Sentences with phrase «stream of payments»

Paper assets are no different: for example, an insurance company has a constant stream of income from premiums and a constant stream of payments for claims.

When a mortgage is paid off early, the expected stream of payments comes much sooner than expected.

Life insurance is a contract by which an insurance company agrees to pay a sum of cash or stream of payments in the event of the death of an insured person.

The annuity plan makes a constant stream of payments.

But if you are planning to buy bonds and hold them to maturity, they will provide a predictable stream of payments and repayment of principal.

The reverse mortgage loan may allow the person to access their home equity by receiving a lump sum, a monthly stream of payments, or a combination of both.

Both allow unlimited contributions, and both provide a continuous stream of payments for life.

Because bonds typically have a predictable stream of payments and repayment of principal, many people invest in them to preserve and grow capital or to receive consistent interest income.

Offspring of forwards, involving an exchange of streams of payments over time according to preset terms.

If you can't afford to give your spouse a lump sum payment, you may be able to persuade him or her to accept a steady stream of payments over time or a percentage of future proceeds once the business is sold.

Annuitization converts the entire balance of the account into a predefined guaranteed stream of payments that last for the rest of the owner's life.

Apart from life cover, a pension plan provides a protection of regular stream of payments after the person retires.

Now comes the latest twist on securitizing streams of payments: iPhone and Android smartphone installment plans.

The main thing that has served me well is an understanding of present discounted value, and the constant attempt to answer one question: What is the expected stream of payments actually commanded by this security?

Aldeman: The bill lays out a path to full funding by making the actuarially required payments immediately and beginning a separate stream of payments to pay down the existing liability starting in 2019.

In principle, this pension wealth represents the market value of the associated annuity: it is the size of the 401 (k) that would be required to generate the same stream of payments.

Think of it this way: at the end of a bubble, someone looks at buying an asset, and concludes that it is not worth buying because of the likely stream of payments he will have to make after the initial purchase.

As the Court notes, however, the Brulotte rule leaves multiple options for companies seeking to structure an agreement with a long - term stream of payment.

It has pre-defined streams of payment that fall due before the maturity date of the policy.

Some lenders and investors have reevaluated the market, and realized that if a company can't raise 20 - year debt financing, why should they be financing a 20 - year stream of payments.

Eliot Spitzer's hooker - loving ways have cost him big — with ex-wife Silda scoring a $ 7.5 million cash payout and a steady stream of payments to maintain her luxurious lifestyle as...

Annuities are one of the only financial products that can protect a portion of savings by turning it into a steady, guaranteed stream of payments to supplement other retirement income for as long as a person lives.

Apart from life cover, a pension plan provides protection of constant stream of payments after the person retires.

Ultimately, stocks are a claim on a stream of payments that will be delivered to investors over time, and investors re-price stocks when they realize those payments aren't coming.

When an individual retires under a DB plan, she is entitled to a stream of payments that has a lump - sum value that we calculate using standard actuarial methods (which take into account expected mortality patterns and adjust the sum of payments to reflect the fact that they are received over many years rather than at a single point in time).

Conversely, when a teacher retires under a DB plan, she is entitled to a stream of payments that has a lump - sum value (or present value) that can be readily determined using standard actuarial methods.

The employee, however, can always choose at retirement to convert the accumulated funds into a stream of payments for life by buying an annuity.

The employee right is not to an account, it is to a stream of payments.

Unlike a deferred annuity, an immediate annuity has no accumulation period — an investor simply pays the insurance company a lump sum, and then receives the stream of payments for the set time period.

You can put all of the different cash flow items into a spreadsheet and use the function» = NPV (rate, [cash flows]-RRB- to get the value of a stream of payments.

Technically, an annuity is an insurance vehicle where a lump - sum amount is exchanged for a stream of payments going forward.

An immediate annuity is a financial instrument that converts a lump - sum premium into a stream of payments over a certain period of time or for as long as the annuitant lives.

[Geek note: structured settlements arise when a plaintiff wins a court case, and a stream of payments must be made by a defendant for the rest of the plaintiff's life.

Selling real estate by land contract or contract for deed can be an excellent way to turn an unwanted piece of property into a stream of payments over a short or long period of time.

A reverse mortgage is a loan that is available as a one - time payment or a stream of payments.

Owning an annuity provides recipients with a stream of payments that may be scheduled for payout immediately or years down the road.

Sometimes called an income annuity, this tool essentially takes your purchase payment and converts it to a stream of payments made back to you for a specific length of time — or for your entire life.

When you are ready for your stream of payments to begin, the value of your funds is turned into a steady stream of payments that provide a specified payment for either a certain period of time — say, 20 years — or for an indefinite period, such as your lifetime or the lifetime of you and your spouse, the SEC says.

The concept behind a Deferred Income Annuity, an exchange of a premium today for a stream of payments in the future, is not new.

The take away here is that the tax laws are in place to make people use annuities for the intended purpose which is to provide a stream of payments to the annuity owner based upon his / her life expectancy.

The principal sum would convert immediately into the stream of payments.

The original purchase price may be either a lump sum or a stream of payments.

The original payment is usually a stream of payments made over time, ending prior to the beginning of the annuity payments.

Settlements can be taken as a lump sum in the future, as a stream of payments for a predetermined number of years, or as a combination of both.

A defined benefit pension is a stream of payments that continues until the beneficiaries die, mainly.

You can think of an annuity as the reverse: you pay the insurance company a lump sum amount in exchange for a stream of payments until you die.

Most people know that a life insurance policy pays out a lump sum amount in exchange for a stream of payments to the insurance company.