Pls houz kindly confirm Gtb rate, because my computation is getting 16.74%

vazsily:

How possible is such interest for only 182 tenure?

I was going to ask the same question

Agbaletu:


Don't forget to pay your 10% tithe here, it is for the elders in council.

sharp guy..

IHelp:

Gtb debited @17.95 (365days)
This is not fair

Always specify your own rate each time you bid to avoid being ripped off.

bisiki2:


Always specify your own rate each time you bid to avoid being ripped off.

Can a bank ripped up somebody if the rate is not specified?. What i mean is that can the bank give to the person a rate that CBN did not give the person?. For instance, if CBN gives me a rate of 18.2%, can the bank turn around to say that it is 17.5%?

NL1960:


Can a bank ripped up somebody if the rate is not specified?. What i mean is that can the bank give to the person a rate that CBN did not give the person?. For instance, if CBN gives me a rate of 18.2%, can the bank turn around to say that it is 17.5%?

there is no way you would know if CBN gave you a rate and the bank is giving you another rate. If CBN stop rate is 18.5, it doesnt mean that if you go with bank's rate, you automatically get the 18.5. Every bank has their bid rate during the auction and if your bank bid at say 18.1% for example and you went with bank's rate, it means you are getting 18.1 at the end of the day. but if you had stated your own rate at 18.4 and the bank took that rate to the auction and the stop rate is at 18.5, then you won. Choose ye what ye want. Bank's rate or Your own rate. Know it that your bank can bid and not be successful even when you go with their rate. imagine a bank bidding 18.7% at the auction while stop rate was 18.5, all those that went with bank's rate without stating their own bid rates will be unsuccessful.

unite4real:


there is no way you would know if CBN gave you a rate and the bank is giving you another rate. If CBN stop rate is 18.5, it doesnt mean that if you go with bank's rate, you automatically get the 18.5. Every bank has their bid rate during the auction and if your bank bid at say 18.1% for example and you went with bank's rate, it means you are getting 18.1 at the end of the day. but if you had stated your own rate at 18.4 and the bank took that rate to the auction and the stop rate is at 18.5, then you won. Choose ye what ye want. Bank's rate or Your own rate. Know it that your bank can bid and not be successful even when you go with their rate. imagine a bank bidding 18.7% at the auction while stop rate was 18.5, all those that went with bank's rate without stating their own bid rates will be unsuccessful.

And the moral of this explanation @ IHelp and all is; Always state your own rate each time you bid. Thank you.

IHelp:

Gtb debited @17.95 (365days)
This is not fair

stupid bank made lost 100,k with a bid less 0.5 next time i must used my rate

bisiki2:


And the moral of this explanation @ IHelp and all is; Always state your own rate each time you bid. Thank you.

What if you use your rate and the bank use their own rate and your rate end up being higher than CBN stop rate while the rate used by the bank is lower than CBN stop rate, will it not mean that you will lose out while those that went with bank rate will win or will the bank make you win in respective of the higher rate you use?.

NL1960:


What if you use your rate and the bank use their own rate and your rate end up being higher than CBN stop rate while the rate used by the bank is lower than CBN stop rate, will it not mean that you will lose out while those that went with bank rate will win or will the bank make you win in respective of the higher rate you use?.

You lost the bid simple. All those that went with bank's rate won. If the bank forces your rate down to make you win then you were robbed

to the best of my knowledge (Gurus in the house can correct me), there are three major scenarios;

1.) If you go with bank rate, the success or failure of your auction depends solely on the bank

2.) If you go with your personal rate and your rate is higher than CBN stop rate and your bank uses a lower rate within CBN stop rate, your auction would not be successful.

3.) If you go with your personal rate and your rate is higher than the bank rate and lower than CBN stop rate, your auction would be successful, assuming the bank acknowledges your auction request.

NL1960:


What if you use your rate and the bank use their own rate and your rate end up being higher than CBN stop rate while the rate used by the bank is lower than CBN stop rate, will it not mean that you will lose out while those that went with bank rate will win or will the bank make you win in respective of the higher rate you use?.

slimtriggaman:
to the best of my knowledge (Gurus in the house can correct me), there are three major scenarios;

1.) If you go with bank rate, the success or failure of your auction depends solely on the bank

2.) If you go with your personal rate and your rate is higher than CBN stop rate and your bank uses a lower rate within CBN stop rate, your auction would not be successful.

3.) If you go with your personal rate and your rate is higher than the bank rate and lower than CBN stop rate, your auction would be successful, assuming the bank acknowledges your auction request.

