Glossary

  1. Canada Savings Bonds (CSBs) - are federal government savings bonds of up to 10 years to maturity, purchased through payroll deductions, branch networks and advisors. Prior to 1998, they were cashable without penalty after the first three months. Beginning in 1998, there were two new categories of Canada Savings Bonds issued—a premium bond and an RRSP bond, both of which have restrictions on cashability. These bonds are included in long-term discretionary financial assets.
  2. Common and preferred shares - consist of common and preferred shares in public companies held directly, as well as indirectly, through managed assets.
  3. Closed-end funds - are bought and sold on the open market. Their prices fluctuate with the current supply and demand of their units on the markets. As such, closed-end fund units may trade either at a premium or a discount to the unit value as determined by the market value of the underlying fund assets.
  4. Capital accumulation plans - are tax-assisted group retirement or savings plans that permit members to select investments from two or more options offered within the plan. A capital accumulation plan may be sponsored by an employer, trade union, association or a combination of these entities for the benefit of its employees or members. Plan types include defined contribution plans, group registered retirement savings plans, deferred profit-sharing plans, employee profit-sharing plans, group tax-free savings accounts and other plans.