Athene Holding Ltd. has entered into a flow reinsurance treaty with Lincoln Financial Group, effective Aug. 1.

Under terms of the agreement, Athene's insurance subsidiaries will reinsure traditional fixed and fixed indexed annuities sold by Lincoln Financial.

For Lincoln Financial, the transaction will help the company improve capital efficiency and boost sales and return on equity, Lincoln Financial President and CEO Dennis Glass said on a call to discuss second-quarter earnings.

"We expect this transaction to affect sales immediately and grow over time driven by better penetration into the bank and broker/dealer channels," Glass said.

Lincoln Financial Group is the marketing name for Lincoln National Corp. and its affiliates.