Thanks.

So what do the gurus and yourself advise?. I want to jump in for the first time in the Feb 15, 2017 action using GTB for a 182-day tenor and i want success. Should i give my rate to GTB or should i allow them to use their rate?. If iam to use my rate, what is the safest rate band to get a success for a 182-day tenor?.

I think it is too early to know which rate to go for, reason being that the auction stop rates are majorly determined by economic factors and policies which are very dynamic. I suggest you lookout for the economic trend within next week. Hopefully by next week Friday or upper week Monday, you would be able to get an almost certain and safe rate to bid for from this forum.

So prepare your mind to submit your auction form before COB on Monday 13th

NL1960:


Thanks.

So what do the gurus and yourself advise?. I want to jump in for the first time in the Feb 15, 2017 action using GTB for a 182-day tenor and i want success. Should i give my rate to GTB or should i allow them to use their rate?. If iam to use my rate, what is the safest rate band to get a success for a 182-day tenor?.

Gudday house, I am a newcomer in dis treasury bills investment, but I am quite eager to get on board. However, I tried investing dis week precisely on wednesday bt surprisingly I was told dere was no treasury bills offered. So I would want to know if anybody did get to bid this week and then, when is the next bid coming up? And also the process involved in placing a bid. The bank I want to use is diamond bank. Thanks

slimtriggaman:
I think it is too early to know which rate to go for, reason being that the auction stop rates are majorly determined by economic factors and policies which are very dynamic. I suggest you lookout for the economic trend within next week. Hopefully by next week Friday or upper week Monday, you would be able to get an almost certain and safe rate to bid for from this forum.

So prepare your mind to submit your auction form before COB on Monday 13th

Thanks. My account officer told me that i have to submit a written instruction 3 working days before the bid day.

As a new person in treasury investment, I want to ask, when does one place his bid? Is it on the day of the auction or before the day of the auction.

As a new person in treasury investment, I want to ask, when does one place his bid? Is it on the day of the auction or before the day of the auction?

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Is there anyone here that has client(s) who can do a dollar transaction OFFSHORE (US or CHINA) or locally (Naira to USD transfers, bank to bank) and $100k and above, pls.
Our client has Naira and wants to buy dollars for Importation and/or Offshore transaction.
Pls PM at toninatho@gmail.com[/size][size=18pt][/size]

slimtriggaman:
to the best of my knowledge (Gurus in the house can correct me), there are three major scenarios;

1.) If you go with bank rate, the success or failure of your auction depends solely on the bank

2.) If you go with your personal rate and your rate is higher than CBN stop rate and your bank uses a lower rate within CBN stop rate, your auction would not be successful.

3.) If you go with your personal rate and your rate is higher than the bank rate and lower than CBN stop rate, your auction would be successful, assuming the bank acknowledges your auction request.

What will make a bank not to acknowledge someone's bid?
I asked this because I wrote a letter to my branch manager(Diamond Bank) to bid on my behalf using 13.7% for 91days and 17.15% for 182 days. Till now, I have not been debited. I'm not in naija but I reached my account officer to verify if manager submitted the bid. He said he wasn't on sit

Onboard1:


What will make a bank not to acknowledge someone's bid?
I asked this because I wrote a letter to my branch manager(Diamond Bank) to bid on my behalf using 13.7% for 91days and 17.15% for 182 days. Till now, I have not been debited. I'm not in naija but I reached my account officer to verify if manager submitted the bid. He said he wasn't on sit

Clearly it's time to vote with your feet!!

How do you guys put up with these non challant lazy attitude of some bankers?

I have changed banks a dozen times and am never scared to change... thank God that I presently only use the firm I use for my Tbills and Stocks now...

feelamong:


Clearly it's time to vote with your feet!!

How do you guys put up with these non challant lazy attitude of some bankers?

I have changed banks a dozen times and am never scared to change... thank God that I presently only use the firm I use for my Tbills and Stocks now...

well said, but from my experience its usually not a matter of nonchalance or laziness but a deliberate act for personal gains. i say this because of my experience during this last auctions (1st feb.). To avoid excuses i went to the bank on the 30th of january to place my bid, after applying, i was told to submit my application and wait for feedback from their HQ as they would need to ask for advice/confirmation on the rates i chose(NB waiting time could be a day or two,or even a week), very lame excuse......being that my account officer who usually helped me with the NTB has been sacked(his branch was closed and everybody sacked), i had to insist on speaking with their Head of operations to emphasize my demand, to have my bid posted to the appropriate quarters at my rates because the bank allows that.

