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Need to get a grip on your investments? 

Index-linked term deposit to help you get there.

  • the principal is guaranteed, allowing investors to take advantage of gains in the stock market with no risk to their principal

What is the difference between a term deposit and an index-linked term deposit?

term deposit is an investment that's held at a financial institution for (typically) a fixed length of time–anywhere from a few months to five years or more. It's a no-risk investment and the rate of returns are secure and at this time, conservative.

An index-linked term deposit is one where the rate of return is linked to the stock market and therefore offers potentially higher growth. Your principal is guaranteed, but the performance of the market determines how much money you'll make at the end of the term.

An index-linked term deposit takes some of the risk out of investing while capitalizing on the stock market's potential.

Our Interest index-linked term deposit to help you reach your investment goals, reduce risk and worry while knowing you are investing into our local economy which helps to keep it vibrant.

Product details

  • Min Investment: $1,000 Series – New series are launched every two months
  • Eligible Investment: RRSP, Non Registered and TFSA
  • Redeemable: No
  • Term Length: 3 year and 5 year
  • NO fees and NO commissions

How it works
Returns are calculated based on the performance of the S&P/TSX 60, as traded on the Toronto Stock Exchange, representing 60 publicly traded companies from Canada’s leading industries. In the very worst case, the investors will receive only their original investment at maturity.

The principal investment amount is 100% protected.

How returns are calculated
The calculation is based on the following rate and values.

Participation rate: The degree to which the return on the ILTD term is linked to the actual performance of the S&P/TSX 60 (100% for the five-year deposit).

Average value: Calculated by adding the monthly averaging date closing values for the index between the first valuation date and the maturity date and dividing that total by the months in the term (five-years = 60 months).

Starting value: Calculated at the close of business on a predetermined date (strike date).

S&P/TSX 60 Index The S&P/TSX 60 Index tracks sixty foremost companies in leading industries in Canada, providing investors with a broad but manageable index. Candidates for the S&P/TSX 60 Index are evaluated for ample liquidity and efficient share pricing, as well as representation of important industry segments within Canada. The S&P/TSX 60 Index provides economic diversity over ten market sectors. These include Materials, Industrials, Telecommunication Services, Consumer Discretionary, Consumer Staples, Energy, Financials, Health Care, Information Technology, and Utilities. S&P/TSX 60 INDEX 09 JUNE 2017 (Source:

A good hold
While the returns from market-linked term deposits may not be as high as what you might get by playing the stock market, you can rest easy knowing you won't lose your principal no matter how poorly the stock market performs.

Tax implications
Our Interest Index-linked term deposits are RRSP and TFSA eligible, making them another tool for reducing your taxable income.

The climb
Although you can track S&P/TSX 60 online there's no way to calculate exactly how much money you'll earn until the term expires. If you're banking on a steady injection of cash, you may want to consider an alternative low-risk investment, like a high-interest savings account or our Community Bond.

Talk to us about how these term deposits may play a role in your investment strategy.

Your deposits are fully guaranteed by the Credit Union Deposit Insurance Corporation of British Columbia. Contact us for details.

​Do you want to learn more?

Get in touch! We will be happy to discuss your goals and help you decide if an Index-linked term deposit will work for you.

Helpful Resources

Guaranteed Deposit Protection ​
The safest way to save money and earn a return, thanks to CUIDC insurance.


​Understanding Investments ​
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Saving for Retirement
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