7 in investments, which are primarily invested in various guaranteed investment contracts
(GICs) and money market funds.
Among the 22 percent that are considering making changes, the report states, one in five plan to increase the allocation to traditional guaranteed investment contracts
Unfortunately, many routinely mistake the latter for the former; recall Equitable's 1980s Guaranteed Investment Contracts
(GICs) that virtually forced this insurer into its second failure in the 20th century when it had to be rescued by AXA, the big European insurer, in the early 1990s.
Survey respondents also predicted problems for life insurers who wrote guaranteed investment contracts
or offered guaranteed benefits to their policyholders.
Guaranteed investment contracts
are issued by most major insurance companies.
Seek investments that will provide income, such as corporate bonds, guaranteed investment contracts
(GICs), and annuities.
Mainstream ideas include stable value funds that have short- and medium-term bonds, guaranteed investment contracts
and insurance to keep the fund's net-asset value stable.
According to the Financial Accounting Standards Board, questions have been raised regarding proper accounting for such contracts as insurance contracts, guaranteed investment contracts
and synthetic GICs since issuance of its Statement No.
charged the company had breached its fiduciary duties under ERISA by investing in guaranteed investment contracts
(GICs) offered by Executive Life Insurance Co.
The changes give local governments the ability to contract with outside investment firms, use guaranteed investment contracts
that allow for a specific rate of return on investment capital, and municipalities with fewer than five full-time employees now can decrease their training requirements.
Among the several investment choices in the plan were guaranteed investment contracts
issued by the Executive Life Insurance Co.
Traditional guaranteed investment contracts
are the cornerstone of many a pension-fund management strategy.