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


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