even a safe investment deserves a smart strategy

Transcription

1 eve a safe ivestmet deserves a smart strategy Certificate of Deposit Accouts From t. rowe price savigs bak

2 A Smart Place to Start Sice 1937, T. Rowe Price has bee committed to helpig ivestors succeed through disciplied ivestmet maagemet that puts ivestors iterests first. We created T. Rowe Price Savigs Bak to offer certificate of deposit (CD) ivestors that same commitmet through flexible solutios ad world-class service. Now let us show you how a T. Rowe Price Savigs Bak CD accout ca ehace your ivestmet strategy with a ame you trust.

3 ejoy a rewardig combiatio of safety ad flexibility A CD accout ca be a effective ivestmet tool for diversifyig your ivestmet mix ad creatig a reliable source of iterest paymets. That s why T. Rowe Price Savigs Bak has desiged CD accouts to meet the eeds of every type of ivestor all with full-service ease ad coveiece. Our regular ad IRA CDs offer you the security of Federal Deposit Isurace Corporatio (FDIC) isurace ad competitive iterest rates that are guarateed for the full term of your deposit. You ca also select from three differet ivestmet levels ad terms from 30 days to five years (six moths to five years for IRA CDs), or choose our coveiet Smart Ladder CDs. As a added beefit, our Mii-Jumbo ad Jumbo CD levels offer the Savigs Bak s highest iterest rates to help you maximize your earig power.* Choose oe or more of our CD products as a effective strategy to help achieve your fiacial goals. Classic CD $1,000 miimum deposit Mii-Jumbo CD $50,000 miimum deposit Jumbo CD $100,000 miimum deposit Smart Ladder CDs Classic $25,000 miimum deposit Smart Ladder CDs Mii-Jumbo $50,000 miimum deposit Smart Ladder CDs Jumbo $100,000 miimum deposit For your coveiece, the iterest paymets from your CDs ca remai o deposit or ca be trasferred ito a accout of your choice.** * Please see our rate sheet for a list of the attractive rates curretly offered for Savigs Bak Stadard CDs ad Smart Ladder CDs ad our Disclosure ad Agreemet for additioal iformatio regardig our accouts. **Available for accouts of $5,000 or more that have terms of 91 days or loger. t. rowe price savigs bak troweprice.com/bakigservices

4 full-service features ad beefits t. rowe price savigs bak provides: FDIC isurace Competitive iterest rates Low miimum deposit of $1,000 for Classic CDs Higher rates with Mii-Jumbo ad Jumbo CDs Smart Ladder CDs IRA accouts* Terms from 30 days to 60 moths** Flexible optios to ivest your iterest paymets*** Aual statemets Automatic reewal feature FDIC protectio The FDIC basic deposit isurace coverage is $250,000 per depositor. Please ote that there is separate $250,000 coverage per depositor for certai retiremet accouts (like Traditioal ad Roth IRAs). Hassle-free automatic reewal We ve made it easier to cotiue to ejoy the beefits of havig a T. Rowe Price Savigs Bak accout. Cosider our automatic reewal feature. At maturity, your CD will automatically reew for the same term at the the-curret offerig rate, uless you istruct us otherwise. You have seve caledar days followig the maturity date to chage the term, make additioal deposits, or withdraw fuds without pealty. I additio, if you choose Smart Ladder CDs, each CD will reew ito a five-year term at its maturity. See page 4 ad the eclosed Disclosure ad Agreemet for additioal details. *Please read the Traditioal ad Roth IRA Summary & Agreemet before ivestig. **IRA CDs available from 6 moths to 60 moths. ***Available for accouts of $5,000 or more that have terms of 91 days or loger. 2 t. rowe price savigs bak troweprice.com/bakigservices

