Under what circumstance is the interest rate guaranteed within a market value adjusted annuity?

The interest rate is guaranteed within a market value adjusted annuity when the contract has been held for the period specified in the policy. This means that after the specified holding period, the policyholder is assured of receiving the guaranteed interest rate, regardless of market fluctuations. This feature is designed to provide a level of predictability and security for the annuitant's investment.

Market value adjusted annuities typically allow for adjustments based on interest rate movements in the economy, but they also include provisions to protect the policyholder's investment if they maintain the annuity for a set duration. Once this duration is reached, the guaranteed interest rate applies, offering assurance amid changing market conditions. This characteristic is particularly important for individuals looking for stable, long-term growth within their investment strategy.