Capital Guarantee Fund

Capital Guarantee Fund

Any investment vehicle where the investor is guaranteed not to lose the capital he/she places into the vehicle. That is, the company offering the investment must bear any losses suffered itself. Because this completely eliminates the investor's risk, capital guarantee funds offer a very low rate of return. See also: Principal Protected Note, Risk-Free Rate of Return.
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Egypt will also establish a capital guarantee fund to operate in the continent, said the minister.
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