Guaranteed Investment Contract Law and Legal Definition

Pursuant to 26 CFR 1.148-1 [Title 26 -- Internal Revenue; Chapter I -- Internal Revenue Service, Department of The Treasury], guaranteed investment contract includes “any nonpurpose investment that has specifically negotiated withdrawal or reinvestment provisions and a specifically negotiated interest rate, and also includes any agreement to supply investments on two or more future dates (e.g., a forward supply contract).”