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ABA routing number
American Bankers Association routing number
American Bankers Association routing number – a nine digit code used to identify US banks when making payments.
The time frame for which a business prepares its financial statements and reports its financial performance. The financial year for the TreasurySpring Platform runs from 1 May to 30 April each year.
Automated Clearing House
Automated Clearing House – a low-cost electronic bank-to-bank payment system in the USA, similar to BACS in the UK.
The independent fund administrator for the TreasurySpring Platform is R&H (see R&H). Under the Administration Agreement between R&H and the TreasurySpring Platform, R&H provide a wide range of services such as operational, AML and requisite regulatory authorisations and consents needed by the JFSC.
Alternative Investment Fund
Alternative Investment Fund – defined by the AIFMD (see AIFMD) as a collective investment undertaking (including investment compartments thereof), which raises capital from a number of investors, with a view to investing it for the benefit of those investors in accordance with a defined investment policy; and which does not require authorisation under the UCITS Directive (see UCITS).
Alternative Investment Fund Managers Directive
Alternative Investment Fund Managers Directive – a European Union directive (2011/61/EU) that provides a regulatory framework for managers of Alternative Investment Funds (see AIF).
Anti-Money Laundering – the laws, regulations and procedures designed to detect and prevent money laundering, typically applicable to financial institutions and other regulated entities.
Articles of Association
Articles of Association – available for each Cell and specify the rules that company officers must by law implement when running the Fixed Term Funds.
KPMG Channel Islands – reviews the accounts to ensure the validity and legality of financial records
The action of extending an eFTF on the Option Extension Date to the next Extended Redemption Date.
The action of rolling an existing FTF into a new fund at maturity.
Bank Identifier Code
Bank Identifier Code – an 8-11 digit code used to identify a specific bank when instructing payments, often used interchangeably with SWIFT code.
Bank of England
Bank of England – the central bank responsible for managing monetary policy in the United Kingdom
Bank of Japan
Bank of Japan – the central bank responsible for managing monetary policy in Japan.
A fixed income instrument representing a loan made by an investor to a borrower for a set period of time (typically with a maturity of more than one year), in exchange for regular interest payments.
Basis point(s) (each equal to one hundredth of a percent)
Basis point(s) (each equal to one hundredth of a percent) – quoted as an alternative to percentage points for prices and rates.
A day (excluding Saturday, Sunday and public holidays) on which banks generally are open for business in the City of London and Jersey for the transaction of normal banking business.
Central Counterparty Clearing House
Central Counterparty Clearing House – an institution helping facilitate trading in various derivatives, fixed income and equity markets, with two primary functions as an intermediary in the transaction: clearing and settlement.
Certificate of Deposit
Certificate of Deposit – a financial product commonly offered by banks providing an interest rate premium in exchange for the customer agreeing to leave a lump-sum deposit untouched for a fixed period of time.
Customer Due Diligence
Customer Due Diligence – the processes typically used by financial institutions to collect and evaluate relevant information about a (potential) customer, with the required information provided by the customer or by independent third-party sources.
Credit Default Swap
Credit Default Swap – a form of credit protection, by way of a financial derivative that binds the seller of the CDS to compensate the buyer in the event of a debt default or other credit event of the underlying company on which the CDS was written.
Investment Cell (see IC) – the legal entity, regulated as an Alternative Investment Fund, that issues Fixed Term Funds.
A national financial institution providing financial and banking services to a country’s commercial banking system, often being responsible for a country’s monetary policy and issuing currency (where applicable).
Collective Investment Scheme
Collective Investment Scheme – a method of pooling funds with other investors, typically in the form of a regulated fund.
Constant Net Asset Value
Constant Net Asset Value – refers to a fund that aims to keep a stable price of €1/£1/$1 per share, typically used in money market funds. Since the EU MMF Regulation ((EU) 2017/1131), only public (government) debt MMFs are permitted to operate in the EU as CNAV MMFs.
A basket of assets that a lender accepts as security for a loan with the goal to reduce credit risk. If the borrower defaults, the lender can sell the collateral to recover unpaid amounts.
A type of bond that can be exchanged into a specified number of shares of common stock in the issuing company when certain pre-defined criteria are met.
Cell Operating Procedures
Cell Operating Procedures – provide details of the procedures of the FTF lifecycle.
