chukzyfcbb:
This eurobond talk has been sounding interesting so i did some little findings and this is what I understood about it, Pls correct me if I am wrong.

Mutual fund houses like FBN, don't place a fixed yield on your capital, instead the money grows as the Price/Unit increases. So regardless of the rate Nigeria offers her eurobond, it seems investors are at the mercy of the price of each unit.
Just like stocks where price per share gets up, so does your capital.

eg If FBN puts a Unit at a price of $100/Unit
and I purchase 100units which is 10thousand dollars

If the price/unit becomes $150/unit after 6months,
it means I am $5,000 richer.
If the price/unit remains stagnant, it means no gain.
(pics from First bank quest below)

This is how I understand it oo, I could be wrong.

Also knowing that proceeds of the eurobond would be sent to my domicillary account and not given to me cash, Problem could arise during withdrawal.

Banks are fond of hoarding dollars whenever one wants to withdraw from his/her domiciliary account, they prefer to pay the naira equivalent which means using the official rate lool.

Using the same example above, although I made 5k, wouldn't it be extra cool if I could withdraw the total sum in CASH with the hope of selling it off in the black market?
I could even make more if naira had devaluated by that time I want to sell off


Oga feelamong and the experts here, am I correct in my assertion? If yes, How do you dribble the bank staffs to get the raw currency rather than the naira equivalent ,lol

Ps: Jan 2017 its $104/share
August 2017 its $109/share
not even a 5% increase
that's about 4.8% Gross Profit
after deduction of management fee as retail investor which is (1.5%) , my true profit would be 3.3% of my capital

Bros Feelamong abeg come explain oh.

condomuser:
The last time i checked on Eurobonds which had its subscription in February i was told i can only subscribe with USD contrary to the name EuroBond and the minimum subscription is $5000.

The interests is around 6% per annum and it is very much possible to cash in USD and run to Aboki

opomulero:
Well eurobond is not for chicken hearted fellow, a banker "CATEGORICALLY" told me capital is not guaranteed.

Na purely forex, and i i want to do it, i will open dorm account and go buy $,£ or € from aboki that they "bank" wont fund d dorm accoubt for me with my naira: and if we calculate the difference btw aboki and official rate, na waya....

And d funniest thing is that they might likely not allow me withdraw foreign currencies from d dorm account...bla bla bla, they will simply tell me that there is no usd, euro or pound available, there4 leaving u with d option of converting it to naira at official rate ...and that 1 na loss, except i get on huge stolen money�

Butbhe advised tbills, mmf,.... And he discouraged me doing fixed deposit(but i can go ahead if d condition is ok by me)

opomulero:
Well eurobond is not for chicken hearted fellow, a banker "CATEGORICALLY" told me capital is not guaranteed.

Na purely forex, and i i want to do it, i will open dorm account and go buy $,£ or € from aboki that they "bank" wont fund d dorm accoubt for me with my naira: and if we calculate the difference btw aboki and official rate, na waya....

And d funniest thing is that they might likely not allow me withdraw foreign currencies from d dorm account...bla bla bla, they will simply tell me that there is no usd, euro or pound available, there4 leaving u with d option of converting it to naira at official rate ...and that 1 na loss, except i get on huge stolen money�

Butbhe advised tbills, mmf,.... And he discouraged me doing fixed deposit(but i can go ahead if d condition is ok by me)

It is a nonsense investment for people like us jor. We're happy as we dey build our silent millionaire journey, abi you no like am like that?

opomulero:
Well eurobond is not for chicken hearted fellow, a banker "CATEGORICALLY" told me capital is not guaranteed.

Na purely forex, and i i want to do it, i will open dorm account and go buy $,£ or € from aboki that they "bank" wont fund d dorm accoubt for me with my naira: and if we calculate the difference btw aboki and official rate, na waya....

