Chikebrain:
Just reading this thread and it's been quite informative. I put some huge spare cash in fixed deposit only to be told that TB is better. I spoke with my bank (Access bank) and they gave me 13.5% on TB.
I'd like the gurus in the house to put me right by answering below questions
1. For primary bids, can I speak with my bank on the percentage I want.
2. When is the next bid date
3. So percentage can I bid with
4. Is it wise to leave bidding to my account officer

Thanks as I impatiently wait for your response

1.yes u can bid but be careful on the rate coz u may loose out
2. Next bud date is September 1 so u send in your bid d day before
3. Consult people. Follow this thread. Be open
4. The choice is yours.

@ the gurus in the house.......Is it wise to invest 5m in the next week treasury bills. As the rates are obviously coming down now.

easyflow:
@ the gurus in the house.......Is it wise to invest 5m in the next week treasury bills. As the rates are obviously coming down now.

If you are scared of the rates coming down,...why not lock it now in a secondary market rate of 13 -15%

feelamong:


If you are scared of the rates coming down,...why not lock it now in a secondary market rate of 13 -15%

What's the best rate to bid with at the primary market

Chikebrain:

What's the best rate to bid with at the primary market

wait till monday ...lets see how liquid the market is by monday evening

@ feelamong....i have asked this question before, probably u didnt see it. pls how or what website do u get money market news from, i visit nairametrics but i dont get enough details, biko.......educate us.

then remember ur promise on the next bid rates.......before the 29th .....

zamirikpo:

@ feelamong....i have asked this question before, probably u didnt see it. pls how or what website do u get money market news from, i visit nairametrics but i dont get enough details, biko.......educate us.

then remember ur promise on the next bid rates.......before the 29th .....

I get market updates from Stanbic, Afrinvest, GTbank and Access banks

then i speak to my account officer in fidelity securities

@Feelamong, sorry i have been offline, i use your recommended investment house Fidelity securities

Pls, I need help as a new beginner. After reading some of the guidelines on TB investment on this thread, I decided to start investing in the TB.
However, today I went to my bank, Fidelity Bank to make inquiry on how to go about it. Then I approached the customer service and asked for those in charge of TB, but I was told that it is done through their head office. Later I was referred to staff in charge of fund transfer. When I met with the Lady, I told her that I need info on TB with regard to date of next bidding and processes involve. Then she told me that the next date is on 30th Aug but I have to place my bid on 29th. That I need to write application letter and attach the Form and the minimum investment is N1m. That am the one state my bidding rate. I asked can't I go with the bank rate and she said no.
Pls am asking if it is the same process with other banks? What is the minimum amount to invest? Where do I obtain the application Form, is it from the bank or where?
Pls I need advice as I want to start in this next bidding.
Thanks

The Central Bank of Nigeria (CBN) has
banned nine deposit money banks (DMBs)
from the foreign exchange market, for hiding
over $2 billion belonging to Nigerian
National Petroleum Corporation (NNPC)
from the Treasury Single Account (TSA).
According to Channels TV, President
Muhammadu Buhari has been briefed on the
breach by the banks, and they have all been
mandated to move the monies to the
treasury single account.
At the full implementation of the TSA in
2015, the CBN had warned that banks who
not totally comply with the TSA remission
plan of possible fine and stringent
punishment.
While unveiling the guidelines for foreign
exchange trading in June, the CBN reiterated
the need for banks to comply or face
suspension from the forex market.
The CBN may take action against any FXPD
that fails to comply with the standards set
forth in these Guidelines. Such action
will vary depending upon the type of non-
compliance, but may range, for instance,
from fines, suspension from any or all
FX operations for a period of time to
termination as an FXPD,” CBN had said.
In October 2016, the CBN fined two leading
banks for the same offence repeated in
2016, leading to the payment of over N4
billion to the apex bank.
This time around, all the banks involved are
barred from the forex market until they fully
refund the $2.1 billion held up in their
coffers.

please who knows these nine banks. they have been on the watch list of cbn and now this.

