Welcome, Guest: Register On Nairaland / LOGIN! / Trending / Recent / NewStats: 3,201,178 members, 7,977,449 topics. Date: Thursday, 17 October 2024 at 08:26 AM |
Nairaland Forum / Nairaland / General / Investment / Treasury Bills In Nigeria (4681196 Views)
Fixed Deposits Or Treasury Bills, Which Is Better? / Fixed Deposit And Treasury Bill Investments From Abroad / I Need Information On Treasury Bills In Nigeria (2) (3) (4)
(1) (2) (3) ... (823) (824) (825) (826) (827) (828) (829) ... (2268) (Reply) (Go Down)
Re: Treasury Bills In Nigeria by Magnifico2000: 1:03pm On Jul 10, 2019 |
Amebo123:You are right. I realised oil price is not falling anymore rather it is pegged around $62-$65 per barrel for the past few months. Perhaps CBN has to be successful with their mop up operations in order for the rates to increase. |
Re: Treasury Bills In Nigeria by Magnifico2000: 1:07pm On Jul 10, 2019 |
Barrytone:Now I'm a bit skeptical about this I-invest app. I hope people have good news about the app 1 Like |
Re: Treasury Bills In Nigeria by Magnifico2000: 1:15pm On Jul 10, 2019 |
CompareDBest:Thank you. See. I prefer doing it with the bank I normally do it with. Just that it is been long I invested in it. So I have lost track of recent happenings. |
Re: Treasury Bills In Nigeria by OgogoroFreak(m): 1:48pm On Jul 10, 2019 |
Magnifico2000:There is no recent happenings. Tbills is tbills, only rate changes. And the new I-invest we have that doesn't give interest upfront. 2 Likes |
Re: Treasury Bills In Nigeria by dxpecial(m): 1:54pm On Jul 10, 2019 |
who can explain the process to which I can invest in treasury bill?? |
Re: Treasury Bills In Nigeria by Magnifico2000: 2:40pm On Jul 10, 2019 |
OgogoroFreak:I wanted to say recent rates. |
Re: Treasury Bills In Nigeria by seun289(m): 2:40pm On Jul 10, 2019 |
Magnifico2000: |
Re: Treasury Bills In Nigeria by Nobody: 2:41pm On Jul 10, 2019 |
dxpecial: Nigerian Treasury Bills: Learn everything about Tbills by Research Team, nairametrics.com July 4, 2019 03:18 AM This article explains how to invest in Nigerian Treasury Bills A beginner guide to investing in treasury bills. Water-down explanation of treasury bills and how to invest in it. Quick tips on how interest is earned and when it is paid to an investor. A run-down on benefits of investing in treasury bills What are Treasury Bills? Treasury Bills are government guaranteed debt instruments issued by CBN on their behalf to finance expenditure. The CBN also uses treasury bills to control money supply in the economy. How are Treasury Bills Sold? Treasury Bills are sold through a bi-weekly auction conducted by the CBN. Buyers are requested to quote bids following which the average minimum bid is selected. Where can I buy Treasury Bills? Treasury Bills can be bought through any official dealer. The easiest this days are through banks’ treasury bill mobile application. A typical example is the Sterling Bank’s i-invest. What is the Minimum Amount I can Buy? Before, you could buy for as low as N10,000 and in multiples of N1,000 thereafter. However, this was increased to N50,000,001 in 2017. This article explains how you can buy treasury bills if you do not have up to N50 million. Though, the minimum for the i-invest mobile application is N100,000. When is it usually sold? Treasury Bills is sold every other Wednesday (bi-weekly) as announced by the CBN. The CBN announces issuances in their websites and in the pages of national dailies. You can also ask your bank account officer to notify you ahead of an issuance. How Can I Buy Treasury Bills? To buy Treasury Bills you will have to approach your bank requesting for a form. You fill the form with your personal information also indicating the amount you want to buy as well has your bid rate. With the advent of banks’ treasury bills mobile application, you are only required to fill a signup form once. BONUS: Follow link to use Nairametrics’ treasury bills calculator What is the bid rate? The bid rate otherwise called your STOP RATE is the likely interest rate that you have indicated to receive for the principal that you investing in the TB’s. For example you can indicate an interest rate of 10% as your expected rate. Your bid rate will most likely be different from that of other intending buyers of TB’s. How is the Bid Rate selected? The CBN selects the bids that fall below the accepted marginal rates. The Marginal Rate is the minimum average rate for bids submitted within a bid window. For example, if the marginal bid rate for a bid opened Wednesday 27 June is 11% then bids falling below this rate will be accepted and those above rejected. [Read Also: This is how to bid for the second Treasury Bills Sale of 2019] What if I don’t have a Bid rate? If you do not have a Stop Rate or you are not sure of a rate you can select the