Certificate of Deposit (CD)
InvestingA time deposit at a bank that pays a fixed interest rate for a specified term, with penalties for early withdrawal.
Example
Example: Consider an investor building a $100,000 portfolio. Certificate of Deposit (CD) — a time deposit at a bank that pays a fixed interest rate for a specified term, with — directly affects investment strategy and long-term returns. Getting this concept right can mean tens of thousands of dollars in difference over a 20-year period. Model your portfolio with our investment calculator.