There is something fishy going on at STANBIC IBTC. How can there Primate Market rate be much higher than their Secondary Market rate when other banks have higher Secondary Market rate.

I go just swap go First Bank. Nonsense!

Abeg oh permit my ignorance. This Biafra that is currently looming everywhere, if it finally comes (just asuming it does) what happens to our TBills?

Will Nigeria still be able to pay them?

What and what can lead to the government of a nation not being able to pay up the TBills being purchased?

Uchefrancis16:
Abeg oh permit my ignorance. This Biafra that is currently looming everywhere, if it finally comes (just asuming it does) what happens to our TBills?

Will Nigeria still be able to pay them?

What and what can lead to the government of a nation not being able to pay up the TBills being purchased?

Nothing will come and nothing will happen. God will send a good leader that will be loving and caring enough to wipe away the tears of poor Nigerians. But if it's the will of God it will definitely happen.

Amen

Exectine:





Nothing will come and nothing will happen. God will send a good leader that will be loving and caring enough to wipe away the tear of poor Nigerians.

Hmmm I hope and pray so too bro.

But am afraid the question wasn't answered.

So I will repeat it...

Abeg oh permit my ignorance. This Biafra that is currently looming everywhere, if it finally comes (just asuming it does) what happens to our TBills?

Will Nigeria still be able to pay them?

What and what can lead to the government of a nation not being able to pay up the TBills being purchased?

Uchefrancis16:


Hmmm I hope and pray so too bro.

But am afraid the question wasn't answered.

So I will repeat it...

@Uchefrancis16,
If you keep the money you intend to invest now in the bank or soakaway or GP tank what 100% gaurantee do you have that it is safe there? Is there anything that has a perfect security in this world that is winding up now? For being alive do you have a perfect gaurantee that you will be alive in a 100 years time?

IT IS EVEN VERY RISKY TO BE ALIVE. Invest in the money market which is comparatively the safest investment thus far! Ride with Stanbic Ibtc money market and go on smiling. Its cool! Speaking from experience.

40manlappy, you're like a typical MTN! Morning brotherly me.

mamajaz:
40manlappy, you're like a typical MTN! Morning brotherly me.

Good morning mamajazzy

Longest time! How every every?

Hello guys,

I'm not very knowledgeable in these things so, I will appreciate clarification to my question.

It would appear to me that it's better to invest a good amount of money for shorter terms and re-invest it at the end of the term.

Eg, If I invest 3m for 87 days at 17.3%, and re-invest it for another 87 days at the end of the tenure, won't I be getting a total of 36.4% in less than 185 days as against 17.3% that I'd have gotten if I'd done a straight 185 days?

Investnow2017:

TREASURY BILLS

FIRST BANK (SECONDARY MARKET)

Available Rates:

185 days 18.4%
87 days 17.3%
24 days 16%

Rush and see if you can catch the 18.4%, it seems to me a good one.

Regards

yimiton:
Hello guys,

I'm not very knowledgeable in these things so, I will appreciate clarification to my question.

It would appear to me that it's better to invest a good amount of money for shorter terms and re-invest it at the end of the term.

Eg, If I invest 3m for 87 days at 17.3%, and re-invest it for another 87 days at the end of the tenure, won't I be getting a total of 36.4% in less than 185 days as against 17.3% that I'd have gotten if I'd done a straight 185 days?

Nope.

The rates are annual. You'll only get twice the return if your principal is 2x your principal i.e. 6m.

Plus, you still have reinvestment risk to contend with.

PETERiCHY:


Nothing fishy is going on rather most people are liquidating their TBills at all cost and diverting the fund to Stock Market.

Last month i liquidated all my USD position and invested in the stock market and so far my portfolio is 51.8% upside.

Would it been i don't have a formidable USD portfolio. i would have terminated my TBills that is due for December because of the kind of fire that is currently burning in NSE.

*ThE OcToPuS*

@PETERiCHY If I may ask, please how does this fire that is currently burning in NSE profiting you? Are you trading or buying for short term or for long term? I'd love to benefit from this too as I noticed some stocks have been on the rise in recent weeks.

MrTour:

Banks are able to offer higher rates at secondary market due to the influx of investors terminating their primary market Treasury bills before maturity.

When you contact your bank to sell your primary market Treasury bills, they take into account an offer rate to the next buyer and deduct the equivalent from the sale price of your Treasury bills, they still make a profit in between the transaction.

