₦airaland Forum

CuteRedd:
Hello people, I am new here, and would need help understanding what Treasury bills is all about, the minimum amount to invest and how to invest

Thanks

Minimum is usually N100k. Open account with First Bank or Stanbic IBTC, then apply from any of them.

mindtricks:
Minimum is usually N100k. Open account with First Bank or Stanbic IBTC, then apply from any of them.

tnx alot

So investing 100k for a 91day tenor should reap how much judging from today's rate
P. S. Kindly pardon my lack of knowledge

Investnow2017:
Not bad, although i saw 18.20% for 352days at First Bank a while ago.

How easy do you think it can be getting very close to the last CBN rate at the secondary market?

CuteRedd:
tnx alot

Please go for Stanbic

Ibukun003:
Please go for Stanbic

Tnx alot

So investing 100k for a 91day tenor should reap how much judging from today's rate
P. S. Kindly pardon my lack of knowledge

CuteRedd:
tnx alot

So investing 100k for a 91day tenor should reap how much judging from today's rate
P. S. Kindly pardon my lack of knowledge

The rates are not constant, it depends on what you meet at the bank at the moment. And this has to do with the secondary market as the primary market option is only open once in two weeks. The next date being next week Wednesday.
I can't quote a rate on 91 day tenure now cos I don't have that info now,but a typical rate for that 91 days could be 14 percent.
Your interest @ that 14% will be:
100k times 14/100,
then you times what you get by 91/364.
Interest = N3500.

mindtricks:
The rates are not constant, it depends on what you meet at the bank at the moment. And this has to do with the secondary market as the primary market option is only open once in two weeks. The next date being next week Wednesday.
I can't quote a rate on 91 day tenure now cos I don't have that info now.

thanks would head to stanbic tomorrow appreciate your help

mindtricks:
Bros can you please bring it home in summary how this impacts the TB market?

Since the cbn is maintaining the status quo, the robust rates are most likely to remain for the quarter. My layman thinking though, but i do feel strongly about it.

CuteRedd:
Tnx alot

So investing 100k for a 91day tenor should reap how much judging from today's rate
P. S. Kindly pardon my lack of knowledge

Okay...
Recall that I = PRT.

P = 100,000.

T = 91/365. ( Please note that all tenors for short time investment should be divided by 365 days.)
Short time investment are investment less than one year.

R = 14% = 0.14 ( let's assume this rate for this tenor of 91days)

I = 100,000 * 91/365 * 0.14 = 3490.41

Please,I need someone to put me through.
Thanks

Dreamscometrue:
Please,I need someone to put me through.
Thanks

What do you need?

I need to know about this TB or any other good investment/business
Thanks

MOM1:
What do you need?

Dreamscometrue:
I need to know about this TB or any other good investment/business
Thanks

Yon read from page 1. TB is controlled by the CBN, the minimum principal is 100,000.
There are two platform, primary and secondary market.

Whoa! Then, there's not too much profit on TB.

However, it's better than just keeping the money in a bank.

Question: Can the principal be rolled over for investment in the next quarter or the investor is compelled to withdraw his principal and interest?

Ibukun003:
Okay...
Recall that I = PRT.

P = 100,000.

T = 91/365. ( Please note that all tenors for short time investment should be divided by 365 days.)
Short time investment are investment less than one year.

R = 14% = 0.14 ( let's assume this rate for this tenor of 91days)

I = 100,000 * 91/365 * 0.14 = 3490.41

tolajay:
Whoa! Then, there's not too much profit on TB.

However, it's better than just keeping the money in a bank.

Question: Can the principal be rolled over for investment in the next quarter or the investor is compelled to withdraw his principal and interest?

You try and invest millions for just 3 months and lets see if there is no too much money there!

Yeah!

Just a general principle in investment: the higher the investment, the higher the returns.

But for average earners like myself, my thought was premised on investing some hundreds of thousands (200-300k) at least for a year.

To be sure, there's money back guarantee with TB, right?

dotcomnamename:
You try and invest millions for just 3 months and lets see if there is no too much money there!

pls at the end of the maturity date, do they pay in the money without undergoing any process, or will it be paid after selling it to another customer. how many days does it take before they pay back my money?

murphyrichy:
pls at the end of the maturity date, do they pay in the money without undergoing any process, or will it be paid after selling it to another customer. how many days does it take before they pay back my money?

If its due today they pay you even in the morning hours. No stress. This is no ponzi

tolajay:
Whoa! Then, there's not too much profit on TB.

However, it's better than just keeping the money in a bank.

Question: Can the principal be rolled over for investment in the next quarter or the investor is compelled to withdraw his principal and interest?

If you invest 50m for a 364days tenor at 18%. The interest alone can pay you N750,000 monthly for the next one year by the time your principal will hit your bank account By that time you will know that TBill is a real deal at current rates moreso that it is risk free. No stories Taking into consideration the rest of mind and ample time to go about other vital interests in life.

murphyrichy:
pls at the end of the maturity date, do they pay in the money without undergoing any process, or will it be paid after selling it to another customer. how many days does it take before they pay back my money?

