Investor Glossary-jumbo cdInvestor Glossary-jumbo cdInvestor Glossary-jumbo cdInvestor Glossary-jumbo cdInsightful stock market charts - Click here
investor
Categories    # A B C D E F G H I J K L M N O P Q R S T U V W X Y Z

Jumbo CD

The HTML to link to this page
 

A jumbo CD, or certificate of deposit, is a CD having a minimum denomination of $100,000. Individuals and institutions alike can use the CD as a low-risk way to earn interest income. The depository institution may offer a better rate for the jumbo CD than it does for a standard CD for the same term, but the jumbo CD rate is still determined competitively by market forces. In every other respect the jumbo CD is like a standard CD. Typical maturities for a jumbo CD are 1 to 6, 9, 12, 18, 24, 30, 36, 48, or 60 months. Early withdrawal of a jumbo CD can incur a significant penalty. Note that a jumbo CD deposited by one individual can be fully insured by the FDIC, but only for $100,000.



Rate this jumbo CD definition...

Learn about investing with the Investor Glossary Term of the Day


Click here for insightful stock market charts. Where is the market headed? The answer may surprise you. Find out
with the exclusive & Barron's recommended charts of Chart of the Day.


Popular Terms: FICO score, Key Rate Duration, implied volatility, 144a, required rate of return, class C shares, open position, Zero Cost Collar, ex-dividend date, retained earnings, LIBOR, stock split, EBITDA, ex-dividend, limit order, balance sheet, FTSE, deferred tax, liquidity ratio, 1031 exchange, per diem, deferred revenue, reverse mortgage, cancelled check, stock market close, margin rate, current ratio, diluted share, dividends payable, real GDP, in escrow, risk management, APR, irrevocable trust, command economy, quality assurance, wholly-owned subsidiary, 1035 exchange, option premium, VIX, covered put, labor relations, average price per share, inflation, phantom income, minority interest, 401a, debt service coverage, annual return


Accounting | Banking | Bonds | Brokers | Economy | Futures | Mutual Funds | Options | Real Estate | Retirement | Stocks | Taxes | Technical Analysis
Investor Glossary | Term of the Day | Suggest a Term | Chart of the Day | Dogs of the Dow
©2004-2016 Investor Glossary - All rights reserved - Terms of Use