Thanks

3rd quarter issue calender

Does the rate a person get on T-bills depend on the amount invested? Let's assume a hypothetical rate of 18%; will individuals investing, say, N100,000 and N1m get that same rate?

I was at a UBA branch today to make T-bills enquiry and the man I spoke to there requested amount I wanted to invest in order to check for applicable rate. I ended up walking out when I learnt minimum investment was N1m. But I got curious as to whether amount determines rate.

Feelamong and other pros in the house, please your input is needed on this.

U1:
Does the rate a person get on T-bills depend on the amount invested? Let's assume a hypothetical rate of 18%; will individuals investing, say, N100,000 and N1m get that same rate?

I was at a UBA branch today to make T-bills enquiry and the man I spoke to there requested amount I wanted to invest in order to check for applicable rate. I ended up walking out when I learnt minimum investment was N1m. But I got curious as to whether amount determines rate.

Feelamong and other pros in the house, please your input is needed on this.

No it doesn't. But 1m minimum? That's really way off.

40manlappy:

Good morning mamajazzy
Longest time! How every every?

Pure!

Interest rates stays same irrespective of amount Invested.

1m as minimum? Most banks with even better rates than UBA takes as low as 100k, like FBN.

You can "port" to where you are accepted for "who" and not "what" you are.

U1:
Does the rate a person get on T-bills depend on the amount invested? Let's assume a hypothetical rate of 18%; will individuals investing, say, N100,000 and N1m get that same rate?

I was at a UBA branch today to make T-bills enquiry and the man I spoke to there requested amount I wanted to invest in order to check for applicable rate. I ended up walking out when I learnt minimum investment was N1m. But I got curious as to whether amount determines rate.

Feelamong and other pros in the house, please your input is needed on this.

No way. Interests are calculated annually.

Use this simple way to calculate.

1m let's say for 87 days at 17.5%


1,000, 000 * 17.5% = 175,000

Interests are calculated annually, hence
175,000 / 364 = 480.8

And since you are going for 87 days tenor

480.8 * 87

Your interest for 87 days tenor = 41,829.6.

If you decide to invest again, with same tenor (if its available) you get same thing.

That's 83,659.2 in 174 days. Which is same 17.5% of your investment, excluding the usual bank charges.


If you don't have need for that money at the interim, I would suggest you go for maximum tenor - 364 days. You could still get something around that region in secondary market.

Eg if you invest 1m and you are offered 18.5% , that would give you interest of about 185k and since it's paid upfront, you can even re-invest it, if you wish.

The interest may vary if and the tenor is less 364 days.

My point? Long tenor provide higher yield and you get it in bulk, making the interests more useful

yimiton:
Hello guys,

I'm not very knowledgeable in these things so, I will appreciate clarification to my question.

It would appear to me that it's better to invest a good amount of money for shorter terms and re-invest it at the end of the term.

Eg, If I invest 3m for 87 days at 17.3%, and re-invest it for another 87 days at the end of the tenure, won't I be getting a total of 36.4% in less than 185 days as against 17.3% that I'd have gotten if I'd done a straight 185 days?

ezeonlinebiz:


No it doesn't. But 1m minimum? That's really way off.

amjustme2:
Interest rates stays same irrespective of amount Invested.

1m as minimum? Most banks with even better rates than UBA takes as low as 100k, like FBN.

You can "port" to where you are accepted for "who" and not "what" you are.

Thanks, sirs. I have always felt that bank is not appropriate for me.

Please a couple more questions:

- what do you think of GTB and Access as regards T-bills? Read somewhere minimum for Diamond is also N1m; otherwise, I'd have included it among the options.
- Is it allowed to make subscription from accounts at two different banks?

Thanks.

I know you can subscribed from different banks if you want, just the way you are permitted to own accounts with same name in different banks.

I am not sure of GTbank and Access, because I have not used them - Accepting 100k. But certainly would take less than 1m. Others will reply with more accurate information esp those who subscribe through those banks. I am 100% sure of FBN for 100k.

GTbank's rate is not bad, but from posts in this thread, I rank them 3rd, behind IBTC and FBN.

Access' rate is in same region with GTB.

Others with more experience with different banks could share more insight.

