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index-linked certificate of deposit

A certificate of deposit that is linked to a particular stock market index (such as the S&P 500). The total amount of interest earned on the CD at maturity may be higher or lower than that of a standard CD depending on market conditions. The principle amount of the deposit is insured by the FDIC (up to $250,000). Also called indexed certificate of deposit.

Related information about index-linked certificate of deposit:
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