A certificate of deposit that has earnings based on the stock market is called a (n)

Question

Quizplus · Accepted Answer

An Indexed CD, also known as an Equity-Indexed CD or Market-Linked CD, is a type of certificate of deposit that has returns linked to the performance of a specific stock market index, such as the S&P 500. The interest rate earned on the CD is based on the performance of the index and may be higher than traditional CDs. However, there is usually a cap on the maximum interest rate earned and the principal may be at risk if the index performs poorly.

A Certificate of Deposit That Has Earnings Based on the Stock