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Single Premium Deferred Annuity (SPDA) |
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Single Premium Deferred Annuity (SPDA)An IRA-like annuity into which an investor makes a lump-sum payment that is invested in either a fixed-return instrument or a variable-return portfolio, which is taxed only when distributions are taken.Single Premium Deferred Annuity (SPDA) Similar MatchesDeferred interest mortgageDeferred interest mortgageInterest is not paid during the deferral period. When the period is over, the accumulated interest is added to the original loan. Some lenders add this interest to the total of your loan to give a new loan figure and new interest payments. Others calculate your interest payments on the original loan as normal and then spread the repayment of the deferred interest over a set period of time. The latter method is better for you, as adding the deferred interest to the loan means you end up paying interest on the deferred interest! Child deferred endowmentChild deferred endowmentAn endowment assurance, on the life of a child, which can be taken as cash at maturity or converted to a full endowment or whole life assurance. Deferred equityDeferred equityA common term for convertible bonds, which recognizes their equity component and the expectation that the bond will ultimately be converted into shares of common stock. Deferred compensationDeferred compensationAn amount that has been earned but is not actually paid until a later date, typically through a payment plan, pension, or stock option plan. Deferred callDeferred callA provision that prohibits the company from calling the bond before a certain date. During this period the bond is said to be call protected. Further SuggestionsTax deferred retirement plansDeferred charge Periodic purchase deferred contract deferred state pension Deferred payment annuity Deferred account Tax deferred income Deferred interest bond Contingent deferred sales charge (CDSC) Deferred nominal life Annuity deferred income |
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