How to Buy Federal Government Treasury Bills

Federal Government Treasury Bills – Treasury Bills are a good means of saving money, and if you refer to my piece on ‘financial literacy,’ this is one of the most stress-free ways of saving money, as well as a good source of continuous stream of income.

Treasury Bills are a wonderful investment for savers and a good place to put your free and disposable income.

Treasury bills can be used to generate a lot of money.

Treasury Bills are discount securities, so named because the investor receives his or her interest in advance. This means that the interest due on a T-bill instrument is due on the day the investment is made. As an example,

When an investor invests N100, 000 in a T-bill that promises a 10.0 percent annual return, the investor pays just N90, 000 on the day of investment but receives N100, 000 at maturity. Face value (N100, 000) refers to the maturity value, whilst discount value (N90, 000) refers to the initial investment.

Is it safe to buy Treasury bills?

Treasury Bills are one of the safest types of investment because they are guaranteed by the Federal Government of Nigeria’s complete guarantee.

When are Treasury bills’ interest payments made?

A treasury bill’s interest component is paid to you in advance and credited to your bank account. That is, you receive money on the same day that you invest in it. For example, if you buy a 100, 000 TB with a 10% interest rate and your account is debited with N90, 000, N10, 000 interest is paid up front. You will be paid the face amount of? 100,000 when the bond matures. Simply said, once the investment time has ended, you will be reimbursed for your initial commitment of N100, 000.

Is it possible for me to sell my T-Bills investment that I made on this platform to another investor?

No, our platform does not allow you to sell T-Bills before they reach maturity.

Is it possible to roll over my investments?

This platform does not allow you to roll over your investment.

What are the tenors (durations) of Treasury bills?

The tenors and rates are constantly available on the site, according to the bank’s recommendations.

What is the smallest quantity I can purchase?

This platform is used by 100,000 people, and a maximum of 5,000,000

What are my options for purchasing Treasury Bills?

Simply go to your bank and speak with the manager or account officer; you will be given all of the information you require to get started, in addition to this article.

Treasury bills, often known as T-bills, are government-issued securities issued by the Central Bank of Nigeria. You are essentially lending money to the government when you purchase one. The phrase “security” refers to any investment vehicle, such as T-bills.

There are no restrictions, and everything is safe.

Because they are backed by the Nigerian government, Treasury bills are one of the safest forms of investing in the world. They are thought to be risk-free. Many other governments throughout the world utilise them as well.

Conclusion

Invest in Treasury Bills today and you will be glad you did. We welcome your feedback and questions, and if you find this information useful, please share it with your friends and family.

Source: Nyscinfo

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