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funding agreement - 1 dictionary result

Funding Agreement

Illiquid insurance contracts that provide guaranteed principal repayment and interest payments for a predetermined period of time.

Investopedia Commentary

Funding agreements are marketed to mutual fund companies and municipal reinvestments. These products are generally used for their security and flexibility as they can be altered to meet the specific cash-flow needs of the contract holder.

Related Links

20 Investments You Should Know

See also: Guaranteed Investment Contract, Interest, Mutual Fund, Principal

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