₦airaland Forum

igbizen:
How can a bank be so cruel, giving me 6% for 91 days fixed deposit of 5M. They will hear from me next week.

You should have known better. You follow the NTB thread don't you?

necheremIFY:
first bank doesn't offer better rate when it comes to tb and mmmf. Stanbic ibtc is better any time but indirectly reduce it through high charges

The two best banks for the secondary market to the best of my knowledge are FBN and Stanbic.

feelamong:
Foreign Investors are reducing their exposures to the Frontier markets...

They are selling down their Tbills and Bonds after they have finished selling down their equities....

Emefiele will have no other option but to increase the discount rates for Tbills in the coming days to keep them back...

seems like the happy days are back again for Tbills Investors!

The real question is: why are they selling off?

Acidosis:
Capital is not preserved? So it is dangerous to have more than 500k savings at any point in time with any bank?

lol. Dangerous is such a strong word. At the end of the day, everything we do involves calculated risk. Even with regulatory oversight, banks fail. Governments have failed to pay creditors(Greece).

anitank:
I like you

But seriously I love First Bank. Asides the fact that they have a poor customer service that never reply emails which can be frustrating, it’s a very solid bank.

I’ve also thought about I-invest, seems very convenient but I’ll hold off on that till I see more convincing reviews (if I see)

Thanks for your input all the same

GTB/Stanbic/Access/zenith are also solid.

anitank:
Please those living in diaspora, how did you successfully purchase your treasury bills without being as frustrated as I am right now? This would be my first time not going directly into a bank to buy Tbills. I’ve sent countless emails to FBN without replies. The phone numbers on their websites are land lines which aren’t connecting.

I’ve tried to read a couple of pages but didn’t see anything relating to this hence my question. Please I’m desperate and need urgent replies.

Option 1: port to another bank
Option 2: use an alternative channel eg Meristem/Investment One/or another fund manager
Option 3: try a fintech. No human intervention eg I-invest or PiggyVest or tbills.ng
Option 4: give me your money and grant me power of attorney to invest on your behalf

emmanuelewumi:
Too much liquidity in the system, FG bond was 200% oversubscribed. I hope treasury bills yield won't get to 6% by December
SEC, PENCOM, Investment community,CBN and FG need to create more risk free or minimal risk instruments and derivatives.
REITs are another instruments that should be looked into by the regulators provided they are appropriately priced.

How would the yield get to 6% when inflation isn't going to drop to 5% anytime soon? I think that the government still has an incentive to keep yields above inflation. If inflation isn't going down, I strongly doubt that NTB rates or yields will go down too.

But, ki l'omode mo?

shogbenga:
How much would I be entitled to annually. Thanks

I'm curious. You bought a bond without asking this question
It would appear you didn't really understand what you were getting into.

shogbenga:
Pls I received this from Stanbic regarding my bond investment. Could the gurus kindly explain what nominal, consideration, clean price and dirty price mean? I want to be sure that the deal is in my favour. Thanks

I think they mean the following:
Clean price- price which doesn't include accrued interest i.e. ex-interest
Dirty price- price which includes accrued interest or i.e. with interest
Consideration should be how much you paid.
Nominal value generally means face value. I think it is what you'll get paid upon maturity.

You might as well email them asking for an explanation of those terms. Don't forget to share the feedback here.

Dunkofia20:
I did not ask someone like you pls I need mature mind to answer me , sir know it all?

Lol. Asking you to do research yourself is immature? You're lazy, period .

The same effort you used in typing this and your earlier question would have gotten you the result you wanted via Google.

Dunkofia20:
Pls I want to open online @FBN Quest can someone help with their app or website addresse

Google?

Acidosis:
A bank listed on NSE as a public liability company and licensed by CBN (bound by a capitalization policy) cannot fold up. Unless you have a different interpretation for the term "fold up" - e.g. merger or acquisition, for instance, the acquisition of Diamond bank by Access, the acquisition of Forte Oil by Prudent Energy, etc., the taking over of Skye bank by a new management - Polaris Bank, etc.

