What Are Annuities? An annuity is a contract in which an insurance company agrees to pay out a guaranteed sum of money to an investor, called the annuitant, for a specified period. The investor hands over a sum of money, either in a lump sum or over a period of time, to the insurance company, which agrees to make payments, usually monthly or quarterly, to the investor. Payout periods can…

The franc is the currency of both Switzerland and Liechtenstein. It is also the legal tender in both countries, as well as the geographically separate Italian territory of Campione d'Italia. The Swiss franc (ISO code: CHF) is the only version of the franc still used in Europe. + Believed to be an integral part of Swiss history, the franc is regarded as far more than just legal tender, but as…

Political uncertainty is a key forex market driver, stimulating participation, order flow and volatility. Whether it's a forced regime change or democratic election, politics can quickly sway currency valuations around the globe. Accordingly, one of the most important forex market fundamentals is a U.S. General Election. Held on Tuesday, 3 November 2020, the U.S. General Election will decide the American government's makeup for years to come. Seats in the Senate…

Throughout the U.S. electoral cycle of 2020, a collection of unique events drove a spirited race for the White House. Dubbed by political pundits as "the most important election of our time," Election 2020 featured incumbent Republican Donald Trump against Democratic challenger Joe Biden. Issues such as social welfare, homeland security, economic growth and the coronavirus (COVID-19) pandemic defined the contest. From an economic standpoint, the difference between Trump and…

The government and the Reserve Bank of Australia, like their counterparts in other major countries, have enacted several measures to protect and stimulate their economies in the wake of the coronavirus pandemic. Reserve Bank And Banking System On 3 March the Reserve Bank's board lowered its benchmark cash rate, which is the interest rate on unsecured overnight loans between banks, by 25 basis points to 0.50% and said it "is…

Reserve Bank of New Zealand On 16 March the Reserve Bank of New Zealand (RBNZ), the country's central bank, lowered its Official Cash Rate from 1.0% to 0.25% and said it would remain at that level "for at least the next 12 months." The RBNZ announced that it would delay by 12 months the start date of increased capital requirements for banks until 1 July 2021, and said it would…

Over the course of human history, certain periods of time have proven especially tumultuous. Racial divides, famine, pandemic and political upheaval all pose unique challenges. In some cases, these events stimulate extreme social conflict. From the late-18th century French Revolution to the end of South African aparthied 200 years later, civil unrest has been a disrupter of financial markets, economic systems and the global currency exchange. Although the forex is…

COVID Stimulus Package Guide: Eurozone Since March 2020, the European Central Bank (ECB) and the European Union have announced several major economic stimulus programmes and policy measures to protect businesses, consumers and institutions in the eurozone from the effects of the coronavirus. The ECB and the EU, in particular, are more limited in what they can do compared to sovereign countries, such as the U.S. and U.K. and their own…

Canadian Government On 13 March the government announced the creation of a CA$10 billion Business Credit Availability Program (BCAP) to support financing in the private sector through the Business Development Bank of Canada (BDC) and Export Development Canada (EDC). Under this program, BDC and EDC will increase their cooperation with private sector lenders to coordinate financing and credit insurance solutions for Canadian businesses. The government also announced a series of…

United Kingdom Government Since March 2020, the government of the United Kingdom and the country's central bank, the Bank of England, have announced several major economic stimulus programs and policy measures to protect British businesses, consumers and institutions from the effects of the coronavirus. The government's support is mainly focused on supporting businesses and individuals through subsidized and government-guaranteed loan programs, outright grants, and tax and payment holidays. Coronavirus Business…

United States Government As the world's largest economy, the U.S. has been at the forefront of taking the initiative to help its citizens and businesses survive financially during the shutdown and help them get back on their feet afterward. The main action taken by the government was the Coronavirus Aid, Relief, and Economic Security (CARES) Act, a more than US$2 trillion economic relief package that includes several important programs and…