment applies, can reduce your value if you surrender when interest rates are higher than at purchase
- Not available in all states
Who Is the Nationwide Peak 10 Best For?
The Peak 10 is designed specifically for people who prioritize guaranteed lifetime income over pure accumulation. It’s best for someone who:
- Is between 55 and 75 years old with $75,000 to $500,000 to allocate
- Wants maximum income base growth during a 5–10 year deferral period
- Values a large upfront income bonus (25%) and guaranteed roll-up (8%)
- Plans to use this as a retirement income tool, not primarily for accumulation
- Is comfortable with a 10-year commitment and understands the income base vs. account value distinction
If you’re focused more on accumulation than income, consider comparing with the Athene Ascent Pro 10 or the Allianz Accumulation Advantage+, which have no rider fees and focus on index growth. For a shorter surrender period with an income option, the Athene Performance Elite 7 is worth a look.
How to Buy the Nationwide Peak 10
The Nationwide Peak 10 is sold through licensed insurance agents and advisors. Request a free quote and we’ll provide a personalized illustration showing projected income, accumulation, and crediting rates based on your age and premium amount. You can also explore scenarios with our annuity calculators.
Frequently Asked Questions
What is the Nationwide Peak 10?
The Nationwide Peak 10 is a 10-year fixed index annuity issued by Nationwide Life & Annuity Insurance Company (AM Best A+). It’s designed primarily as an income product, featuring an optional Bonus Income+ Rider with a 25% income base bonus and 8% simple interest roll-up for up to 10 years.
What is the 25% income base bonus?
When you purchase the annuity and elect the Bonus Income+ Rider, Nationwide adds 25% to your income benefit base (not your actual account value). A $100,000 premium creates a $125,000 income base on day one. This higher base is used to calculate your future guaranteed lifetime income payments.
How does the 8% roll-up work?
The income base grows at 8% simple interest per year during the deferral period (before you turn on income), for up to 10 years. On a $125,000 income base, that’s $10,000 per year added to the base. After 10 years of deferral, the income base from a $100,000 premium would be $225,000 ($125K + $100K in roll-up credits).
Can I lose money with the Nationwide Peak 10?
If an index finishes a crediting period negative, your account is credited 0%, your principal is protected from market losses. However, the 1% annual rider fee is deducted from your account value, so your actual account value could decline slightly in years with no index credits. Also, surrender charges and the MVA could reduce your value if you withdraw early.
How does the Nationwide Peak 10 compare to the Corebridge Power 10 Protector?
Both are income-focused 10-year FIAs. The Nationwide Peak 10 offers a larger income base bonus (25% vs. Corebridge’s) and an 8% roll-up, while the Corebridge Power 10 Protector offers a higher payout rate at age 65 (7.5% vs. 6.25%). Which produces more income depends on your age, premium, and deferral period. We recommend comparing personalized illustrations side by side.
Other Annuity Reviews to Compare
- Corebridge Financial Power 10 Protector Review
- Athene Ascent Pro 10 Review
- Athene Agility 10 Review
- Allianz Accumulation Advantage+ Review
- Nationwide Carrier Review, full company profile and ratings
- Fixed Index Annuity Guide for Beginners
- Understanding GLWB Income Riders
- All Annuity Product Reviews
Disclosures: This review is for informational purposes only and does not constitute a quote, contract, or guarantee of future performance. The BNPP Global H-Factor index data shown includes backtested hypothetical performance that does not represent actual live index results prior to the April 2022 inception date. Historical and hypothetical performance using current cap and participation rates does not predict future results. The 25% Income Base bonus applies to the Income Benefit Base only and is not available as surrender value. All rider terms, fees, and rates are subject to change. Annuity guarantees are subject to the claims-paying ability of Nationwide Life & Annuity Insurance Company. Early withdrawals may be subject to surrender charges, MVA, and income taxes. Withdrawals before age 59½ may incur a 10% federal tax penalty. Not FDIC insured. Not a bank deposit. May lose value if surrendered early.