The other party that participates in a financial transaction.
The possibility of loss, resulting from the other party to a transaction’s failure to repay a loan or meet contractual obligations. Often used interchangeably with credit risk.
A form of debt security collateralised by a pool of assets (typically mortgage loans or public-sector debt) to which investors have a preferential claim in the event of default by the issuer.
Commercial Paper – usually issued by a bank or a corporate under a CP programme, commercial paper is a short-term negotiable debt instrument, typically with a maturity of less than 365 days.
A financial technology company that aggregates and anonymises credit risk estimates from market participants and offers insights into unrated sovereigns, funds, public and private companies and subsidiaries.
Credit Rating Agency
Credit Rating Agency
A company that assigns credit ratings, assessing a borrower’s ability to repay debt in time (see S&P, Moody’s and Fitch).
The risk of loss arising from a borrower’s inability to repay a loan or meet contractual obligations. Often used interchangeably with counterparty risk.
Certificateless Registry for Electronic Share Transfer
Certificateless Registry for Electronic Share Transfer – electronic settlement system for holding and transferring UK and Irish securities in electronic form.
Common Reporting Standard
Common Reporting Standard – a reporting requirement for financial institutions in participating countries/jurisdictions setting out financial account information to be exchanged between governments for the purpose of fighting tax evasion. Also see FATCA.
Central Securities Depository
Central Securities Depository – an institution holding financial instruments, enabling the transfer of ownership of those instruments in electronic form through updating electronic records (often known as ‘book-entry records’).
Corporation Tax Act 2009
Corporation Tax Act 2009 – provides guidance on the tax treatment for Fixed Term Fund holdings.
A financial institution that offers safekeeping of customer assets in a (generally) bankruptcy-remote format.
TreasurySpring’s account at custodian institutions, holding securities for safekeeping.
The time after which the maturity action cannot be changed.
A sum of money placed with a financial institution, economically an unsecured loan. Can be paid out on demand, following notice or after a fixed term (see: Notice account; Term Deposit).
Depository Trust Company
Depository Trust Company – as a subsidary of DTCC (see DTCC) and one of the world’s largest securities depositories, the DTC holds trillions of dollars in securities in custody, including corporate stocks and bonds, municipal bonds, and money market instruments.
Depository Trust and Clearing Corporation
Depository Trust and Clearing Corporation – a US-based financial services corporation providing clearing and settlement services to the global financial services industry.
A measure of the sensitivity of the price of an asset to changes in interest rates and hence is an indicator of interest rate risk. The greater the magnitude of the duration, the greater the sensitivity. Multiple versions exist, including: Macaulay; Modified; and Fisher-Weil.
Effective Annual Yield
Effective Annual Yield – the yield of an asset calculated using: the actual number of calendar days until a cash flow is received; annual compounding with 365 days in a year; and assuming any interim cash flow is reinvested at the same yield. Also known as the XIRR method, or in some cases the Annual Percentage Yield (APY).
European Central Bank
European Central Bank – the central bank responsible for managing the economic and monetary policy of the 19 European Union member states that have adopted the euro.
European Economic Area
European Economic Area – comprises European Union member states and other European Free Trade Association member states, to form a single economic market.
Effective Federal Funds Rate
Effective Federal Funds Rate
A interest rate index reflecting the rate that banks charge each other to borrow or lend excess reserves on an overnight basis, calculated as a volume-weighted median of overnight federal funds transactions.
Extendable FTF – FTF class with an extendable redemption date, similar to a notice deposit. An eFTF offers clients the opportunity to extend the term of the FTF, back to its original number of days to maturity, at regular intervals (Option Extension Dates).
Euro Overnight Index Average
Euro Overnight Index Average – refers to the 1-day interbank interest rate for the Eurozone, where “Overnight” means from one TARGET day (i.e. day on which the Trans-European Automated Real-time Gross Settlement Express Transfer system is open) to the next. EONIA was discontinued on 3rd January 2022. The measure was often used by market participants as an indication of where risk-free rates may lie when assessing the term EONIA market. The ESMA Working Group recommended that the euro short-term rate (€STR) be used as the risk-free rate for the euro area.
A contractual agreement in which a third party agrees to hold funds or assets before they are transferred from one party to another one. The disbursement of funds or assets from the escrow agent may only occur once certain pre-defined disbursement conditions are agreed and fulfilled by the transacting parties.