Please whoever that knows these banks should tell us to safeguard our hard earned money. The economy now is not so good that somebody should loose a dime. i can still give u my email if you want to give me privately. i can not guarantee any bank now

Rizin:
The Central Bank of Nigeria (CBN) has
banned nine deposit money banks (DMBs)
from the foreign exchange market, for hiding
over $2 billion belonging to Nigerian
National Petroleum Corporation (NNPC)
from the Treasury Single Account (TSA).
According to Channels TV, President
Muhammadu Buhari has been briefed on the
breach by the banks, and they have all been
mandated to move the monies to the
treasury single account.
At the full implementation of the TSA in
2015, the CBN had warned that banks who
not totally comply with the TSA remission
plan of possible fine and stringent
punishment.
While unveiling the guidelines for foreign
exchange trading in June, the CBN reiterated
the need for banks to comply or face
suspension from the forex market.
The CBN may take action against any FXPD
that fails to comply with the standards set
forth in these Guidelines. Such action
will vary depending upon the type of non-
compliance, but may range, for instance,
from fines, suspension from any or all
FX operations for a period of time to
termination as an FXPD,” CBN had said.
In October 2016, the CBN fined two leading
banks for the same offence repeated in
2016, leading to the payment of over N4
billion to the apex bank.
This time around, all the banks involved are
barred from the forex market until they fully
refund the $2.1 billion held up in their
coffers.

please who knows these nine banks. they have been on the watch list of cbn and now this.

Please whoever that knows these banks should tell us to safeguard our hard earned money. The economy now is not so good that somebody should loose a dime. i can still give u my email if you want to give me privately. i can not guarantee any bank now

Well I am confident FBNH won't want to be caught in this web again having coughed out over 1b d last time

debeey87:


Well I am confident FBNH won't want to be caught in this web again having coughed out over 1b d last time

FBNH no dey learn lesson at all kai. See the list of banks involved herehere

T[b]he banks, whose suspension would remain in force until they remit all the funds to the TSA are United Bank for Africa (UBA) $530m; First Bank of Nigeria (FBN) $469m; Diamond Bank Plc ($287m); Sterling Bank Plc ($269m); Sky Bank Plc ($221m) Keystone Bank ($139); First City Monument Bank (FCMB) $125m; and Heritage Bank ($85m).[/b]

@ogah feelamong and other gurus of NTB. ...please I need CBN NTB programme for 3rd quarter. ......
Thanks

Guys, I have a question. (Gurus and mathematicians ?)
Lets do the math pls.
This is just an example (an assumption).
----------------------------------------------------------------------------------------
Note:
Total amount of money in my account = 10,000
I want to bid for a year.
I assumed charges from the bank are excluded (without any other external factor)
I want THE WHOLE 10,000 to be debited when the bid is successful. [In this case, I won't be paid upfront]
----------------------------------------------------------------------------------------
If I have 10,000 and I want to bid at 50% with the conditions I stated above.

While filling the form or giving the instructions:
Rate = 50%
Tenure = a year (365... whatever)

Amount = ? [What am I supposed to fill here: using the mathematics...]

-----------------------------------------------------------------------
Is it possible to fill the amount that way? Note that I only have 10,000 in my account.

In that way, I hope the whole amount that will be debited from my account will be the whole 10,000. Note that I assumed charges are exempted.

Did anybody try this as it seems it was proposed here on this thread in the past?
As in, you can fill more than the amount you have in your account just to make sure almost the whole money in your account is debited for the bid as you can leave a little amount for charges?
-----------------------------------------------------------------------
What am I supposed to fill in the amount above.

The overall total that I should get back should be ??.

[You can show us the formula of your calculations which is very important]

Thanks as you comment.

Guys, who else tried the above. If you try it and it works fine, you can indicate and share your experience.
Thanks.

Chukzyfcb:
I have a question to ask, feelamong your input will be highly appreciated. my questions goes thus

Say for example I want to invest 10,000naira and the discounted rate is 10%. I know fully well that the bank will debit 9000 and leave 1000 as the upfront interest right? Well, what if I had ONLY 9000 in my account but in my t.bills form I wrote a bid of 10,000naira knowing fully well it's just 9000 that will actuallu be debited, do you think the bid will be successful. Because I am thinking of playing a fast move that may pay off nicely.