option of having the bank choose a rate for you. However, this does not guarantee that the bank rate will be chosen or will be the best. Can I still buy if my Bid is rejected? You can purchase TB’s from the secondary market Over The Counter (OTC) through a broker. This is also where buyers and sellers of TB’s trade the notes in exchange for cash. What are the durations (tenor) for the TB’s? Treasury Bills are usually for 91 days, 182 days and 364 days. As such, you can have the CBN hold your cash for 91 days, 182 days or 364 days, depending on your choice. However, the CBN can decide they want to sell Treasury Bills for all the tenor available or either of them. BONUS: Follow link to use Nairametrics’ treasury bills calculator Can I sell before Maturity? Yes, you can sell Treasury Bills before maturity. As mentioned above, this can be done through the OTC market. The price at which you sell depends on the forces of demand and supply. For example a N100,000 face value TB maybe selling for less or more depending on the yield expectation of the buyers. If your face value is trading at a higher price, it means you can sell your treasury bills at a profit as such your N100,000 can sell for N101,000 or more. If your face value is trading at a lower price, it means you can sell your treasury bills at a loss as such your N100,000 can sell for N99,000 or less. When is the interest paid? The interest element of a treasury bill is paid to you upfront and credited to your bank account. For example, if you purchase a N100,000 TB with an interest rate of 10% the CBN debits your account with N90,000 as such your N10,000 interest is paid upfront. Upon maturity, you are paid the face value N100,000. The upfront payment of your interest makes your true yield actually higher. What is a True Yield? True Yield is your actual Return on Investment. (ROI). Using the example above, the initial yield for the N100,000 is 10%. However, because they pay you interest upfront your true yield is actually the N10,000 in interest divided by the N90,000 actually deducted from your account. That is N10,000/N90,000 or 11.11%. This is, thus, higher than the 10% coupon. The True Yield is completely earned when you hold to maturity. Can I roll over my investment? The CBN does not rollover your investment automatically. However, you can give your bank a mandate to rollover the principal on your treasury bill upon maturity. You can also get the benefit of compounding interest by asking your bank to reinvest the interest portion of your TB once it is paid. Are Treasury Bills Safe? Treasury Bills are one of the safest forms of investment and are backed by the full faith and credit of the Federal Government of Nigeria. BONUS: Follow link to use Nairametrics’ treasury bills calculator Apart from the Interest Rates, what are the benefits? A good source of steady stream of income. Treasury Bills are a good investment outlet for your free and disposable cash. Treasury Bills are good investments for people who wish to save. Treasury Bills are also tax free. Treasury Bills are very liquid and can be converted to cash quickly. They can be used as a collateral. Are Treasury Bills Taxable? Interest derivable from Treasury Bills are not taxable. 4 Likes |
Re: Treasury Bills In Nigeria by glorie1414: 2:56pm On Jul 10, 2019 |
Go to Post Abuja Jobs on nairaland here. You will see lots of Jobs in Abuja just keep applying for jobs. Again do you have any skill? ajon1: |
Re: Treasury Bills In Nigeria by awesomeJ(m): 2:57pm On Jul 10, 2019 |
Magnifico2000: Whenever the CBN is ready to hike rates, mopping up will happen in a flash. Just one N750bn OMO issuance at 14.5% will do the trick. Buying stocks like ZENITH or UBA at current prices will give you about 17.68% (prorated) in dividends. T-bills discounts will remain sub 12% for the rest of this quarter at least. 1 Like |
Re: Treasury Bills In Nigeria by GodgraciousR: 3:02pm On Jul 10, 2019 |
'' it either they cheated you in the project or you over paid for land a building wort 36m will bring in 1.8 m-2m as annually .....while a building of 20 will bring in 1m .....that 5he hiidden rule (expect if their is wars or external factor like sudden road..'' [color=#000099][/color] You are sure right about this. The cost of building our house at Shagam Ogun state was around 10m, and it brings a little above 600 thousand per annum. It is 2 units of 2bedroomflat and 1unit of 3 Bedroom Flat. |
Re: Treasury Bills In Nigeria by Bamz(m): 3:03pm On Jul 10, 2019 |
awesomeJ: Hypothesis or speculation? awesomeJ: What's the risk associated with buying stocks? Is capital guaranteed? 1 Like |
Re: Treasury Bills In Nigeria by awesomeJ(m): 3:23pm On Jul 10, 2019 |
