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Glossary

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  C
Cash Equivalents
A security that can be readily converted into cash (e.g. Treasury bill or money market fund).
Contract Owner
The person(s) or entity who purchases the annuity and has all rights to the contract. In a variable deferred annuity, like Preference Plus Select for example, this person can make investment decisions, transfer money among funding options, make withdrawals, and name the annuitant (usually the contract owner) and the beneficiary.
Credit Risk
The risk that a creditor or bond issuer will not pay the interest and/or principal owed when it is due.
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