On the eve of the fourth of july, the daily economic news reporter found that information about counter-purchases of national debt had begun to be available in the circle of friends。
It is also free to use it for risk-free earnings and to earn a little subsidy, a small benefit for shareholders。
It's starting to blow up
In recent years, repurchases of national debt have continued to take hold as a financial lever, and the current situation with the bank’s property and the imf has gained momentum in the short-term financial markets。
The repurchase of the national debt, as a type of investment, is particularly intense at the end of the season, at the end of the year and before the big holidays. The return rate for repurchases of the national debt is clearly high and the reverse buy-back operation is quickly on fire whenever the financial situation of the market is relatively tight towards the end of the season and the end of the year。
The daily economic news reporter noticed that, just a few days before the national holiday, the variety was on fire again
Over the past two days, in the circle of journalists, information about repurchases of national debt began to increase, and many coupons brokers began to work to promote repurchases of national debt。
“on the eve of the fourth of july, the repurchase of the national debt will be ready. Every year we get a very high payoff before the fourth of july。
At the same time, journalists noted that recently it was the best opportunity to buy back the national debt. In the next two days, 14 days of interest will be available for the sale (of loans) of a 7-day national debt in reverse purchase. Repurchase interest is 12 days for the four-day sale (sending of funds) and 13 days for the seven-day sale; 11 days for the four-day sale (sending of funds) and 12 days for the seven-day sale。
On the other hand, 30 september was the last trading day prior to the national holiday, according to the interest-bearing method, and it would be the least cost-effective to repurchase the national debt on that date, with interest earned only one day。
It's safe to repurchase the national debt, and it's very profitable
Many people are no longer familiar with repurchases of national debt。
The whole of the repurchase of the national debt is referred to as a “bond pledge repurchase”, which is commonly referred to as lending your idle money at a certain interest rate, for a certain period of time, as collateral for bonds, as interest due, and as guaranteed by the national clearing agency. These are flexible short-term periods, and there are currently multiple varieties of 1 day, 2 days, 3 days, 4 days, 7 days, 14 days, 28 days, 91 days and 182 days。
According to the data, the counter-purchase of the national debt deposited at the institute began at $100,000, while the deep-term bond started at $1,000. Specifically, the market threshold is 100,000 yuan, with a maximum of 10 million yuan over a full number of times. The deep market threshold is 1,000 yuan, multiplied by 1,000 dollars in whole, with no ceiling。
Journalists have learned that there are many advantages to repurchase the national debt, the first being good security and almost zero risk。
As a matter of principle, there is little risk of default where funds cannot be returned, since the pledge is the highest-value, most liquid bond in the market and the process is regulated by an exchange and secured by a clearing house. At the same time, once a transaction is made at the established interest rate, the proceeds can be locked and the customer no longer bears market risk. The counterparty to the reverse purchase of the national debt is the settlement centre, which advances the funds if the financier fails to pay on time. Other investments can be made upon the arrival of funds, with the best liquidity and largest volume of transactions being repurchased on a one-day basis。
Second, the return on repurchase of national debt is also high. It is precisely this that the repurchase of national debt has been favoured by marketers。
In terms of returns, the average annualized gain of 3 per cent - 5 per cent on repurchase of national debt is generally higher than the bank's one-year term deposit rate, and the shorter the borrowing period, the more likely it is to yield higher returns. The interest rates on borrowing against repurchases of national debt are fully marketable and are affected by the supply-demand relationship. In general, when market funds are strained at the end of the month, the end of the season and the end of the year, the return on repurchases of the national debt will rise sharply. The rate of return on repurchases of national debt was even more significant in some special periods, such as on 28 december 2017, when the highest annualized rate of return on repurchases of one day's repurchase of national debt rose to 72 per cent。
How many operational skills have the government repurchased
1. Who is fit to repurchase the national debt
Individual investors who do not meet current interest on banks and are afraid of risk; enterprises with sufficient liquidity。
In general, the return rate on long-term national debt is low. However, with the end of the season and the end of the year, the return on the repurchase of the national debt is likely to surge further, with the highest annualized returns recorded at 97 per cent。
3. Unlike stock transactions, repurchases of national debt do not take the risk of price volatility after a transaction, and the price at the time of the transaction determines the return。
4. The financial threshold for repurchases of national debt is required, with the city increasing in whole times from $100,000 to $1,000 in the deep market, and the market may be selected if the money is small or insufficient。
5 cost: the rate varies from 0. 001 per cent to 0. 03 per cent, depending on the number of days held, and the value of the commission for the repurchase of the national debt for the first, second, third and fourth days is $100,000 per day, and the commission is very low。
6. The gain calculation formula for the reverse purchase of the national debt is a gain = the amount of the transaction x the exchange rate x the number of days of interest = 365. The transaction rate here is the rate of return on the transaction and the number of days of interest is the actual number of days of payment。
Why is the return rate of repurchases of national debt particularly high
The seasonal character of the change in our mobility is more evident because of the effects of regulatory tests and holidays. In general, at the end of the month and at the end of the season, market liquidity tends to be tight and interest rates on repurchases of national debt tend to be higher, especially at the end of the season and at the end of the year, when they coincide with holidays。
