Treasury bills – Westie Lovers http://westielovers.com/ Tue, 30 Nov 2021 22:04:21 +0000 en-US hourly 1 https://wordpress.org/?v=5.8 https://westielovers.com/wp-content/uploads/2021/03/cropped-icon-32x32.png Treasury bills – Westie Lovers http://westielovers.com/ 32 32 Will SNAP benefits for December be paid without an extension of the debt ceiling? https://westielovers.com/will-snap-benefits-for-december-be-paid-without-an-extension-of-the-debt-ceiling/ Tue, 30 Nov 2021 21:35:04 +0000 https://westielovers.com/will-snap-benefits-for-december-be-paid-without-an-extension-of-the-debt-ceiling/ hapabapa / iStock.com Congress is running out of time to avoid a government shutdown. Lawmakers have until the December 3 deadline to raise the debt ceiling before the United States defaults on its debt (although the estimate was recently revised to December 15 by Treasury Secretary Janet Yellen). Many wonder if a government shutdown will […]]]>

hapabapa / iStock.com

Congress is running out of time to avoid a government shutdown. Lawmakers have until the December 3 deadline to raise the debt ceiling before the United States defaults on its debt (although the estimate was recently revised to December 15 by Treasury Secretary Janet Yellen). Many wonder if a government shutdown will impact federal benefits in December, especially those who depend on payments to pay bills, buy food and other essentials, and secure health care.

Government shutdown 2021: could social security checks in December be affected?
Explore: Will Biden’s Build Back Better Plan Increase National Debt? Yellen says no

This has been particularly troubling for families who rely on the Supplemental Nutrition Assistance Program (SNAP), which is the country’s most essential anti-hunger program. According to the latest government data, around 42 million families depend on the SNAP program to feed their homes. SNAP benefit amounts are updated annually based on the cost of the Thrifty Food Plan, one of four food plans designed by the USDA that estimate the cost of healthy eating at various price points.

According to the Center on Budget and Policy Priorities, SNAP and child nutrition beneficiaries face a major risk in the event of a government shutdown, primarily due to the program’s funding structure. This was evident after the month-long shutdown in December 2018.

The Department of Agriculture has asked states to prematurely issue SNAP benefits for February 2019. Had the shutdown continued, USDA had suggested that SNAP benefits would have been about half of those of SNAP. March 2019. In addition, 5 million SNAP households experienced a gap of more than 40 days between monthly payments.

Related: Don’t Qualify For SNAP? Dietary supplementation program could help the elderly to nourish themselves

However, safeguards are in place to ensure that the SNAP benefits disappear in the event of a shutdown, at least temporarily.

The USDA Food and Nutrition Service has a contingency plan in the event that it closes due to insufficient funds. The plan calls for continued essential federal activities and funding, such as SNAP, but that plan only covers days after the shutdown begins.

In a letter to lawmakers earlier in November, Treasury Secretary Janet Yellen wrote that the federal government has until December 15 to pay its bills. After that, there are “scenarios in which the Treasury would find itself with insufficient remaining resources to continue funding US government operations beyond that date.”

Government shutdown 2021: these services will be inaccessible if the debt ceiling is not raised by December 15
Learn: How Social Security, Wage Hikes, and the SNAP Program Will Reduce Inflation in 2022

The two parties must agree on an interim measure by Dec. 3 to continue funding federal operations.

More from GOBankingTaux

This article originally appeared on GOBankingRates.com: Government Shutdown 2021: Will SNAP Benefits for December be Paid Without Debt Ceiling Extension?

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Gross borrowing reached 2.7 trillion pesos https://westielovers.com/gross-borrowing-reached-2-7-trillion-pesos/ Sun, 28 Nov 2021 16:35:20 +0000 https://westielovers.com/gross-borrowing-reached-2-7-trillion-pesos/ NB FILE PHOTO The national government’s gross borrowing had reached 2.7 trillion pesos by the end of October as it continued to raise funds for its pandemic response, preliminary data from the Treasury Office (BTr) showed. Gross borrowing in the first 10 months decreased by 6% compared to the previous year. Since the start of […]]]>
NB FILE PHOTO

The national government’s gross borrowing had reached 2.7 trillion pesos by the end of October as it continued to raise funds for its pandemic response, preliminary data from the Treasury Office (BTr) showed.

