CDs
A deposit of funds in a financial institution that permits the holder to receive interest plus the deposit when it matures.

 
 

Mutual Funds*
An investment company that continually offers new share and stands ready to redeem existing shares from the owners. There are many different types of funds and many are sold in fund families.

 
 

Stocks
An ownership share in a corporation. Depending on type it may have voting rights and have a residual claim to assets of a corporation.

 
 

Bonds
Are known as debt instruments to the company that issued them. The issuing copmany promises to repay the principal of a loan to bond investors. For taking on this debt, interest payments, are paid to the owner semi-annually.

 
 

Annuities
A contract between an insurance company and an individual. All money invested accumulates tax deferred. Retirement income is usually the objective of most annuity plans. Withdrawals prior to age 59½ may be subject to a 10% tax penalty.

 
 

Index Annuities
A single premium or flexible deferred annuity. It is a retirement plan that offers you many advantages such as: interest credited reflects a percentage of any S&P 500 Index increases, protection of principal and interest credited. All increases in your account are locked in every year, you can never lose interest once it has been credited.

 
 

IRA - Individual Retirement Planning
Anyone can establish a IRA. This is a retirement account that is funded through after-tax dollars and all income grows tax deferred until withdrawn. A deductible IRA allows a $2,000 deduction from income to reduce your current tax burden. Deductions are based on your income level. New changes allow you to contribute to an IRA even if you or your spouse has another retirement plan. Pension & Profit Sharing Plans These are qualified retirement plans that allow plan participants to set aside money for retirement. There are many types of Pension and Profit sharing plans that can meet the needs and situations of each individual company. The many benefits are: Tax deferred growth, funded with pre-tax dollars, and money contributed are deductible for employers.

 
 

Roth IRA
Individual’s are allowed to make a after-tax contribution up to $2000 depending on their gross income. The principal and growth are received tax free after 5 years and/or age 59½.

 
 
*General Securities Disclosure
Securities and investment advisory services offered solely by NFP Securities, Inc. 1250 Capital of Texas Hwy S., #2-600, Austin TX 78746. Tel 877-880-0040 Fax 512-329-0971. NASD/SIPC.

Follow-up, individualized responses to persons by NFP Securities, Inc. involving the rendering of personalized investment advice or effecting or attempting to effect securities transactions, will not be made absent compliance with state registration requirements. NFP Securities, Inc. cannot respond to securities or investment advisory related information requested by persons in Hawaii.
Disclosure