These companies are not owned by a single individual so they just can't fold up. GTBank is not a sole property of Agbaje and UBA is not Elumelu's sole property. They're jointly owned by thousands of Shareholders.

Lol. Banking is just like any other business. Businesses fail. Afribank-Mainstreet-Skye-Polaris and BankPhb-Keystone come to mind. These banks were insolvent i.e. their liabilities exceeded their assets, wiping out shareholders' funds. The bridge banks used required hundreds of billions to recapitalise.

An investor in NTB is a creditor of the Federal Republic. Your TB is kept with a custodian which is why you're charged custody fee. I have not heard people who used SkyeBank, which is the most recently failed bank, complain that they couldn't get their funds. Abi did any of you guys hear? Perhaps I missed it.

Anyway, that is the beauty of the bridge bank model. Makes it seem like the bank didn't fold up. Folks still have jobs, depositors are happy. Shareholders lose out sha .

brane:
Hello Everyone,

Pls can someone state the custodian fees (%) for the following money market fund investment entities:

- FBNQUEST
- Stanbic
- AXA
- ARM

Thanks and stay blessed.

You do realise you can reach out the customer service of these fund managers. You can also download their prospectuses

missjekyll:
Treasury bill rates are quite low at the moment. I m thinking of investing in Thriveagric or Farmcrowdy? What do y'all think?

Has anybody used thriveagric and farmcrowdy before?

missjekyll:
I dont even understand these days....everytime we will be gisting gist that ll not make us any money. me I just read and ignore. e be like say mods no send us again. I ll soon start my own thread sef

You're speaking from both sides of the mouth. Practice what you preach and don't derail the thread. Stick to NTB on this thread

4x a billionaire, 4000x a millionaire, yet a learner.

Who else wants to be like this "learner"? Or learn from him? I want to be like him when I grow up

You can also try reportgov.ng or businessmadeeasy.ng/reportgov. That's the website of the Presidential Ease of Doing Business Committee

bikerboy1:
If the rate increases in the near future, does it affect positively the rate with which you invested. Or your contract sticks to the rate you invested in.

Eg. You entered at 11.5% for 320days. After 100 days, the rate increases to 13%, will this improve your earnings, or everything will be based on the rate you entered.

Thanks

everything will be based on the rate you entered.

DanXplore:
I might be unable to use the IRR approach now because it would require alot of data but it seems to me like a more efficient approach. I just need a quick figure to plot into a simple Mixed Integer Linear Programming optimization model to eliminate some decision options or at least reduce my degrees of freedom. For now, I will use a discount value somewhere from 80-100% along inflation and borrowing/opportunity costs - whichever is higher.

This has solved my problems for now. Thank you so much.

Ah...na simple goal seek for MsExcel I dey use for IRR o!

Also, you can simply use your desired return as your discount factor. Using 80-100% is quite steep. Maybe to see the worst case scenario. In that case, you could have 3 scenarios- Best, Realistic and Worst case.

Since you're mathematically inclined, perhaps you can create an equation for yours where the minimum value is inflation or risk free rate, with other add-ons for risk and returns

Inflation
Opportunity cost
Borrowing costs

You may have to define your own cost of capital/discount rate using one or a combination of the above. Inflation could be your floor while opportunity cost or borrowing costs could be your cap (whichever is higher). If you have a business that earns you RoI of say 25%, you should discount using that rate because that's the forgone return.

Also, you could just define IRR if you can reliably estimate the cashflows from the investment

At the end of the day it's up to you to determine your own discount rate as your needs are peculiar to you.

Emmaesty:
Hello everyone!

So after reading a few pages of this thread, I have decided to open a mmf account with FBNQuest

I have a few questions tho.

If my principal amount is 100k and after receiving my quarterly dividend of 3k can I reinvest to make my principal 103k?

