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Equity Shares/Common Stock (Variable Income Security) They enjoy higher returns if the company performs well and may not get any dividend, at all, if the company does not do well or when the Board of Directors do not recommend any dividend for payment. Therefore, equity shares are known as variable income security.
A variable-rate demand note (VRDN) is a long-term municipal bond which is offered to investors through money market funds. The notes allow a municipal government to borrow money for long periods of time while paying short-term interest rates to investors.
A variable interest rate (sometimes called an adjustable or a floating rate) is an interest rate on a loan or security that fluctuates over time because it is based on an underlying benchmark interest rate or index that changes periodically.
While all annuities are regulated by state insurance commissioners, variable annuities and RILAs are securities and therefore are also regulated by the SEC and FINRA. Annuities are often products investors consider when they plan for retirement. Theyre often marketed as tax-deferred savings products.
What Is a Variable-Rate Demand Bond? A variable-rate demand bond is a type of municipal bond (muni) with floating coupon payments that are adjusted at specific intervals. The bond is payable to the bondholder upon demand following an interest rate change.
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Variable rate securities have interest rates that fluctuate in response to market movements. These floating rate municipal securities are reset at specified intervals, but the final maturity is typically more than 10 years from the date of issuance.
Variable Rate Demand Notes (VRDNs) are a critical asset class in the short term municipal market, representing approximately 76%1 of the securities that comprise municipal money market funds in the U.S. In this guide, we will explore VRDNs and how they can augment your liquidity portfolio.
Variable life is a type of security that offers fixed premiums and a minimum death benefit. Unlike whole life insurance, its cash value is invested in a portfolio of securities.

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