MPC key decisions

MPR up to 14% from 12%


CRR retain at 25%

With this Hike we should expect, bond yields to push towards 20% . Same for TBills Discount rate!

Clearly this is a bait for FPI? And we Local Tbills Investor....

I just pity those with bank loans now...

@feelamong , Dont you think it better we sale our Bonds and do T.B or is there is any other better bond rate we can buy..the 2020 doesnt seems to be favourable..Please what ur best advice as it getting me worried.

feelamong:
MPC key decisions

MPR up to 14% from 12%


CRR retain at 25%

With this Hike we should expect, bond yields to push towards 20% . Same for TBills Discount rate!

Clearly this is a bait for FPI? And we Local Tbills Investor....

I just pity those with bank loans now...

Whoa whoa whoa....14%. Banks can now attract liquidity with an Improved fixed deposit rate. So with a possible improved rate, foreign Investors will be left with choosing either Bank deposits or T.bills,

hello house , you guys are doing a fantastic job here , CBN has just increased MPC from 12% to 14% , what will be the effect on Treasure bills ?

Tritri:
@feelamong , Dont you think it better we sale our Bonds and do T.B or is there is any other better bond rate we can buy..the 2020 doesnt seems to be favourable..Please what ur best advice as it getting me worried.

Bonds and Tbills move in the same direction...

As we speak all Bond yields have all gone up!

If you were already locked in a 2020 FGN Bond which has a coupon rate of 15.54 why would you want to come out?

Yes am locked in .But Treasury bill at 16% , AND BOND same yield i bought it around FEB? what if by DEC TB get to 19%, And my bond still 15%? Is it still consider a smart investment?

Tritri:
Yes am locked in .But Treasury bill at 16% , AND BOND same yield i bought it around FEB? what if by DEC TB get to 19%, And my bond still 15%? Is it still consider a smart investment?

You have locked in for a 5 year Bond....Tbills is max one year!

when Tbills was 9% for One year..you were enjoying the 15.54 coupon na..

Interest is currently moving against you that is currently locked in...In the developed markets....this is why Fund Managers buy Derivatives to hedge against such losses from the sale of their Bonds when Interest (prices) move against them..

Unfortunately in Naija, If you sell you might be taking some losses (that is if you are able to sell off in the secondary market cos i know they only trade in Blocks of N100M)

i have been following these threa for a while been.i want to invest in the Tbill. i did some finding at the GTB today only to be told i cant invest until there is an auction in two weeks from now. trust i can someone to advice me please.

feelamong:

I just pity those with bank loans now...

Seriously bro!

From tomorrow, borrowing customers should expect letters from their banks advising them of increase in interest rates.

burrytee:
i have been following these threa for a while been.i want to invest in the Tbill. i did some finding at the GTB today only to be told i cant invest until there is an auction in two weeks from now. trust i can someone to advice me please.

Yea most banks insist on Primary Auction only...

i however know a couple of Investment Houses that do secondary markets (Although you get rates based on the secondary market conditions which is depended on the a lot of factors)

zamirikpo:

bank are there to make profits, so when they meet a novice they tend to take advantage, for me i first findout the prevailing rate from CBN, then i tell my account officer my terms,if they they disagree, i move to another bank, no bank wants to loose a customer.

moving forward, august 4 is fast approaching, what rate are advisable for 182days, am thinking of biding 16.48%

advice please

my concern for which I dont give them a rate to bid with is that, they rate i gave them might not fall within CBN rate or might be too low. E.g I might bid, lets say 15% and it slumps to 14%, in that case my bid'll not be successful or I bid 12% while it moved to 16%, I'll be biting my fingers. Because of that I'm vulnerable to allow them go with their rate. Unless I can get a better way to handle it, if not I have no choice. Feelamong and the gurus, is there a way out of this?

I am planning to submit my bid on monday. What is the deadline for the next bid at the FBN?

feelamong:
MPC key decisions

MPR up to 14% from 12%


CRR retain at 25%

With this Hike we should expect, bond yields to push towards 20% . Same for TBills Discount rate!

Clearly this is a bait for FPI? And we Local Tbills Investor....

I just pity those with bank loans now...

@my oga feelamomg


Is it good to go for NTB or enter into equity market with a big some of money at this time?

Any advise on rates for the upcoming bids? This would be my first bidding?

@ daddi, most banks would want to make profit off ur money. My case for example, I wrote asking for them to bid for 182days @ 12% am sure they got there and noticed that they could bid higher,which they did, but only gave me wot I asked for, the remaining 3.48% goes to them.

Now am not so sad, the issue like u rightly said is to be informed, with my bank, they will give u what u want, it's now left for u to be sure of the best rate at the time.

So the major issue is how to get the best bid. I've asked @feelamong dis question before, what do we watch out for, cos if u bid too high or too low u loose .

ukay2:



@my oga feelamomg


Is it good to go for NTB or enter into equity market with a big some of money at this time?