And d funniest thing is that they might likely not allow me withdraw foreign currencies from d dorm account...bla bla bla, they will simply tell me that there is no usd, euro or pound available, there4 leaving u with d option of converting it to naira at official rate ...and that 1 na loss, except i get on huge stolen money�

Butbhe advised tbills, mmf,.... And he discouraged me doing fixed deposit(but i can go ahead if d condition is ok by me)

freeman67:
It then means eurobond is very risky. If you bought dollar from aboki early this year when it was around N400 for 6% and @ maturity dollar is hovering around N360 as it is now.. You will definitely loose part of your principal. Even if everything remains same...what's obtainable in the local market seem to be more profitable for now... Investing $5000 @ 6% will give you the interest of $300 which when converted will be about have of whats in treasury bill now

Alikote:
really which bank your friend dey work ...they need to fire him....banker dont advice you to do tb instead of fixed deposits 2.aboki fx is some time cheaper than bank rate cos of low cost of ruining .the euro bond was over subscribed by 2 billion dollars u think niggas in accenture ,kmpg anit smart they control world finance are know the best place and how to invest in emerging markets

afroxyz:
This thread is gradually derailing to eurobonds just because interest rate in TB is dropping. That's what kills us Nigerians. Impatience!!!

afroxyz:
This thread is gradually derailing to eurobonds just because interest rate in TB is dropping. That's what kills us Nigerians. Impatience!!!

opomulero:
Well eurobond is not for chicken hearted fellow, a banker "CATEGORICALLY" told me capital is not guaranteed.

Na purely forex, and i i want to do it, i will open dorm account and go buy $,£ or € from aboki that they "bank" wont fund d dorm accoubt for me with my naira: and if we calculate the difference btw aboki and official rate, na waya....

And d funniest thing is that they might likely not allow me withdraw foreign currencies from d dorm account...bla bla bla, they will simply tell me that there is no usd, euro or pound available, there4 leaving u with d option of converting it to naira at official rate ...and that 1 na loss, except i get on huge stolen money�

Butbhe advised tbills, mmf,.... And he discouraged me doing fixed deposit(but i can go ahead if d condition is ok by me)

emmanuelewumi:
Come to think of it, diversifing into Eurobond investment is not a bad idea considering inflation and stability of our currency.

emmanuelewumi:
Come to think of it, diversifing into Eurobond investment is not a bad idea considering inflation and stability of our currency.

condomuser:
The last time i checked on Eurobonds which had its subscription in February i was told i can only subscribe with USD contrary to the name EuroBond and the minimum subscription is $5000.

The interests is around 6% per annum and it is very much possible to cash in USD and run to Aboki

chukzyfcbb:

Don't be fooled by the stable rates, next year is campaign year. Fg will start spending part of the reserves illegally on campaign things. Plus let's see how stable it can get this festive period because Our naira is always known to take a hit during the festive period.

The demand for hard currency always surge during that period, From Importers to Those who want a vacay outside, it always dip low.

so don't get your hopes high

emmanuelewumi:




That is why it is not a bad idea to diversify into some foreign currency denominated Investments and assets.

emmanuelewumi:




That is why it is not a bad idea to diversify into NAIRA is the BEST foreign currency denominated Investments and assets.

chukzyfcbb:

You are better off as currency speculator
If you are certain that the naira will plummet this festive period. Buy now and hold.
but remember speculating is dangerous :-)

emmanuelewumi:


I am NOT speculating, just diversifying. I am into Treasury Bill, Real Estate, stock market, bond and personal businesses.

Government should develop the commodity exchange, if this is done I will also invest in the commodity market.

emmanuelewumi:
I investors who have the opportunity to buy 364days TB, should buy now while offers last. Returns of sub 10% from TB, this time next year will not be an aberration.

dotcomnamename:


So what happened to investors like us that bought 177days TB?

emmanuelewumi:


I am NOT speculating, just diversifying. I am into Treasury Bill, Real Estate, stock market, bond and personal businesses.

Government should develop the commodity exchange, if this is done I will also invest in the commodity market.

zamirikpo:


TB I know
Stock market I know
Bond I know
But how do u invest in real estate. Is it to buy land/property and wait for them to appreciate or u take %Off the sales of property or u become an agent. How does one really do real estate investment with limited funds.
Educate me pls

emmanuelewumi:



I Invest primarily for cash flow, capital appreciation is secondary.
I Invest for dividends, rental income, interest and profit sharing.

I won't advice starters to invest in real estate because of the quantum of fund needed to invest in it in Nigeria.

But as your investment portfolios start growing in leaps and bounds it is very to diversify into real estate to preserve capital against inflation. Land bought for 100k @ Ajah in 2000, now sell for between 10m and 15m.

Search for my alternate nairaland monicker ie "manie". to read more about me.

Thank you.