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Guaranteed Income Bond
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A guaranteed income bond is a single premium insurance bond which pays a fixed amount of income annually and returns the original sum invested at the end of a specified period.
Beware of bonds which offer high returns but may set performance benchmarks for the return of your capital - if these targets are not met your income is effectively no more than the draw-down of your capital.
See Also: Stockmarket Centre
Last Updated: August 2007 © Moneyextra.com
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