Sector is another word for industry. Sector funds usually focus on a single industry, such as health care, technology, or utilities. These funds are probably best avoided until investors gain a fair amount of investment expertise at a minimum. In any event, investors should endeavor to build a properly diversified portfolio before venturing into these specialty funds. A document representing participation in an investment.
Stocks are securities representing ownership shares.
Bonds are securities representing a contractual debt obligation of the issuer to repay the holder, with interest. The Surrender Value is the amount of money a client will receive when closing an account or discontinuing a policy. For a variable annuity account, this is commonly referred to as the Cash Surrender Value. This represents the amount of money that the client will receive after any applicable surrender charges or fees. For a variable universal life insurance policy, it is the accumulated cash value of the policy less any policy loans, policy loan interest charges, partial surrenders, and surrender charges.