Guaranteed investment contract rates

guaranteed investment contract rates

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Our single deposit GIC guarantees both principal and interest at a fixed rate until maturity. The contract authorizes withdrawals for employee benefit. Participating GICs come with a variable rate of return, allowing investors to capitalize on changing interest rates over time. Guaranteed interest rate: The guaranteed interest rate on new GICs is always closely related to current, or "spot," long-term interest rates. Sometimes the. VI.
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Guaranteed investment certificates are sold by Canadian banks, credit unions, and trust companies, often to individuals for their retirement accounts. The annual interest rate that applies to a GIA is guaranteed to be at least: the interest rate representing the effective annual yield on current coupon Government of Canada bonds with the same term period and effective date as the guaranteed investment account minus the guaranteed management fee, or the guaranteed minimum interest rate for this account whichever is greater. And inflation is also an issue. Apply Online. Capitalize on the growth potential of stock markets without risking your principal investment while receiving a guaranteed minimum interest return.