WenysAD:


Wat I believe in treasury bills is dat d interest is usually slashed if its not for d complete term of the investment. For instance if d interest rate for a treasury bill is is 15% annually and you want to invest 1m for 3month, ur interest is calculated as 1m*(3/4)*15%= 37500 naira for 3months. Not bad too
N.B in no risk investments, or investments that guarantees a ROI having a low or NO risk on investments, short term investments always offer low ROIs compared to long term investments that offer higher ROIs

....plz what will the ROI be like using same calculation .am really interested.

od501:


just curious,.... u mean 18% of 1m (assuming) per annum . if that is the case then i think it's on the low side. Plz correct m if ma calculations are not, am new in this stuff.

Low side of what?
Tbills sell at 18.6% for the 1 yr tenor. Yes you get 18.6% of your capital for 1 yr. ..and the interest is paid upfront without any tax.
You get 186k paid upfront for 1m at 18.6% rate. Your financial company will of course take a small commission...e.g. 2k
FG bonds give you 16.3% for the 10yr tenor? I'm not sure if it's paid upfront or tax free.

WenysAD:


Wat I believe in treasury bills is dat d interest is usually slashed if its not for d complete term of the investment. For instance if d interest rate for a treasury bill is is 15% annually and you want to invest 1m for 3month, ur interest is calculated as 1m*(3/4)*15%= 37500 naira for 3months. Not bad too
N.B in no risk investments, or investments that guarantees a ROI having a low or NO risk on investments, short term investments always offer low ROIs compared to long term investments that offer higher ROIs

WRONG.
the 3 month, 6 month and 1yr tenor each come with their fixed interest rates.
You won't get 3/4 (you probably meant 1/4) of the 1yr interest rate if you are going for the 3 months.
e.g.
if 3 months is 14.5% per annum (1/4 of 14.5%)
6 months is 17% per annum (1/2 of 17%)
1 yr is 18.5% per annum (1 of 18.5%).

Someone will use half of that money to buy buggati very soon and it will be posted here on nairaland and the rest will be shared, and when 2037 comes they will go and borrow money world bank to fund rain from Lagos to Ibadan with a wonderful plan write up on how it will decongest Lagos bla bla bla The less privileged ajekun iya leje

WenysAD:


I beat my chest and categorically tell u that my insurance company does although it is in a long term investment plan. To find out about my insurance company, browse about the insurance company that insured world trade center that was bombed before it was rebuilt

thanks i guess you dont stay on Africa

jiangchu:


thanks i guess you dont stay on Africa

Do ur findings or ask questions about wat u don't know

AroOkigbo:

WRONG.
the 3 month, 6 month and 1yr tenor each come with their fixed interest rates.
You won't get 3/4 (you probably meant 1/4) of the 1yr interest rate if you are going for the 3 months.
e.g.
if 3 months is 14.5% per annum (1/4 of 14.5%)
6 months is 17% per annum (1/2 of 17%)
1 yr is 18.5% per annum (1 of 18.5%).

Sorry i meant 3/12. Thanks for pointing it out. Cos following my calculations u will see I meant 1/4. I'm glad u understood

WenysAD:


Do ur findings or ask questions about wat u don't know

thanks

od501:




....plz what will the ROI be like using same calculation .am really interested.

ROI on what investment? Treasury bills investments involves huge amount of money and if u are buying from d secondary market e.g from banks, d interest rate is reduced. Call me for more info

AroOkigbo:

Low side of what?
Tbills sell at 18.6% for the 1 yr tenor. Yes you get 18.6% of your capital for 1 yr. ..and the interest is paid upfront without any tax.
You get 186k paid upfront for 1m at 18.6% rate. Your financial company will of course take a small commission...e.g. 2k
FG bonds give you 16.3% for the 10yr tenor? I'm not sure if it's paid upfront or tax free.

am considering going for it after my NYSC, but from d analysis i don't think it's a good idea, Asin 1m for 1year at 18.6% ..not gud.. . it could have been at least 3 months. anyway thanks big time really appreciate. lets continue to look for better investment, will also appreciate if you have a tip.