Environmental, Social and Governance
Environmental, Social and Governance – while having many different uses and definitions, generally ESG criteria are used to evaluate the environmental, social and governance characteristics of a particular institution or entity.
Euro Short Term Rate
Euro Short Term Rate – a reference interest rate reflecting the overnight borrowing costs of banks within the Eurozone, based entirely on daily confidential statistical information provided by banks to the ECB.
European Union – comprises 27 countries in economic and political union and operates a single market allowing the free movement of goods, services, capital and people between its member states.
Foreign Account Tax Compliance Act
Foreign Account Tax Compliance Act – a US tax law that dictates the tax and reporting obligations for banks and other financial organisations in relation to US persons investing in non-US investment accounts or assets.
Financial Conduct Authority
Financial Conduct Authority – the regulator for financial services and financial markets in the United Kingdom, other than the banking and insurance markets which are regulated by the PRA (see PRA).
Federal Deposit Insurance Corporation
Federal Deposit Insurance Corporation – an independent US federal agency providing deposit insurance to protect against the loss of insured deposits in the event of an insured bank’s failure. FDIC also supervises financial institutions and manages receiverships.
Federal Reserve System
Federal Reserve System – the central bank responsible for managing monetary policy in the United States of America.
Also known as Fedwire Funds Services, it is a real-time gross settlement system of central bank money facilitating electronic transfer of final U.S. dollar payments among participating financial institutions.
Fitch Ratings Inc., one of the three main credit rating agencies, is a leading provider of credit ratings, commentary and research for global capital markets.
An agreement between two parties, whereby one party (the buyer) agrees to purchase from the other party (the seller) an underlying asset at a later date for a price established at the start of the contract.
Floating-Rate Note – a debt instrument with a variable interest rate that is reset on a periodic basis.
Financial Services Compensation Scheme
Financial Services Compensation Scheme – the compensation scheme in the UK protecting customers of authorised UK banks, building societies and credit unions (amongst others) up to a maximum of £85,000 per institution.
Fixed-Term Funds – A maturity-matched Alternative Investment Fund (see AIF) that provides standardised, passthrough access to a single fixed income instrument.
Class of FTF shares
Class of FTF shares (fixed or extendable)
A legal agreement and a type of derivative that obligates the parties to buy or sell a particular asset at a later date for an agreed price. Unlike forward contracts, futures are not customisable and have the same terms independent of the counterparty.
General Data Protection Regulation (Regulation (EU) 2016/679)
General Data Protection Regulation (Regulation (EU) 2016/679) – regulates data protection and privacy in the EU.
Global Master Repurchase Agreement
Global Master Repurchase Agreement – used as a market standard legal agreement by parties transacting in repo (see Repo) and published by the International Capital Market Association (see ICMA).
Global Master Securities Lending Agreement
Global Master Securities Lending Agreement – used as a market standard legal agreement by parties for securities lending transactions and published by the International Securities Lending Association (see ISLA).
Government secured FTF
FTFs overcollateralised with government
FTFs overcollateralised with government-issued securities held by a tri-party agent.
Expressed as a percentage, it is the difference between the initial market value of an asset and the purchase price paid for that asset at the start of a repo transaction, to which it is also marked daily (or more frequently where tri-party agents are used) in order to remain over-collateralised.
Entities considered to be in this category have a credit rating below BBB- from S&P or Fitch or below Baa3 from Moody’s. They are expected to be more likely to default than their investment grade counterparts.
Her Majesty's Treasury
Her Majesty’s Treasury – the UK government’s economic and finance ministry, responsible for developing and executing the government’s public finance and economic policy.
A maturity action where funds will be held on behalf of clients in TreasurySpring’s subscription or custodian account.
High Quality Liquid Assets
High Quality Liquid Assets – assets that can be easily and rapidly converted into cash through sales with no material reduction in value.
International Bank Account Number
International Bank Account Number – a unique account number, up to 34 characters, initially developed to facilitate payments within the European Union. It is used to identify an individual bank account in international transactions.
Incorporated Cell (see Cell and ICC)
Incorporated Cell Company
Incorporated Cell Company – TreasurySpring Investments (Jersey) ICC
International Capital Market Association
International Capital Market Association – an organisation and trade association for participants in the international capital markets, promoting high standards of market practice, appropriate regulation, trade support, education and communication.
