GUARANTEED INVESTMENT CERTIFICATE | GIC
Best GIC deposit rates are available to Advisors* and Investors daily.
Guaranteed Investment Certificates (GICs) are low risk investments that earn interest for a specific amount of time. GIC terms vary from one month to 25 years or more. They have low fees if at all, are low risk and financial institutions offer insurance for your investments that guarantees that your money is secure. Financial institutions that offer GICs include insurance companies, trust companies, credit unions, and banks.
Laddering – A GIC Investment Strategy
Laddering is a relatively simple concept where investors purchase GICs with differing maturing dates and thus different rates of return.
If you have $100,000 to invest, for example, divide the investment into equal amounts of $20,000:
- Invest $20,000 for 1 year;
- Invest $20,000 for 2 years;
- Invest $20,000 for 3 years;
- Invest $20,000 for 4 years; and
- Invest $20,000 for 5 years.
Any maturing GICs would be invested for 5yrs
Advantages are:
- Diversification;
- Liquidity;
- Eliminates guess work;
- Security;
- Better control of cash flow; and
- Potential increase in returns.
Contact your Advisor or our office today to receive GIC rates or to discuss your GIC laddering approach.
*Advisors must be affiliate members of the Registered Deposit Broker Association
Being sensitive to the needs of customers with intuitive insights into their priorities. Better understanding our customer needs.Imparting valuable advise and relevant solutions. We do what we say.
QUICK LINKS
- Investment
- Savings & Accumulation
- Tax Free Savings Account | TFSA
- Term Deposits | GICs | Deposit Broker Rates
- Guaranteed Investment Certificate | GIC
- Segregated Funds
- Investment Leverage Loan
- Registered Education Savings Plan | RESP
- Guaranteed Investment Fund | GIF
- Disability Savings Plan | RDSP
- Income & Wealth Management
- Annuities
- Registered Retirement Income Fund | RRIF
- Life Income Fund | LIF
- Structured Settlements