Btp Italia quotation: 3 news for the 2020 issue

The Treasury has not set any limit on the amount of the 2020 issue which kicks off on Monday 18 May: on the contrary, to attract savers it has doubled the loyalty bonus – To find your way around the rates, here are the yields of each Italian BTP

Btp Italia quotation: new wave of securities arriving. The first 2020 issue of multi-year inflation-linked treasury bills will kick off on Monday, May 18, and the funds raised will be used for government-imposed deficit spending.coronavirus emergency. As always, the quotation of the Btp Italia will be divided into two phases: for the first three days (18-20 May) the bonds will be purchasable only by individual savers (market retail), while on the 21st it will be the turn of institutional investors. Compared to the previous issues of Btp Italia, however, there are three innovations to keep in mind.

[Laws the instructions of the Ministry of Economy on Btp Italia]

BTP ITALIA LISTING: NO LIMITS FOR THE 2020 ISSUE

First of all, there is no possibility of early closure of the auctions. It means that the Treasury, in order to maximize collection, does not set limits on the amount of securities that can be placed on the market. Investors will therefore be able to move in complete tranquility: there is no need to arrive before the others, there is something for everyone.

LISTING OF BTP ITALIA: LOYALTY BONUS DOUBLED

Secondly, the Ministry of the Economy has doubled the "loyalty bonus" for savers who will keep the Btp Italia issued in May 2020 until maturity. The bonus goes from 4 to 8 per thousand, i.e. from 0,4 to 0,8 percent. Calculator in hand, anyone who invests 10 euros and never touches them again receives a tip of 80 euros at the end of the period, which obviously adds up to the yield on the bonds.

BTP ITALIA LISTING 2020: 5 YEAR MATURITY

The third novelty concerns the duration of the securities, which for the first time have a 5-year maturity. Until now, the life of Btp Italia has been measured only in even numbers: 4, 6 or 8 years.

BTP ITALIA PURCHASABLE THROUGH HOME BANKING

Given the need to limit travel due to the coronavirus, the Treasury recalls that to buy Btp Italia it is sufficient to use the online trading service now offered by all credit institutions through thehome banking. It is therefore not necessary to go to the bank or post office branch where you have a securities account.

BTP ITALIA LISTING: ALL YIELDS

But what could be the price of the Btp Italia in May 2020? To clarify the context in which we operate, here are all the yields offered by the Treasury in the previous 15 Btp Italia issues:

BTP ITALY 26 MARCH 2012 – 26 MARCH 2016 – Real gross annual interest: 2,45% payable semi-annually on 26 March and 26 September of each year.
BTP ITALY 11 JUNE 2012 – 11 JUNE 2016 – Real gross annual interest: 3,55% payable semi-annually on 11 June and 11 December of each year.
BTP ITALY OCTOBER 22, 2012-2016 – Real gross annual interest: 2,55% payable semi-annually on 22 April and 22 October of each year.
BTP ITALY 22 APRIL 2013-2017 – Real gross annual interest: 2,25% payable semi-annually on 22 April and 22 October of each year.
BTP ITALY November 12, 2013-2017 – Real gross annual interest: 2,15% payable semi-annually on 12 May and 12 November of each year.
BTP ITALY November 12, 2013-2017 – Real gross annual interest: 1,65% payable semi-annually on 23 April and 23 October of each year.
BTP ITALY OCTOBER 2014-2020 – Real gross annual interest: 1,25% payable semi-annually on 27 April and 27 October of each year.
BTP ITALY OCTOBER 2014-2020 – Real gross annual interest: 0,50% payable semi-annually on 20 April and 20 October of each year.
BTP ITALY - NINTH ISSUE – Real gross annual interest: 0,40% payable semi-annually on 11 April and 11 October each year.
BTP ITALY - TENTH ISSUE – Real gross annual interest: 0,35% payable semi-annually on 24 April and 24 October of each year.
BTP ITALY - ELEVENTH ISSUE – Real gross annual interest: 0,45% payable semi-annually on 22 May and 22 November of each year.
BTP ITALY - TWELFTH ISSUE – Real gross annual interest: 0,25% payable semi-annually on 20 May and 20 November of each year.
BTP ITALY - THIRTEENTH ISSUE – Real gross annual interest: 0,55% payable semi-annually on 21 May and 21 November of each year.
BTP ITALY - FOURTEENTH ISSUE – Real gross annual interest: 1,45% payable semi-annually on 26 May and 26 November of each year.
BTP ITALY - FIFTEENTH EDITION – Real gross annual interest: 0,65% payable semi-annually on 28 April and 28 October of each year.