ICMA Green Bond Principles
ICMA Green Bond Principles – the market standard framework used by most bond issuers in financing environmentally sound and sustainable projects that foster a net-zero emissions economy and protect the environment.
ICMA Sustainability Bond Guidelines
ICMA Sustainability Bond Guidelines – the market standard framework used by most issuers for issuing sustainability bonds where the proceeds will be exclusively applied to finance or refinance a combination of both green and social projects.
ICMA Social Bond Principles
ICMA Social Bond Principles – the market standard bond framework used by most issuers in financing socially sound and sustainable projects that achieve greater social benefits.
ICMA Sustainability-Linked Bond Principles
ICMA Sustainability-Linked Bond Principles – the market standard framework for bond issuance, whereby issuers commit explicitly (including in the bond documentation) to future improvements in sustainability outcome(s) within a predefined timeline, measured through predefined Key Performance Indicators (KPIs) and assessed against predefined Sustainability Performance Targets (SPTs). Whilst there are no restrictions on how the proceeds can be used, the annual coupon paid by the issuer varies depending on whether the SPTs have been reached or not.
The quality of a company's credit
The quality of a company’s credit – to be considered ‘Investment Grade’, a company has to be rated ‘BBB-‘ or higher by Standard & Poor’s and Fitch or Baa2 or higher by Moody’s. Investment grade companies have a lower probability of default as opposed to debt that is considered speculative grade (see High yield/junk/sub-prime).
Interest Rate on Reserve Balances
Interest Rate on Reserve Balances – the interest rate paid by the Federal Reserve (see Fed) on balances maintained by or on behalf of eligible institutions in master accounts at Federal Reserve Banks.
International Swaps and Derivatives Association
International Swaps and Derivatives Association – a trade organisation for market participants in the derivatives market, including derivatives dealers, service providers and end users.
International Securities Lending Association
International Securities Lending Association – a non-profit industry association, representing the common interests of securities lending and financing market participants across Europe, Middle East and Africa.
Issuance of FTF Shares in any FTF Class at an Indicative Yield set out in the relevant Subscription Application Form.
Jersey Financial Services Commission
Jersey Financial Services Commission – Jersey’s financial and conduct regulator, responsible for regulating TreasurySpring’s cells.
Know Your Client
Know Your Client – the process whereby a financial institution or advisor gains and verifies sufficient knowledge about their clients, including their identity, their risk tolerances, their source of funds and any other relevant information that can be used to determine whether a potential client is suitable for the products or services offered. KYC checks are designed to protect against money laundering, terrorist financing, fraud and corruption.
Liquidity Coverage Ratio
Liquidity Coverage Ratio – a measure of a bank’s 30-day stress liquidity, required under Basel III regulations. The ratio requirements are designed to ensure that banks hold sufficient high-quality liquid assets (see HQLA) to survive a 30-day stress period.
Legal Entity Identifier
Legal Entity Identifier – a unique global (20-character) identifier for legal entities participating in financial transactions
Letter of Credit
Letter of Credit
A contractual payment undertaking issued by a financial institution (the issuing bank) on behalf of a buyer of goods (the applicant for the credit) for the benefit of a seller (the beneficiary), for an agreed amount, payment of which is typically made within a specific timeframe upon presentation of specified documentation relating to the goods.
Loss-given default – the amount of money that is projected to be lost upon default of a borrower after accounting for any recovery, commonly represented as a percentage of total exposure at the time of default.
London Interbank Offered Rate
London Interbank Offered Rate – quoted from overnight to 12 months in maturity, the London Interbank Offered Rate (LIBOR) is a benchmark interest-rate average at which selected banks are prepared to lend wholesale money to each other. LIBOR is currently being phased out and will be replaced by other benchmark rates.
Line of Credit
Line of Credit
A credit facility offered by a bank that enables the customer to borrow money when it needs funds, up to a pre-specified borrowing limit.
Arises when an individual investor, business, or financial institution cannot (readily) convert an asset into cash without offering a discount, thereby potentially realising a loss because a lack of buyers or an inefficient market.
Low Volatility Net Asset Value
Low Volatility Net Asset Value – a new type of money fund since the implementation of the EU MMF Regulation ((EU) 2017/1131). These funds can price at €1/£1/$1 a share, so long as the market NAV does not deviate more than 20bps from the dealing NAV of 1.00.
