What if you could participate in the market’s upside performance while protecting yourself against downside risk?
These products exist. They are equity-indexed annuities and equity-linked CDs.
What should you consider when using callable CDs in a rising-yield environment?
The only reason to buy a CD these days is for the piggy bank function. It keeps savers from spending money but doesn’t offer a lot in returns.
CD rates just hit a new low. The average one-year CD yield is now a record low of 0.69 percent APY, a dubious achievement to be sure. Bankrate began tracking CD rates in October of 1983 and it has never been lower. In these dark days of ultralow returns, you might run across CD rates