5 reduce the impact of rate volatility with cd ladderig A good way to help protect yourself agaist sharp iterest rate swigs is to ivest i a collectio of idividual CDs ad stagger their maturities. Commoly kow as CD ladderig, this popular ivestmet strategy allows you to lock i potetially higher yields o your log-term CDs. The chart below illustrates how a CD ladder works. Every year, oe of your CDs will mature. You ca roll it over ito a ew CD with a loger term ad, if rates are icreasig, receive a higher rate for the reewal term. how a cd ladder works Maturity date a b c d e a b c d e Iitial deposits Reivested deposits Whe your oe-year CD matures i 2014, you ca reivest the moey i a five-year CD that matures i For example, if you have $100,000 to ivest, you might put $20,000 each i a oe-, two-, three-, four-, ad five-year CD. Each year, oe of the $20,000 CDs will mature. You ca reivest these assets i a ew five-year CD to maitai the ladder, or we ca do it for you with Smart Ladder CDs. See the ext page for more iformatio. t. rowe price savigs bak troweprice.com/bakigservices

6 smart ladder cds Smart Ladder CDs a easy, hassle-free way to ivest Smart Ladder CDs offer a coveiet way to build ad maitai a CD ladder. With a miimum deposit of $25,000 ad a sigle applicatio, T. Rowe Price Savigs Bak sets up your CD ladder of five CDs, maages the aual reewals, ad offers you the highest curret iterest rate based o your total miimum deposit ad applicable term. For example, if you deposit $50,000 i Smart Ladder CDs, we ll put $10,000 each i five CDs, ad each will ear the applicable Mii-Jumbo rate. smart ladder cds give you: Three great ways to ivest: Classic: $25,000 total miimum deposit Mii-Jumbo: $50,000 total miimum deposit Jumbo: $100,000 total miimum deposit Easy sig up! Ope five CDs with just oe applicatio. Your miimum deposit is divided equally ito five Smart Ladder CDs of 12, 24, 36, 48, ad 60 moths. Automatic reewal of all five Smart Ladder CDs ito a 60-moth term at each maturity. The choice of receivig iterest paymets as ofte as mothly or leavig all iterest i the accout to realize the beefits of compoudig. Compared with opeig a sigle log-term CD, you ca improve your liquidity with Smart Ladder CDs. You ll also help to protect yourself from dowturs i market iterest rates ad to maximize your returs over the log ru. You ca eve use Smart Ladder CDs as part of a icome stream durig retiremet. Oe ivestmet ad you re set we do the rest! 4 t. rowe price savigs bak troweprice.com/smartladdercds

7 get started today To ope a T. Rowe Price Savigs Bak CD accout, simply complete the eclosed applicatio ad retur it i the postage-paid evelope alog with a check made payable to T. Rowe Price Savigs Bak. If you have questios about our CD accouts, please cotact a T. Rowe Price Savigs Bak represetative at They re available to assist you Moday through Friday 8 a.m. to 8 p.m. ad Saturday from 10 a.m. to 2 p.m. ET. Or if you prefer, you ca visit us olie at troweprice.com/bakigservices or go to a T. Rowe Price Ivestor Ceter. take advatage of olie coveiece It s ever bee easier to stay up to date with our CD accouts. Visit our website at troweprice.com/bakigservices to fid: CD terms Curret iterest rates Aual percetage yields Deposit istructios It s everythig you eed o oe comprehesive website troweprice.com/bakigservices t. rowe price savigs bak troweprice.com/bakigservices

8 t. rowe price ivestor ceter locatios For directios, call or visit our website: troweprice.com/ivestorceters. colorado Colorado Sprigs 2220 Briargate Pkwy. Colorado Sprigs, CO district of columbia Washigto, DC 1000 Coecticut Aveue, N.W. Suite A-100 Washigto, DC florida Tampa 4211 W. Boy Scout Blvd. 8th Floor Tampa, FL marylad Baltimore 105 E. Lombard St. Baltimore, MD Owigs Mills Three Fiacial Ceter 4515 Paiters Mill Rd. Owigs Mills, MD virgiia Tysos Corer 1600 Tysos Blvd. Suite 150 McLea, VA Smart Ladder CDs ad the logo comprised of T. Rowe Price ad the bighor sheep are registered trademarks of T. Rowe Price Group, Ic / K