Incase you still don't get my questions: lemme make a story
Say Mr chuks walks to the bank to invest in t.bills and on his form he wrote that he will like to invest with the sum of 110,000 naira at a discount rate of 10%. He knows if his bid is successful the government will just debit 100,000 and pay him 10,000 upfront interest. But the thing is mr chuks has just the exact 100,000naira that will be deducted, nothing more nothing less. So Will his bid be successful, yes or no?

Advice is needed.

unite4real:
Your question was answered. Let me further explain by analysing.

First of all, your calculation is wrong. 10% of 110,000 is 11,000. Subtract this from 110,000 will give you 99,000. You are expected to have 99,000 in your account.

Option1
1. You have 99,000 in your account
2. You place a bid for 110,000
3. You bid 10% (10% of 110,000 is 11,000. difference is 99,000)
4. You place the bid because you expect to be successful with a 10% rate which you placed yourself without going with bank rate. You did this because 10% discounted will enable your account to have the 99,000 debited

Option 2
1. You have 99,000 in your account
2. You place a bid for 110,000
3. You go with the bank's rate (prevailing rate)
4. With this bank's rate, whatever the auction close with the bank is what applies to you. Lets assume the auction closed at a successful 8%, after discounting, (8% of 110,000 is 8,800. difference is 101,200)

That is why i told you that it can only be possible if you either place your own bid rate or your successful rate if you go with the bank's rate is not less than your calculated 10%.

i have assumed the insignificance of custodian and other fees.

Rizin:
This calculation is a problem to many.
Look at this, somebody did a job in A firm and realized 1.2million. he added 5% vat which is 60000 so his total figure was 1260000. The money was paid in full and government took their 5% which is 63000 and not the 60000 he calculated earlier. YOU CAN NOW SEE THAT HIS 5% IS WRONGLY CALCULATED.

Now if I have 502000 and wish to involve all the money in TB at 17% (may be for 364days) what figure should I get? Very simple
1. subtract that rate from 100 = 83
2. divide that your money by this figure and multiply by 100. = (502000/83)*100 =604819

3. Now if I have 502000 to invest, I can confidently fill in 604819. now 17% of 604819 is 102819.
4. then 604819-102819 = 502000. which is the amount they need to withdraw from my account.
5. funny enough if u do this, you will have to pay for service charge over the counter. hahaha sometimes mathematics even though it's true, it is far from reality.
6. One good question to ask Is WHAT IS THE GAIN?

If I used 502000, I will have 85340 which is my 17% dormant on my account.

but when I used 604819, I will have 0 on my account but after maturity I will get 102819 extra instead of 85340.

Rizin:

if it works? YES
If I have tried it and it worked for me? YES. but with first bank and never with GTBank regardless of my preachings.

The truth is that it's not easy and as you are marketing your business so also the banker. DON'T FORGET THAT THEY ARE THERE JUST BECAUSE YOUR MONEY IS THERE. That is why they will tell you that 5% 6months fixed deposit is better that 15% 91 days TB. And some banks will only pay you interest if only you did not withdraw from your account in 3 months.

The truth is that it works but,
1. you have to make sure you leave the minimum amount needed in your account. Also the service charge
2. You have to tell them exactly what you wrote and persuade them into accepting what you wrote (please don't think that they don't know just that you know the country we are in )
3.Make sure your application pass the customer service desk. you know how they do, they will just check your account and tell you INSUFFICIENT FUNDS, Without knowing how you intend running your package.
4. you have to come back here and share your testimonies then send you testimony gift/offering to the account I will give to you.
thank you

awesomeJ:

Let me say the much I know on this.
First, it depends on the bank you use. For FBN for instance, if you're placing a bid for 1.2million, your account must be funded with that same amount, because the sum will be debited from your account on the very day you submit your bid, and that could be several days before the auction.

Now, concerning how you can go about the smart move, there are two options I know:
1. On the T.bills form that some banks provide, there's a part where you're asked if you'd like to invest the upfront interest payable on the investment. By checking that box, what you'll get on your investment will be the true yield on the investment, and not just the discount rate. for instance, let's say you have N1 million to invest for 364 days, and you're able to get an 18% discount rate on the investment, you get 180,000 today and 1million in a year's time, to make a total of N1,180,000. but if you choose to invest the upfront interest, the true yield on that 18% discount is gotten by this formula d/(100-d) multiplied by 100. The true yield is 21.95%, which implies that you get the entire 1million wiped off your account now, but after one year, it earns you an extra 219,500 instead of the normal 180,000.