on realizing i wasnt a novice on NTB issues,thanks to this thread, she immediately asked for my bid to be sent to their NTB desk. Imagine if i was a novice.afterwards i called my former account officer to narrate my experience and to my surprise he said its month end and each branch would try all it can to have the most amount(funds) possible in their balance sheet.



they employ other tricks to reduce cash out flow at the end of the month, like using only one or two tellers/cashiers when they used to be 5 of them, sometimes they would tell u that network is down.....na lie.....sometimes its all meant to reduce traffic and cash out flow, for better reviews from HQ.

olujaidi:


Those rates up there are still poorer than the true yield of 182 and 364 day tenors. Plus you get your interest upfront which you can reinvest I.e. compound. With an MMF you get your interest at the end of a quarter.

The other advantage of an MMF is that you can start with as little as 5k. What one can do is to use an MMF to build up funds to a sizeable amount then withdraw to do TB. The returns are far better than FD and savings accounts.

Please how can one start in this money market fund?
Is it all banks that do it?
Is there a bidding process?
How long is the true tenor for that 17% yield?
Thank you

Pls guys am new here... am planning on investing for 182 days... Pls how much is the interest 4 the particular period


Ur quick respond to this is greatly appreciated

RealityShot:

Please how can one start in this money market fund?
Is it all banks that do it?
Is there a bidding process?
How long is the true tenor for that 17% yield?
Thank you

There are a number of MMFs out there. Some of the popular ones are those operated by FBN Capital, Stanbic Asset Management, ARM, Investment One. Obtain their contact details from their websites. There's no bidding process and you can start with 5k. There's no tenor per se. Think of it as a high yield savings account. The 17% is derived from the yields of money market instruments (TBs, commercial papers, fixed deposits) the funds are invested in. The higher the rates on TB and the rest, the higher the MMF yields

amiibaby:
Pls guys am new here... am planning on investing X for 182 days... Pls how much is the interest 4 the particular period


Ur quick respond to this is greatly appreciated

Please edit your post and remove the amount you plan to invest. I already did that in mine. It is not necessary! Besides, we don't do that here.

The last stop rates were as follows;

91days-13.7990%

182days-17.2491%

364days-18.5400%

However, it only gives you an idea of how the next auction might be. CBN determines the rates.

Next auction is February 15, you still have ample time. Do yourself a favour by reading from page 0 of this thread. So many questions have been answered. Thank me later

amiibaby:
Pls guys am new here... am planning on investing 600,000 for 182 days... Pls how much is the interest 4 the particular period


Ur quick respond to this is greatly appreciated

if you did the last auction, ur interest would be around 51K. That's if u got it @17%

unite4real:


if you did the last auction, ur interest would be around 51K. That's if u got it @17%

17℅ of ₦600,000 is ₦102,000, or am I getting something wrong?

rookidmart:

17℅ of ₦600,000 is ₦102,000, or am I getting something wrong?

Interest is always per annum. The N102,000 is for 1 year. The request for information was for 182 day tenor and that's half of 364. so you have to divide the N102,000 by 2. pls what is the answer?

unite4real:


Interest is always per annum. The N102,000 is for 1 year. The request for information was for 182 day tenor and that's half of 364. so you have to divide the N102,000 by 2. pls what is the answer?

Ah.
I get it now.
Thanks for clarifying.

Thank u very much I will do just that

40manlappy:


Please edit your post and remove the amount you plan to invest. I already did that in mine. It is not necessary! Besides, we don't do that here.

The last stop rates were as follows;

91days-13.7990%

182days-17.2491%

364days-18.5400%

However, it only gives you an idea of how the next auction might be. CBN determines the rates.

Next auction is February 15, you still have ample time. Do yourself a favour by reading from page 0 of this thread. So many questions have been answered. Thank me later

olujaidi:


There are a number of MMFs out there. Some of the popular one are those operated by FBN Capital, Stanbic Asset Management, ARM, Investment One. Obtain their contact details from their websites. There's no bidding process and you can start with 5k. There's no tenor per se. Think of it as a high yield savings account. The 17% is derived from the yields of money market instruments (TBs, commercial papers, fixed deposits) the funds are invested in. The higher the rates on TB and the rest, the higher the MMF yields

Thanks..

Does this mean that one can get 17% on any amount after the 30 days?

RealityShot:

Thanks..

Does this mean that one can get 17% on any amount after the 30 days?

Yes.

Please note that 17% isn't fixed. It can go higher or lower depending on the direction of TB rates