maka wrote:Ryko wrote:Taurrus wrote:[quote=Ryko]this calculation looks great.
Someone kindly share with me a link or a guide on how i can apply for the above bond(the procedure), can it be done online or i must go to Central Bank.Got some idle cash and this looks worth
https://www.centralbank.go.ke/securities/[/quote]
Thanks Taurrus, i appreciate tomorrow heading to the CBK to make my application. I have been in the money market wave looks gloomy i am switching to Bonds.
I have one final question, if anyone would mind explaining i will appreciate.
Scenario: Assuming i apply for a 3M Bond (5 years) after 4 years i wish to get all my money back. Will i loose any intrest?? what do i stand to loose if i redeem halfway?. I sincerely did not understand the secondary market bit.
The one year you held the bond you will receive interest payment semi annually...when you want to sell it you do so at the secondary market where yields are determined by the current interest rate environment...plus its a negotiation between different dealers in the market..3M will be considered an odd lot and you might be nyolewad quite a bit on selling.
@Maka 5 years is damn looonngg, i might just land a Nairobian "wow-man" and in 11 months she might tell me she has my triplets yet nilizika saving ya 3M
1. There are bonds i see written 20 years but redeemable every 5 years, does it mean i can invest in that and get all my cash out after 5 years without the secondary stuff?
2. For any experienced Wazuan: I have noted once you bids for the bond you have to waits for results. (a rough calculation if you bid for 3M what is the likely amount CBK can accept? ). Just a rough estimate
Finally, I think the 2 years option is the best so far, 5 years is for cash that one will never need. Its best to assume that cash disappeared. Secondary market is a "No" go zone. With this precaution in my head i think i dip my legs in.
I work so I can afford the amount of alcohol required to continue going to work