Abstract: A system and a method for an indexed debt instrument mitigates risk perceived by an institutional investor acting as administrator of an eligible employee benefit plan when the indexed debt instrument is issued by a bank insured by the Federal Deposit Insurance Corporation (FDIC) in response to a deposit made by the institutional investor in the bank. The risk is mitigated, at least in part, by pass-through of FDIC insurance protecting the deposit. The insurance passes through the plan administrator to protect the interest of each member of the plan in the deposit, up to a defined legal limit.

Abstract: An indexed mutual fund management system and a method for managing such a fund calculate, based on a fund time T, a value of fixed income assets and a value of derivative assets such that the sum of the value of fixed income assets and the value of derivative assets equals an initial mutual fund principal amount at a mutual fund closing time, calculate a hedging strategy over the fund time based on the value of derivative assets related to an index, transmit one or more orders for investment of a portion of the fund principal equal to the value of fixed income assets, and transmit one or more orders for investment of a portion of the fund principal equal to the value of derivative assets according to the hedging strategy. The system and method may calculate a cap for the indexed mutual fund based on the value of derivative assets related to an index, in which case the hedging strategy may be calculated over the fund time based on the cap.

Abstract: An indexed guaranteed investment contract (GIC) system and a method for managing an indexed GIC calculate, based on a contract time T, a value of fixed income assets and a value of derivative assets such that the sum of the value of fixed income assets and the value of derivative assets equals an initial contract principal amount at a contract closing time, calculate a hedging strategy over the contract time, transmit one or more orders for investment of a portion of the contract principal equal to the value of fixed income assets, and transmit one or more orders for investment of a portion of the contract principal equal to the value of derivative assets according to the hedging strategy. The system and method may calculate a cap for the indexed GIC based on the value of derivative assets related to an index, in which case the hedging strategy may be calculated over the contract time based on the cap.