To a large extent...I play both. It only depends on the % of funds i put in each.,.

At this time, am betting to make more in the Tbills than in the stock market so am more skewed here now..

nevertheless am betting on the Big Banks that are net placers of funds and have good bond trading dest to do well. Moreover with the Forex Gains we have seen in FBNH.....many banks would be spinning monies soon!!

#FBN #ACCESS #GTBank #Zenith

puna:
Any advise on rates for the upcoming bids?
This would be my first bidding?

would wait till monday evening to see the trading direction in the secondary market that day before sticking out my necks

feelamong:


To a large extent...I play both. It only depends on the % of funds i put in each.,.

At this time, am betting to make more in the Tbills than in the stock market so am more skewed here now..

nevertheless am betting on the Big Banks that are net placers of funds and have good bond trading dest to do well. Moreover with the Forex Gains we have seen in FBNH.....many banks would be spinning monies soon!!

#FBN #ACCESS #GTBank #Zenith

Thanks..

But is ZB and access bank a good buy now

Thanks

Guys, Pls when is the next auction date?

excellent job goin on here i most admit.... God Bless u guys all ... plz i need ur assistance on dis one. for instance i want to put in N7m for treasury bill by 14 - 15 Augt. 2016. wot will likly be my profit for 182days?

feelamong:


To a large extent...I play both. It only depends on the % of funds i put in each.,.

At this time, am betting to make more in the Tbills than in the stock market so am more skewed here now..

nevertheless am betting on the Big Banks that are net placers of funds and have good bond trading dest to do well. Moreover with the Forex Gains we have seen in FBNH.....many banks would be spinning monies soon!!

#FBN #ACCESS #GTBank #Zenith

excellent job goin on here i most admit.... God Bless u guys all ... plz i need ur assistance on dis one. for instance i want to put in N7m for treasury bill by 14 - 15 Augt. 2016. wot will likly be my profit for 182days?

ukay2:


Thanks..

But is ZB and access bank a good buy now

Thanks

i bought Access on Monday....

Tripod3:
Guys, Pls when is the next auction date?

Next Auction date is Aug 4th,..

but throw in ur bids by 3rd

peteken:



excellent job goin on here i most admit.... God Bless u guys all ... plz i need ur assistance on dis one. for instance i want to put in N7m for treasury bill by 14 - 15 Augt. 2016. wot will likly be my profit for 182days?

If you throw in N7m for 182 days at lets say 15% your upfront Interest would be around N523K

not bad for a guy that didnt take any risk abi?

feelamong:


If you throw in N7m for 182 days at lets say 15% your upfront Interest would be around N523K

not bad for a guy that didnt take any risk abi?

thanks Boss.. am gona try am get back to u sir....

feelamong:


i bought Access on Monday....

Are you talking about secondary market T.bills here or stock?

sherif4owo:


Are you talking about secondary market T.bills here or stock?

Stocks sir

house why are banks always against you buying tbills.
was at first bank to to liquidate my fixed deposit so as to be able to place bid for next week but they kept doing their best to persuade me..even telling me that tbills are now unstable
and their rate for fixed deposit at 182days is 6.6%

feelamong:


You have locked in for a 5 year Bond....Tbills is max one year!

when Tbills was 9% for One year..you were enjoying the 15.54 coupon na..

Interest is currently moving against you that is currently locked in...In the developed markets....this is why Fund Managers buy Derivatives to hedge against such losses from the sale of their Bonds when Interest (prices) move against them..

Unfortunately in Naija, If you sell you might be taking some losses (that is if you are able to sell off in the secondary market cos i know they only trade in Blocks of N100M)

Feelamong, can please suggest rates to go with in the next bidding: I need to start from somewhere.

Daddi:
my concern for which I dont give them a rate to bid with is that, they rate i gave them might not fall within CBN rate or might be too low. E.g I might bid, lets say 15% and it slumps to 14%, in that case my bid'll not be successful or I bid 12% while it moved to 16%, I'll be biting my fingers. Because of that I'm vulnerable to allow them go with their rate. Unless I can get a better way to handle it, if not I have no choice. Feelamong and the gurus, is there a way out of this?

Instead of having one consolidated investment, split your bidding into two in different banks: one for high rate based on risk while the other enjoys assurance. I think you can never missed both if you know how to play your game.

My opinion though.

peteken:
excellent job goin on here i most admit.... God Bless u guys all ... plz i need ur assistance on dis one. for instance i want to put in N7m for treasury bill by 14 - 15 Augt. 2016. wot will likly be my profit for 182days?

Get the total amount you will realize as your interest based on percentage and divide it into two.

Simple.

Omonigeriarere:


Feelamong, can please suggest rates to go with in the next bidding: I need to start from somewhere.

I will suggest we wait till Monday.....need to see the happenings in the secondary market on Monday first