TreasurySpring Management (Jersey) Limited
Arises in the context of balance sheets when a company’s short-term liabilities exceed its short-term assets. One of the risks investors into money market funds face is maturity mismatch.
The common practice by financial institutions of borrowing money for a shorter period than they lend money out.
Money market fund
Money market fund – a type of open-ended mutual fund that invests in high quality, short-dated debt securities – largely from the financial world. MMFs can have different formats but are all consistent with the characteristics of capital preservation and liquidity.
Moody's Investors Service
Moody’s Investors Service, one of the three main credit rating agencies, provides credit ratings, commentary and research for global capital markets.
Master Subscription Agreement
Master Subscription Agreement – the document which needs to be signed by a client to be able to onboard to the TreasurySpring Platform.
Medium Term Note
Medium Term Note – a type of debt security with a typical maturity of 5 to 10 years.
Net Asset Value
Net Asset Value – denotes the value per share of a mutual fund, calculated as ((Assets – Liabilities) / Number of shares). In a money market fund (depending on the accounting method used) this is typically €1/£1/$1.
A type of debt issued by companies in note format, designed to ensure constant cash flows coming in from the debt issuance allowing companies to meet their financing needs. Similar to bonds, however typically with an earlier maturity date. Depending on the jurisdiction, the maturity it refers to can vary.
An interest bearing bank account allowing for withdrawals after notice is given. The notice period is typically between 30-90 days but can sometimes be longer.
Net Stable Funding Ratio
Net Stable Funding Ratio – a liquidity ratio requirement for financial institutions introduced by Basel III regulations which is defined as the amount of available stable funding relative to the amount of required stable funding. This ratio should be equal to at least 100% on an ongoing basis. It is one of the Basel Committee’s key reforms to promote a more resilient banking sector.
Person or entity who is contractually obliged to make principal repayments and interest payments on outstanding debt, often used interchangeably with “Issuer” or “Borrower”.
Overnight index swap
Overnight index swap – describes an interest rate swap, whereby the overnight rate (e.g. the Fed Funds rate) is being exchanged for a fixed interest rate.
Option Extension Date
Option Extension Date
The date on which the holder of an eFTF Class may select to extend the Redemption Date to the Extended Redemption Date.
Refers to the presence of a haircut in a repo transaction, i.e the purchase price paid for the collateral is lower than their market value. All of our secured FTFs are overcollateralised.
People's Bank of China
People’s Bank of China – the central bank responsible for managing monetary policy in mainland China.
Probability of default
Probability of default – the forecast percentage chance over a certain time horizon that a borrower will not be able to meet its debt obligations.
Politically Exposed Person
Politically Exposed Person – someone who has been entrusted with a prominent public function, thus representing a higher risk for potential involvement in illicit activities like bribery and corruption.
Online portal through which an onboarded client can purchase FTF shares and future clients are able to complete all documentation to be onboarded.
Prudential Regulation Authority
Prudential Regulation Authority – the United Kingdom regulatory body responsible for prudential regulation and the supervision of financial institutions including banks and insurance companies.
R&H Funds Services (Jersey)
R&H Funds Services (Jersey) Limited (see Administrator)
The extent to which principal and accrued interest can be recovered upon default, expressed as a percentage of face value using the default market value (DMV) at default.
A maturity action where funds will be repaid to the client.
In a repo transaction, Party A sells an asset (typically a liquid financial instrument such as government bonds) to Party B at one price and commits to repurchase the same or another part of the same asset from Party B at a different price at a future date. In the event of the seller defaulting during the life of the repo, the buyer as the new owner (in this case, Party B) can sell the asset to a third party to offset the loss. The asset therefore acts as collateral and mitigates the credit risk that the buyer has on the seller. Should a shortfall remain, the claimant is in no worse position for said shortfall than other senior unsecured claims, such as deposits.
Reverse repo/Reverse repurchase agreement
Reverse repo/Reverse repurchase agreement
Repo (see ‘Repo/repurchase transaction’) flipped on its head – in a reverse repo transaction, Party B purchases securities from Party A in order to to sell them back at a higher price at a specific future date.
