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68.6% Annual Return Every Year for a Decade

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Years ago in France, George's father bought a simple financial contract from Aviva. The type of contract the father bought was called a "cours connu" contract, which translates to "known price", or "arbitrage" contract. For some ridiculous reason, this contract gave the contract-holder (in this case, Max), the legal right to switch his investments based on the market prices published each Friday.


In other words, Max can swap out his investments at any time during the following week for something that performed better. To simplify it further, it lets George switch funds this Friday based on the prices of last Friday's funds.


This type of contract was popular in France in the 1980s and 1990s when access to pricing information wasn't as instantaneous as it is today. These contracts were eventually fazed out for obvious reasons.

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