Annuities

In investment, an annuity is a series of payments of the same kind made at equal time intervals, usually over a finite term. Annuities are commonly issued by life insurance companies, where an individual pays a lump sum or a series of premiums in return for regular income payments, often to provide retirement or survivor benefits.

In finance, a perpetuity is an annuity with payments that continue indefinitely.

financial contract which provides an income stream in return for an initial payment with specific parameters

type of annuity