Gross borrowing in the first 10 months decreased by 6% compared to the previous year.

Since the start of the year, government debt has represented 91% of the 3 trillion PPP borrowing plan for the year as a whole. In October alone, the Treasury borrowed 145.78 billion pesos.

Making up the bulk of the total, gross domestic borrowing stood at 133.73 billion pesos that month, 19.9% ​​lower than 166.95 billion pesos in September.

In the same month, treasury bills (treasury bills) resulted in a net repayment worth 37 billion pesos, while 89.89 billion pesos of fixed rate treasury bonds (treasury bonds ) have been sold.

The Treasury repaid 52.7 billion pesos in October.

For the FiIn the first 10 months of the year, gross domestic borrowing amounted to 2.29 trillion pesos.

Meanwhile, gross external borrowing reached P12.049 billion in October, about half of the P24.169 billion posted last year. It was down 75% from September borrowings of 48.156 billion pesos.

October’s total consisted entirely of foreign project loans and there were no foreign program loans.

Total gross borrowing from foreign creditors fell 9.7 percent to 518.71 billion pesos in the first 10 months, from 574.44 billion pesos a year earlier.

The BTr raised 146.17 billion pesos from global bonds, 121.97 billion pesos from euro-denominated banknotes and 24.19 billion pesos from Japanese yen-denominated securities. It also contracted 139.98 billion pesos in program loans and 86.41 billion pesos in project loans.

The government has so far repaid 223.93 billion pesos of its outstanding external debt, which translates to 294.78 pesos of net external borrowing for the 10-month period.

The government is borrowing from local and foreign creditors to finance the budget deficit that has widened since last year after a coronavirus pandemic crippled the economy and reduced tax revenue.

This year’s budgetFicit is expected to reach 9.3% of gross domestic product (GDP). – JPI

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Mexican senators circulate bill to legalize marijuana, with vote expected in weeks https://westielovers.com/mexican-senators-circulate-bill-to-legalize-marijuana-with-vote-expected-in-weeks/ Fri, 26 Nov 2021 18:04:43 +0000 https://westielovers.com/mexican-senators-circulate-bill-to-legalize-marijuana-with-vote-expected-in-weeks/ A bill to legalize and regulate sales of marijuana in Mexico is circulating among senators, and a senior lawmaker has said the plan is to vote on the proposal by December 15. While the legislation has yet to be officially presented, the draft measure largely reflects an earlier version passed by the Senate late last […]]]>

A bill to legalize and regulate sales of marijuana in Mexico is circulating among senators, and a senior lawmaker has said the plan is to vote on the proposal by December 15.

While the legislation has yet to be officially presented, the draft measure largely reflects an earlier version passed by the Senate late last year, with some revisions.

Senate Majority Leader Ricardo Monreal Avila of the ruling MORENA party has pushed for reform and recently said there was an agreement among key lawmakers to prioritize legislation to regulate cannabis .

Mexico’s Supreme Court ruled almost three years ago that the country’s ban on personal possession and cultivation of cannabis was unconstitutional. Lawmakers were then forced to pass the policy change, but have since been unable to reach consensus on legislation to put regulations in place for a marijuana program.

At the request of lawmakers, the court agreed to extend its deadline for Congress to formally end the ban on multiple occasions. But due to repeated unsuccessful attempts to meet those deadlines, judges ultimately voted to end the criminalization themselves in June.

Monreal has previously said the stage is set for lawmakers to pass a marijuana legalization bill in the new session after several attempts in recent years have failed to cross the finish line.

Under the bill currently in circulation, adults 18 and older would be allowed to purchase and possess up to 28 grams of marijuana and grow up to six plants for their personal use.

Members of the Senate health and justice committees were asked to formulate the cannabis bill.

The text of the measure specifies that the aim of the reform is to promote “public health, human rights and sustainable development” and “to improve the living conditions of people living in the United Mexican States. “.

