GICs | Investments | Simplii Financial

A guaranteed option

It's a safe and smart way to save

Your money has room to grow at a competitive rate for your entire term -- guaranteed.

You’re able to earn a guaranteed rate for your entire term

Your interest can compound automatically so you can save faster

Eligible for both registered and non-registered plans

You can start with as little as $100 and your principal is always guaranteed

How do I apply for this account?

If you bank with us, sign in to your online banking or call 1-888-723-8881 to apply.

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Interest Rates

GIC/RGIC term	Rate (%)²	APY (%)³
1 year	2.374%	2.40%
2 year	2.179%	2.20%
3 year	2.277%	2.30%
4 year	2.472%	2.50%
5 year	2.570%	2.60%

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About our GICs

A Guaranteed Investment Certificate (GIC) is an investment that is made for a fixed period of time at a set interest rate offering the security of guaranteed interest and protection of your principal (up to the Canadian Deposit Insurance Corporation limit of $100,000). The financial institution you invest with agrees to pay the full amount of your initial investment plus interest − which is payable on a regular basis.
About our registered GICs

Simplii Financial GICs are RRSP-eligible, which means you can enjoy all the same benefits of a GIC plus they can be held within your Registered Retirement Savings Plan (RRSP). This way, you have a risk-free investment as part of your retirement portfolio and the taxes you would otherwise pay on any interest income on your GIC are deferred until the money is withdrawn from the RRSP.

GIC Laddering

GIC laddering is an investment strategy that allows you to spread your money across a mix of shorter and longer term GICs (from 1 to 5 years). Laddering staggers the maturity dates of your GICs to reduce the risk of interest rate changes, while providing you with ongoing access to a portion of your funds on an annual basis. In a rising interest rate environment, you can reinvest your maturing GICs at a higher rate, while in a declining interest rate environment the remainder of your GICs are protected. This strategy also provides access to a portion of your GIC funds each year − should you ever need it.

Key benefits:

Flexibility − take advantage of rising interest rates to reinvest.

Reduced risk − offset the impact of declining interest rates.

Liquidity − access a portion your GIC funds each year without penalty. Plus, staggered maturity dates ensure ongoing liquidity to meet your cash flow needs.

An example of GIC laddering at work

With an initial investment of $5,000 you can buy five GICs of $1,000 each, with staggered maturity terms ranging from 1 to 5 years.
Each year one GIC will mature and you can reinvest the money into a new 5 year GIC:
If interest rates increase, you can reinvest at a higher interest rate.
If interest rates decrease, your other GICs continue to earn at a higher interest rate.

	1st year	2nd year	3rd year	4th year	5th year
Purchase a $1,000 1 year GIC	On maturity reinvest in a 5 year GIC
Purchase a $1,000 2 year GIC		On maturity reinvest in a 5 year GIC
Purchase a $1,000 3 year GIC			On maturity reinvest in a 5 year GIC
Purchase a $1,000 4 year GIC				On maturity reinvest in a 5 year GIC
Purchase a $1,000 5 year GIC					On maturity reinvest in a 5 year GIC