Repurchase Overnight Index Average
Repurchase Overnight Index Average – indicates the rate at which interest is paid on secured pounds sterling overnight wholesale funds, whereby the collateral, which is constituted of domestic government bonds, is not subject to any exceptional, special, nor specific demand in the cash market.
S&P Global Ratings
S&P Global Ratings, one of the three main credit rating agencies, is a leading provider of credit ratings, commentary and research for global capital markets.
Securities and Exchange Commission
Securities and Exchange Commission – US government oversight agency responsible for regulating the securities markets and protecting investors.
Secured FTFs are overcollateralised with securities held by a tri-party agent.
Debt that a company has to repay first upon default, for example a loan that is intended to rank ahead of other unsecured and unsubordinated debt upon the insolvency of a borrower.
Single Euro Payments Area
Single Euro Payments Area – a pan-European network that facilitates payments between cross-border banks in the Eurozone.
Subscription Instruction Form
Subscription Instruction Form – a paper or online form used to instruct TS to make a subscription. Funds must also be received in advance for an instruction to be actioned.
Secured Overnight Financing Rate
Secured Overnight Financing Rate – a secured interbank interest rate benchmark published daily by the New York Fed, measuring the cost of borrowing cash on an overnight basis, collateralised by domestic government bonds.
Sterling Overnight Index Average
Sterling Overnight Index Average – the effective overnight interest rate for unsecured interbank transactions in pounds sterling, administered by the Bank of England.
Sovereigns, Supranationals and Agencies
Sovereigns, Supranationals and Agencies – these entities typically issue debt to support sovereign and multilateral budgets, export financing, international development programmes and local government projects, and typically carry very strong credit ratings.
Debt that the lender has specifically tailored to the needs of the borrower, typically offered to large financial institutions or companies with unique or complicated financing needs who are unsatisfied with conventional financial products.
Debt which is unsecured and/or ranks below senior debt (see Senior debt) in terms of repayment if a company falls into insolvency.
TreasurySpring’s account at the Subscription Bank
The Royal Bank of Scotland International – the deposit institution to/from which subscription funds are paid
Society for Worldwide Interbank Financial Telecommunication
Society for Worldwide Interbank Financial Telecommunication – a worldwide network used to send and receive information about financial transactions, including payments.
Trans-European Automated Real-time Gross Settlement Express Transfer System
Trans-European Automated Real-time Gross Settlement Express Transfer System – the real-time gross settlement system for the Eurozone. Also available to non-Eurozone countries.
A fixed-term investment that requires the placement of funds into an account at a financial institution, and economically equivalent to an unsecured loan. Unlike with notice accounts, the maturity is fixed in nature.
A short-term debt obligation, typically issued by governments and often sold at a discount from the par amount.
Acting as a neutral party, the tri-party agent facilitates the flows of securities and cash between two counterparties. The tri-party agent is also responsible for intra-day valuation and margining of collateral, ensuring that there are sufficient securities in the borrower’s account at all times during the transaction. The most notable tri-party agents are Bank of New York Mellon, Clearstream, Euroclear and JP Morgan.
TreasurySpring's online portal
TreasurySpring’s online portal (see Portal)
Undertakings for Collective Investment in Transferable Securities
Undertakings for Collective Investment in Transferable Securities – a type of regulated investment fund for the investment of assets raised from retail investors.
United Nations Principles for Responsible Investment
United Nations Principles for Responsible Investment – a voluntary and aspirational set of six investment principles, often referenced as “the Principles”, to which companies can support as a signatory and which aim to incorporate ESG issues into investment practice.
United Nations Sustainable Development Goals
United Nations Sustainable Development Goals – set up in 2015 by the United Nations General Assembly and intended to be achieved by 2030, the UN SDGs are a collection of 17 interlinked global goals designed to be a “blueprint to achieve a better and more sustainable future for all”.
Eligible investment by the cell, defined in the Factsheet.
Cut off time for net asset value calculation.
The ticker symbol for the Chicago Board Options Exchange’s CBOE Volatility Index, colloquially often referred to as a ‘fear index’, which is a widely used measure of the stock market’s expectation of volatility based on S&P 500 index options.
Variable-Rate Demand Note/Variable-Rate Certificate of Deposit
Variable-Rate Demand Note/Variable-Rate Certificate of Deposit – a financial instrument with a fixed term and an interest rate that fluctuates over time, based on a range of market figures (such as the CPI and the prime rate).