Briefly discuss how deposits and premiums paid to an insurance company factor into the purchase of GICs that are held by it .

DISCUSSION:
1. Briefly discuss how deposits and premiums paid to an insurance company factor into the purchase of GICs that are held by it (p. 53)

2. Discuss how the term “Guaranteed” might be misunderstood by individuals looking for a safe and secure investment (pp. 53-54)

3. 3. Explain how an investor’s expectation of future interest rate movements might influence his choice of GIC type (p. 54)