The Philippines will again issue to the public retail treasury bonds or RTBs as a way of raising funds. The good thing with this debt instrument is that individual investors may have the opportunity to avail of this product because RTBs are sold in retail and do not require huge cash outlay.
In fact, minimum investment is only P5,000 (US$120), with additional investments also in multiples of P5,000 — making RTBs more accessible to the average Filipino investor.
It’s amazing how a simple 140-character tweet could help one unknown stock skyrocket in price. Of course, it helps if that post was twitted by a celebrity like rapper 50 Cent.
This was exactly what happened last week when 50 Cent’s tweets about a relatively unknown company — H & H Imports Inc. (HNHI) — sent the company’s stock price surging 290% in just one day.
The auction of the Philippine government’s P5 billion worth of Retail Treasury Bonds (RTB) is scheduled today. What are RTBs? The Retail Treasury Bond (RTB) … Read More
The Philippines’ largest bank, Metropolitan Bank and Trust Co. (Metrobank), is expected to offer to the public more than P10 billion worth of high-yield time deposit products after the Bangko Sentral ng Pilipinas (BSP) appoved last week the bank’s planned offering of long-term negotiable certificates of deposits (LTNCD).
What are LTNCDs?
Long-term negotiable certificates of deposits (LTNCDs) are peso-denominated negotiable certificates of deposites that usually mature after five years.
The Development Bank of the Philippines (DBP) recently issued P6.5 billion worth of unsecured and subordinated tier 2 notes with a 7.75% coupon rate.
The notes mature in 10 years but have a step-up rate on its fifth year. This means DBP can redeem the notes on the fifth year or else it will have to increase the coupon rate.
Proceeds of the debt issuance will provide working capital to the bank and also increase its capital adequacy ratios.
What is a tier 2 note?
I was visiting various banks yesterday scouting for a good housing loan package when I chanced upon an announcement at the Development Bank of the … Read More