Also, can I have a standing order on that account? So each month my principal amount will increase(hopefully so will the dividend)

I hope my questions make sense.

1. Yes. Just tick the reinvest option on your form
2. Yes

.

Barrytone:
Man know thyself also know your wife. My wife knows all my investment and the worth. Been trying to educate her on how to calculate tbills but she aint interested. I want her to continue the investment when am gone. Will get my kids involved when they reach 15years. I will expect them to start investing from their first salary. My wife is even cutting down her demands so i can invest. More reason am suspending my investment to buy her a car. Just imagining that I die and one young boy come and deceive my wife and squander my money. Let her squander the interest, the capital will generate another one.

A lot of women do the same and hide theirs far better than men do. And their stash ehn, no bè here. It's usually easier to guilt trip the man into coughing up dough. For the reverse to happen, you go sweat! In fact, if they happen to pass on before you, you fit no see shishi collect. The mentality of "another woman will chop my sweat" if the man remarries is there.

reservd:
Custody fee? No one mentioned this at least on d last 20+ pages I'v read. Pls someone explain it. Secondly must u have an acct wit d bank u want to invest tbills wit?

Google "custodian fee tbills Nigeria"

Barrytone:
Compounding is asking them to reinvest your interest till less than a 100k is left. The process is repeated till you have less than a 100k. I reinvest till it gets to the amount I so desire. Compounding is a one time investment while mine is invested after interest is paid which is likely next day and on secondary market

Do you mean reinvest as a fresh investment or you reinvest your upfront in the secondary market? If it is the latter, you have compounded.

Barrytone:
On compounding, I don't compound, I invest and reinvest the interest on secondary market and continue till I have the amount I will use.

If this isn't compounding, then what is?

ahiboilandgas:
if ever body is like u then info on wealth creation will be hidden...but u want to read and gain without contributing

Lol. Don't see it that way.

A few years ago, it was a frequent admonition to posters not to put out personal financial details. I was surprised to see people putting theirs out without the usual admonitions. You once mentioned you've received PM's from beggars, girls shooting their shot and potential fraudsters. Even if you and others who put them out have good intentions, it would also be prudent to protect yourself from unnecessary solicitations and attention

Nobody is truly anonymous on the internet.

Diamond bank is non existent. Update your post

TotoNaRubber:
Let us all pray for a better Nigeria. The country is only meant to be visited/holiday/party and not to live in. Nigerian investors with capital base of at least N500 million in assets and funds are the only class i feel can afford to live comfortably and constantly grow.

Nigeria is a death trap, scam everywhere. Health sector terrible. Nothing works.
I have witnessed so many Nigerians who had capital base of nearly N400 million sink to nothing. Economic and health problems are the major setbacks that reduced them to nothing.

Moral of the story: A country where social/basic amenities work is better than earning N50 million per month in Nigeria.

God and prayers won't solve the problems that He has given us capacity and free will to solve. The politicians and the populace have the wrong incentives. How can we get better when we empower people without capacity? Without skill? Without the right mindset? Without strong positive values? How

Gforce2019:
I smelled lie in your comments. How do you invest that you are getting 800k monthly. Eniyan o tan re bi Iya ibeji

Prove that he lied. After all you just accused him of lying .

Perhaps it's your mouth odour you smell

mokrak:
Please everyone be watchful of your banks ooo especially first bank,they have started playing hanky panky.my treasury bills was matured and a standing order to pay back the interest and principal in my account was ignored and re-invested.
Now they are telling me they will discount if I want to collect my principal and interest back because it has started already.
A fault of theirs ooo

Next time, take a picture of your form or collect your investment letter to confirm the terms.

Also, why are you afraid of discounting? I believe you meant that your initial investment had matured but was rolled over inappropriately. So if you discount it, the rolled over principal and interest will be affected not your initial principal and interest, no? If your initial investment will not be affected, why is that a problem?

.