2. If all you have to invest is 1million, you could take an extra 200,000-for me it could be the money for my expenses for the month. you place a bid for 1.2million on the monday preceeding the aunction. If your bid pulls through at say 18% discount rate, after 3 days, your account gets credited with 216,000 from which you can retrieve the 200,000 and after one year, you get 1,200,000 giving you a net returns of 216000 instead of 180000.
I hope I've made sense to someone. God bless us all.

I get market updates from Stanbic, Afrinvest, GTbank and Access banks

then i speak to my account officer in fidelity securities

thanks boss

Access bank gave me 15% for 255days

Morning Ladies and Gents,

So I did put in my bid request with GTB yesterday. I requested to have X amount invested for 91days and Y amount for 182days respectively. Making it two individual bids for two different tenors. I put this information all in a single written letter. My account officer has come back with this:

"However, please be informed that two bid tenors can not be placed for one request. please reconfirm the exact tenor you want."

MY QUESTIONS
1-like her response says, is it impossible to name 2 bids for two different tenors at a go with a bank?

Or do I have to simply write two different requests for each rather than writing a single request letter for both?


Thanks

If you have up to X + y in your account, you can purchase different tenors.

If however you have just enough to cover either of X and y, she is right to ask you to confirm your instruction.

I got 15.5% from access bank for 255days. However, I will wait for the next primary auction.
Even fixed deposits interest rates are on the rise. Yesterday, I got a call from one of the banks to fix my money at the rate of 8.6% for a month.

battleaxe:
If you have up to X + y in your account, you can purchase different tenors.

If however you have just enough to cover either of X and y, she is right to ask you to confirm your instruction.

Yes I do have Over the sum of X and Y in my account which is sufficient for the two bids. I have also clearly stated in my written instruction that X amount is for 91days and Y amount is for 182days respectively. That's why I don't understand why she needs any further clarification or is she just implying that I can't bid on two tenures at a go?

battleaxe:
If you have up to X + y in your account, you can purchase different tenors.

If however you have just enough to cover either of X and y, she is right to ask you to confirm your instruction.

Yes I Do have Over the sum of X and Y in my account which is sufficient for the two bids. I have also clearly stated in my written instruction that X amount is for 91days and Y amount is for 182days respectively. That's why I don't understand why she needs any further clarification or is she just implying that I can't bid on two tenures at a go?

gurus in the house what rate are we looking at for the various tenors? how liquid is the market?

Positioning for next week.

Biggybountz:


Yes I Do have Over the sum of X and Y in my account which is sufficient for the two bids. I have also clearly stated in my written instruction that X amount is for 91days and Y amount is for 182days respectively. That's why I don't understand why she needs any further clarification or is she just implying that I can't bid on two tenures at a go?

I placed my bids at Stanbic IBTC yesterday.
The account officer to me that multiple bids are possible but instructions would have to be submitted separately and signed .

Alterations are allowed before 5pm penultimate day to bidding.


I am just waiting for @feelamong et al ..... to give us rate before final adjustment on Monday .

....shinning my eyes for d latest bid rates

@feelamong where at thou

Secondary market rates fluctuating from 15% to 15.5%, please how does this affect possible rates for next week? I want to place a bid today, since my bank said latest window is previous Friday of the bidding week

Update: I'm looking at 182 days.

It depends on the tenor.

For today secondary market, access bank offered me 13% for 84days

PL I NEED CBN NTB PROGRAMME FOR THE 4THE QUARTER

CC
FEELAMONG
EASY FLOW
UNITED4REAL

Would ask my bankers for this programme by morrow...

Meanwhile rates are not looking too good in the secondary markets..

Waiting for CBN OMO to clean up this excess liquidity as we also expect the FAAC money to hit the systems too next week.

feelamong:
Would ask my bankers for this programme by morrow...

Meanwhile rates are not looking too good in the secondary markets..

Waiting for CBN OMO to clean up this excess liquidity as we also expect the FAAC money to hit the systems too next week.

that's bad o...Oga feelamong what are rates at the secondary market for the various tenor?