Certainly..no process...if you were sleeping...your credit alert of the principal would wake you.

tolajay:
Whoa! Then, there's not too much profit on TB.

However, it's better than just keeping the money in a bank.

Question: Can the principal be rolled over for investment in the next quarter or the investor is compelled to withdraw his principal and interest?

Yes the principal can be rolled over as many times as possible in as much you have the cash in your account.
In fact you can purcahse T.bills 26 times in a year once you have the cash required.

tolajay:
Whoa! Then, there's not too much profit on TB.

However, it's better than just keeping the money in a bank.

Question: Can the principal be rolled over for investment in the next quarter or the investor is compelled to withdraw his principal and interest?

Lol. If u leave ur 100k for a year in TB, u get 14% of it which is 14,000.. Now try investing like million(s) in it and see if there is no money in TB.

I had about 5m in my savings account lying idle, the bank didnt even pay me any interest for more than 3months that the money has been there not until i came across this thread and alas! i invested in tb for 76days at 14% as my first time.

My interest for the 76days is 150,000+ meaning i am earning 50k+ monthly. meanwhile, 76days is not even up to three months. Now imagine if i had started TB earlier, taking into consideration the three months my money has been lying idle in the bank.

Nobody told me b4 i invested another amount in another TB for 16% for 78days or thereabout.

Knowledge is power.

Fm4real06:
Lol. If u leave ur 100k for a year in TB, u get 14% of it which is 14,000.. Now try investing like million(s) in it and see if there is no money in TB.

I had about 5m in my savings account lying idle, the bank didnt even pay me any interest for more than 3months that the money has been there not until i came across this thread and alas! i invested in tb for 76days at 14% as my first time.

My interest for the 76days is 150,000+ meaning i am earning 50k+ monthly. meanwhile, 76days is not even up to three months. Now imagine if i had started TB earlier, taking into consideration the three months my money has been lying idle in the bank.

Nobody told me b4 i invested another amount in another TB for 16% for 78days or thereabout.

Knowledge is power.

How I wish I knew T.bills at 200 level in the university. My financial life would not have remaine the same. However I am grateful.

Ibukun003:
How I wish I knew T.bills at 200 level in the university. My financial life would not have remaine the same. However I am grateful.

Well, you may be right but the interest rates then werent competitive or juicy. As at 2015 tbills of 91 days or more were single digits. Although inflation rates as at that time were minimal compared to now.

Please pronounce dotcomenamename.

Fm4real06:
Lol. If u leave ur 100k for a year in TB, u get 14% of it which is 14,000.. Now try investing like million(s) in it and see if there is no money in TB.

I had about 5m in my savings account lying idle, the bank didnt even pay me any interest for more than 3months that the money has been there not until i came across this thread and alas! i invested in tb for 76days at 14% as my first time.

My interest for the 76days is 150,000+ meaning i am earning 50k+ monthly. meanwhile, 76days is not even up to three months. Now imagine if i had started TB earlier, taking into consideration the three months my money has been lying idle in the bank.

Nobody told me b4 i invested another amount in another TB for 16% for 78days or thereabout.

Knowledge is power.

You are 100% right. Just like my own, i invested 5m and will be earning 79k monthly. According to my account officer personal advice, she said: ''You can never enjoy Treasury Bills with just little investment''. Though i wouldn't mind investing the little after all i wont work hard for the little profit. Point here is the higher your investment the higher your profit.

Fm4real06:
Please pronounce dotcomenamename.

Its dotcomnamename

dotcomnamename:
You are 100% right. Just like my own, i invested 5m and will be earning 79k monthly. According to my account officer personal advice, she said: ''You can never enjoy Treasury Bills with just little investment''. Though i wouldn't mind investing the little after all i wont work hard for the little profit. Point here is the higher your investment the higher your profit.

I guess ur investmebt is for 6months.. 79k make sense oo..

Ibukun003:
Certainly..no process...if you were sleeping...your credit alert of the principal would wake you.

thanks bro if that is the case, its better than fixed deposit, Right? pls do you mind telling me why people go for fixed deposit when their is Treasury bill?

Investnow2017:
If its due today they pay you even in the morning hours. No stress. This is no ponzi

thanks bro if that is the case, its better than fixed deposit, Right? pls do you mind telling me why people go for fixed deposit when their is Treasury bill?

Fm4real06:
I guess ur investmebt is for 6months.. 79k make sense oo..

Yes

murphyrichy:
thanks bro if that is the case, its better than fixed deposit, Right? pls do you mind telling me why people go for fixed deposit when their is Treasury bill?

Well, there are many reasons people go for fixed deposit.
1. Lack of knowledge: this is a major reason why pple go for F.D. so many pple are not aware of hw tb works.

2. Easy to liquidate: F.D are easily terminated wihout the banks charging u extra or penal charges. Unlike TB that has a stiffer penal charges.

3. Bank officers gain: most account officers in banks have miataken or discouraged their clients not to invest in TB because of their own targets or gains. Remember a banker has a commission for any F.D by his or her client.

4. Short term frame: Treasury bills have a tenor of 91days 182 and 364days unlike F.D that has no specific tenor starting from 30days.