Bamz: It's called a forecast-one you can bet on. What's the risk associated with buying stocks? Is capital guaranteed?Just about 3: 1. If the banks don't make as much profits as they did last year; 2. If their boards propose lower dividends despite thesame or improved earnings. 3.If you fail to sell at the right time to take profit. |
Re: Treasury Bills In Nigeria by Ibrahim505(m): 3:25pm On Jul 10, 2019 |
zellfoxx:I normally used to pay with debit card and it fails after multiple attempt yesternight. Its the only payment method i have convenience with. |
Re: Treasury Bills In Nigeria by Ibrahim505(m): 3:30pm On Jul 10, 2019 |
lizzypro:You can widraw only to any of your bank account link with your bvn. |
Re: Treasury Bills In Nigeria by ahiboilandgas: 3:48pm On Jul 10, 2019 |
GodgraciousR:600 x 20 years =12 m (building 10m land 2m ) simple 1 Like |
Re: Treasury Bills In Nigeria by annikanyi(f): 3:57pm On Jul 10, 2019 |
Hello Quorax, how do you buy ripple and Ethereum with your btc? Please explain. Do you have to sell the btc first and use naira to buy the other coins? Thanks Quorax: |
Re: Treasury Bills In Nigeria by needful: 4:34pm On Jul 10, 2019 |
awesomeJ: Oga is it at current rate? Wont the stock go down and ur capital vanished. |
Re: Treasury Bills In Nigeria by zellfoxx: 4:45pm On Jul 10, 2019 |
Magnifico2000: From my experience so far with the app, it lools like a total waste of valuable time. After failure on multiple attempts to fund the wallet via internet banking and debit card, I was advised to use their Direct transfer option. On successful transfer to the account stated, the wallet has still not been funded even after receiving confirmation from one of their customer care reps that the money has been received by them...After almost a whole working day. I do hope when its time to withdraw, it won't be another story that touches. I'll just respect myself and walk to a bank to do Tbills because its obvious they are far from ready for massive deployment. 1 Like |
Re: Treasury Bills In Nigeria by awesomeJ(m): 5:07pm On Jul 10, 2019 |
needful: There's a chance those stocks may yet lose 5-10% of their current values based on the current state of the market. But it f you don't panic-sell, there's a higher chance (almost a guaranteed one) that you'll get to make15-20% on them between now and April either via dividends or capital gains. 1 Like |
Re: Treasury Bills In Nigeria by needful: 5:21pm On Jul 10, 2019 |
awesomeJ: Well on that note, I will prefer GTB and Zenith, although this is not the right time to enter them. I pm u, can u get back to me? |
Re: Treasury Bills In Nigeria by Nobody: 5:29pm On Jul 10, 2019 |
glorie1414:Yes I do. I'm very good with the computer. Thanks |
Re: Treasury Bills In Nigeria by aremso(m): 6:47pm On Jul 10, 2019 |
needful: sure banker stocks! |
Re: Treasury Bills In Nigeria by kryptem: 6:48pm On Jul 10, 2019 |
ahiboilandgas: Wisdom and understanding is what makes one wealthy. Mhmmmm.. 2 Likes |
Re: Treasury Bills In Nigeria by OvaSabi1(f): 7:08pm On Jul 10, 2019 |
koonbey: I hope these guys are not running a mini ponzi scheme sha. 3 Likes |
Re: Treasury Bills In Nigeria by OvaSabi1(f): 7:12pm On Jul 10, 2019 |
CompareDBest: This is quite reassuring. I thought they were entering ponzi scheme zone. |
Re: Treasury Bills In Nigeria by lizzypro: 7:43pm On Jul 10, 2019 |
Yhea I mean can I withdraw to any bank that’s not linked to my bvn Ibrahim505: |
Re: Treasury Bills In Nigeria by dipoolowoo: 3:58am On Jul 11, 2019 |
One-Year Treasury Bills Yield Falls 12.95% https://businesspost.ng/2019/07/11/one-year-treasury-bills-yield-falls-12-95/ |
Re: Treasury Bills In Nigeria by Bamz(m): 10:06am On Jul 11, 2019 |
OvaSabi1: Lol then what would you say about MBA FOREX that offers 20% in a month?
|
Re: Treasury Bills In Nigeria by Jejebabaa: 10:40am On Jul 11, 2019 |
GodgraciousR: Please which year was this building built and what was the finishing taste like. Was the house fenced, interlocked, litespan or Auminium roofing sheet, was the rooms tiled cos i spent almost 3.5M alone on tiles for the building not to talk of POP, wardrobes for each rooms, kitchen cabinets and the likes. |
Re: Treasury Bills In Nigeria by Bennycollins: 11:09am On Jul 11, 2019 |
My acct just credited with my capital. I am looking to do a 182days and need to know the highest possible rate currently, whether P or S. Thanks in advance for helpful responses . |
(1) (2) (3) ... (823) (824) (825) (826) (827) (828) (829) ... (2268) (Reply)
Nigerian Stock Exchange Market Pick Alerts
Viewing this topic: 3 guest(s)
(Go Up)
Sections: politics (1) business autos (1) jobs (1) career education (1) romance computers phones travel sports fashion health religion celebs tv-movies music-radio literature webmasters programming techmarket Links: (1) (2) (3) (4) (5) (6) (7) (8) (9) (10) Nairaland - Copyright © 2005 - 2024 Oluwaseun Osewa. All rights reserved. See How To Advertise. 66 |