Don't misunderstand me on the rates. You don't need to open a new bank account with banks offering higher rates. The difference in rates is not that high. But if you have existing accounts with those banks, moving funds will not be a bad idea.

U1:



Thanks, sirs. I have always felt that bank is not appropriate for me.

Please a couple more questions:

- what do you think of GTB and Access as regards T-bills? Read somewhere minimum for Diamond is also N1m; otherwise, I'd have included it among the options.
- Is it allowed to make subscription from accounts at two different banks?

Thanks.

U1:



Thanks, sirs. I have always felt that bank is not appropriate for me.

Please a couple more questions:

- what do you think of GTB and Access as regards T-bills? Read somewhere minimum for Diamond is also N1m; otherwise, I'd have included it among the options.
- Is it allowed to make subscription from accounts at two different banks?

Thanks.

Is there anyone who has been using uba here? What's their bank rates abeg?

U1:



Thanks, sirs. I have always felt that bank is not appropriate for me.

Please a couple more questions:

- what do you think of GTB and Access as regards T-bills? Read somewhere minimum for Diamond is also N1m; otherwise, I'd have included it among the options.
- Is it allowed to make subscription from accounts at two different banks?

Thanks.

The minimum for Diamond bank is 100k

Good evng all. Pls when is the next auction date? Does GTB do secondary market. What if I want to liquidate a Tbill before the agreed maturity date,what do I stand to loose? Anyone with the idea of the current secondary rate with First bank? Or GTB? Thanks in advance .pls kindly answer the questions of a jjc

Adiahabasi:
Good evng all. Pls when is the next auction date? Does GTB do secondary market. What if I want to liquidate a Tbill before the agreed maturity date,what do I stand to loose? Anyone with the idea of the current secondary rate with First bank? Or GTB? Thanks in advance .pls kindly answer the questions of a jjc

According to the third quarter calendar posted above it is on the 15/06/2017. It means you will have to go to your bank between 12-13/06 to make the request if you intend to go for primary market. However, if you wish to buy through secondary market you can check the bank weekday. I was with FBN and was told that rates for secondary market comes every morning. Today's rate mayb different from tomorrow so you just have to go and confirm for yourself any day you are ready. They had different rates for different tenure. If you intend to liquidate before maturity you stand the change of loosing part of your expected principal as the interest was already paid upfront.

freeman67:


According to the third quarter calendar posted above it is on the 15/06/2017. It means you will have to go to your bank between 12-13/06 to make the request if you intend to go for primary market. However, if you wish to buy through secondary market you can check the bank weekday. I was with FBN and was told that rates for secondary market comes every morning. Today's rate mayb different from tomorrow so you just have to go and confirm for yourself any day you are ready. They had different rates for different tenure. If you intend to liquidate before maturity you stand the change of loosing part of your expected principal as the interest was already paid upfront.

Thanks wld check FBN on Monday

amjustme2:
I know you can subscribed from different banks if you want, just the way you are permitted to own accounts with same name in different banks.

I am not sure of GTbank and Access, because I have not used them - Accepting 100k. But certainly would take less than 1m. Others will reply with more accurate information esp those who subscribe through those banks. I am 100% sure of FBN for 100k.

GTbank's rate is not bad, but from posts in this thread, I rank them 3rd, behind IBTC and FBN.

Access' rate is in same region with GTB.

Others with more experience with different banks could share more insight.

Don't misunderstand me on the rates. You don't need to open a new bank account with banks offering higher rates. The difference in rates is not that high. But if you have existing accounts with those banks, moving funds will not be a bad idea.

babatundeizbad:



The minimum for Diamond bank is 100k

Thank you.

Just a quick one house, the stanbic ibtc fee of 0.125%, is it charged on the principal or the interest? I would like to hear from those who have invested with the bank.

Uzee24:
Just a quick one house, the stanbic ibtc fee of 0.125%, is it charged on the principal or the interest? I would like to hear from those who have invested with the bank.

on the capital

On the contrary i think it is charged on the interest cos it is wrong to charge an investor on his capital.

Cation:
on the capital

Uzee24:
Just a quick one house, the stanbic ibtc fee of 0.125%, is it charged on the principal or the interest? I would like to hear from those who have invested with the bank.

it is on d principal. the initial capital

DInkMan:


it is on d principal. the initial capital

so does it mean that after the initial investment, subsequent investments wont get the charge on the capital but on interest?