Bank Investment Contract


BIC. A contract issued by a bank to an investor, often a large corporate investor, which guarantees a specific yield on an investment over a specific period of time. The contract usually has a maturity of one to ten years. For example, a company with a 401(K) plan can enter into a Bank Investment Contract which will guarantee a certain return over the life of the contract. Because the account is held with a qualified financial institution, deposits in each 401(K) account are insured by the FDIC as well.
Browse Definitions by Letter: # A B C D E F G H I J K L M N O P Q R S T U V W X Y Z
Bank Insurance Fund Guaranteed Investment Contract