Esponel (es)
Türkçe (tr)
Russian (ru)
한국인 (kr)
Italiano (it)
हिंदी (in)
عربي (ar)
Français (fr)
Deutsch (de)
日本 (jp)
中国人 (cn)
CandleFocus Glossary Editor-certificate-(gic).png)
A guaranteed investment certificate (GIC) is an investment product that is sold by Canadian financial institutions. GICs provide investors with a tool to save money, with the commitment to receiving back their principal investment plus interest on the investment upon maturity.
GICs are one of the safest forms of investments offered in Canada, as the principal amount of the investment is guaranteed by the institution at the time of purchase. GICs also provide investors with a fixed interest rate, historically ranging between 1-3% per annum depending on the term length and provider.
GICs are most often structured as fixed-term investments and can be purchased from a variety of financial institutions. Typically, an investor will choose a GIC with a maturity period of between six months and five years. When the term of the GIC has been completed, the investor will receive their principal plus the interest earned over the life of the GIC.
GICs provide investors with the stability of knowing their principal investment is safe, and their interest rate will remain fixed (aside from unforeseen circumstances). GICs can also provide a diversified portfolio for investors—an individual can invest in a variety of GICs and may benefit from a diversified portfolio of interest rates and maturity terms.
GICs are an excellent investment choice for those who are looking for a conservative, stable, and low-risk way to save and grow their money. Since GICs are backed by the issuing financial institution, they are extremely low risk and offer guaranteed returns. In addition, since GICs do not involve any stock market trading, they can provide a more stable option for savers who are uncomfortable with the idea of investing in the stock market.
Overall, GICs are an excellent investment choice for those who are looking for a conservative, low-risk way to save and grow their money. GICs provide investors with a secure way to save for their future with the ability to access their money when the investment matures. In addition, GICs can provide investors with the opportunity to build a diversified portfolio with a variety of interest rates and maturity terms.
GICs are one of the safest forms of investments offered in Canada, as the principal amount of the investment is guaranteed by the institution at the time of purchase. GICs also provide investors with a fixed interest rate, historically ranging between 1-3% per annum depending on the term length and provider.
GICs are most often structured as fixed-term investments and can be purchased from a variety of financial institutions. Typically, an investor will choose a GIC with a maturity period of between six months and five years. When the term of the GIC has been completed, the investor will receive their principal plus the interest earned over the life of the GIC.
GICs provide investors with the stability of knowing their principal investment is safe, and their interest rate will remain fixed (aside from unforeseen circumstances). GICs can also provide a diversified portfolio for investors—an individual can invest in a variety of GICs and may benefit from a diversified portfolio of interest rates and maturity terms.
GICs are an excellent investment choice for those who are looking for a conservative, stable, and low-risk way to save and grow their money. Since GICs are backed by the issuing financial institution, they are extremely low risk and offer guaranteed returns. In addition, since GICs do not involve any stock market trading, they can provide a more stable option for savers who are uncomfortable with the idea of investing in the stock market.
Overall, GICs are an excellent investment choice for those who are looking for a conservative, low-risk way to save and grow their money. GICs provide investors with a secure way to save for their future with the ability to access their money when the investment matures. In addition, GICs can provide investors with the opportunity to build a diversified portfolio with a variety of interest rates and maturity terms.