Btp Value, fee countdown. The precedent of 654 thousand contracts | EUROtoday

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Countdown for the brand new BTp Valore. On Friday 23 February the Treasury will talk the minimal assured fee of the bond, which shall be positioned from 26 February to 1 March. This challenge – which could have a length of 6 years – is devoted completely to small savers and offers coupons paid each three months with pre-established and growing returns over time, based mostly on a “step up” mechanism of three+3 years, and a remaining premium loyalty charge of 0.7% for many who buy it in the course of the placement days and maintain it till maturity.

The precedent of 654 thousand contracts

This is the third BTp Valore positioned by the Treasury. The first two recorded nice curiosity from the general public. The first challenge – which dates again to June 2023 – raised over 18 billion euros, a consequence that set a brand new report each when it comes to complete worth raised and the variety of contracts (654,675).

The BTp Valore 2 – issued final October – got here near the earlier report by elevating 17.23 billion from small savers. Will BTp Valore 3 be capable of beat the report? It just isn’t the objective however it’s attainable that demand shall be as excessive as in earlier editions. We'll discover out subsequent week. Much will depend upon the speed. At the second, on the secondary market, BTPs with a 6-year maturity – which can be utilized as a benchmark to get a tough estimate of the speed of the brand new instrument – are priced at a yield of three.5%. If Tesoro desires to draw extra clients it must place itself somewhat increased, internet of the aforementioned loyalty bonus.

Fixed fee with growing coupons

What distinguishes BTp Valore from BTp Italia? Unlike the BTp Italia, the BTp Valore just isn’t linked to inflation. It is a set fee safety that provides growing coupons over time however whose yield just isn’t linked to the motion of inflation.