Mutual Fund
Combination of contributions of many investors whose money is used to buy stocks, bonds, commodities, options, and/or money market funds, or precious metals such as gold, or foreign securities. In theory, mutual funds offer investors professional money management and diversification into conservative investments, aggressive investments, or combinations of these. Mutual funds are sold either with a sales charge (load), no sales charge (no-load), or a moderate sales charge (low load). These funds charge a management fee as a percentage of assets under management, usually 1% per year on a downward sliding scale as the asset base increases. Many insurance companies sell mutual funds.
Popular Insurance Terms
Process whereby a ceding company resumes the insuring of a portfolio of insurance policies which it had previously CEDED to a REINSURER. ...
Policy similar to that of an individual universal life insurance policy except that the coverage is provided (up to a limit) without the requirement of the submission of evidence of ...
Means of borrowing at no charge by a policyowner under universal life insurance policies. ...
Money the policyowner is entitled to receive from the insurance company upon surrendering a life insurance policy with cash value. The sum is the cash value stated in the money the ...
Arrangement by which two or more employers form a coalition to offer a health plan to their employees. The purpose of the coalition is not to purchase health insurance. The MEWAs can be ...
Probability of loss upon which a basic premium rate is calculated. ...
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Method of calculating the primary insurance amount (PIA) for Social Security benefits. Employees' covered monthly earnings are adjusted to reflect changes in the national average annual ...
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