It would also “prevent and combat the consequences of problematic psychoactive cannabis use and help reduce the incidence of drug trafficking crime, promoting peace, security and well-being. individual and community ”.

Regulators would be responsible for developing separate rules to regulate cannabis for adult use, research and industrial production.

The bill would establish a Mexican Institute for the Regulation and Control of Cannabis, which would be a decentralized body under the Ministry of Health. He would also be responsible for licensing, overseeing the program, and promoting public education campaigns around marijuana.

Retail licenses are expected to be issued within 18 months of enactment of the law.

In order to “compensate for the damage generated by the ban,” the bill states that at least 40 percent of marijuana cultivation licenses should go to communities most affected by the criminalization of cannabis for at least the first five years. implementation. After this point, at least 20 percent of licenses should be reserved for equity applicants.

After the Supreme Court independently struck down the ban earlier this year, lawyers stressed that the ruling underscores the need for lawmakers to swiftly adopt a measure to implement a comprehensive system of legal and regulated sales. They want to ensure that a fair market is established, that it tackles the evils of criminalization on certain communities and that it promotes personal freedom.

Advocates are happy to see Senate leaders take seriously the need to establish regulations and provide access to cannabis for adults, but they have identified some provisions as problematic.

For example, possessing more than 200 grams of marijuana can still result in jail time.

Senate President Olga Sánchez Cordero, who previously held a cabinet-level position in the administration of President Andrés Manuel López Obrador, recently declared that “there is no more room for prohibitionist politics”. And she also says the influence of the United States is to blame for the failed marijuana criminalization laws in her country.

The Senate approved a legalization bill late last year, then the Chamber of Deputies made revisions and passed it in March, sending it back to the original chamber. A few Senate committees then passed and authorized the amended measure, but leaders quickly began to point out that certain revisions made the proposal unworkable.

After the Chamber of Deputies previously approved the Senate legalization bill, senators said the revised proposal was in critical internal conflict – over provisions regarding legal possession limits, the definition of hemp and other matters – and lawmakers themselves could be subject to criminal liability if it entered into force as drafted.

But Monreal said in April that if the court issues a declaration of unconstitutionality before a measure to regulate cannabis is approved, it will cause “chaos.”

The senior senator also spoke of the importance for lawmakers to take their time to craft good policies and not rush into the midst of lobbying the interests of the tobacco and pharmaceutical industries.

“We must not allow ourselves to be pushed by interests,” he said at the time. “The Senate must act with great caution in this matter. “

Senator Eduardo Ramírez Aguilar of the MORENA party said in April that “at this time it is important to legislate in the terms presented to us” and then to consider further revisions of the cannabis laws through drafts. subsequent laws.

This is the position many legalization advocates have taken as well, urging lawmakers to pass a flawed bill immediately and then work on fixing it later.

The Mexican president said in December that the vote on legalization legislation had been delayed due to minor “errors” in the proposal.

The legalization bill authorized a mixed group of Senate committees before the full vote in that chamber last year, with some amendments made after members informally reviewed and debated the proposal in a meeting. virtual hearing.

Members of the Senate committees on justice, health and legislative studies also approved an earlier version of legal cannabis legislation last year, but the pandemic has delayed consideration of the matter. Senator Julio Ramón Menchaca Salazar of the MORENA party said in April that legalizing cannabis could fill the treasury coffers as the economy recovers from the health crisis.

As lawmakers scramble to push reform legislation forward, some members and activists have been more light-hearted in calling attention to the issue. This push mainly involved the planting and donation of marijuana.

At the end of last year, Sánchez Cordero, then a senior administration official, was offered a cannabis plant by the senator in the Senate, and she said she would make it part of her personal garden. .

Another lawmaker gave Sánchez Cordero a joint of marijuana on the floor of the Chamber of Deputies in 2019. This joint is now framed and hung in his office.

Cannabis made another appearance in the legislature last year, when Senator Jesusa Rodríguez of the MORENA party decorated her office with a marijuana plant.

Advocates for drug policy reform have also grown hundreds of marijuana plants outside the Senate, pressuring lawmakers to keep their promises to advance legalization.

Read the marijuana legalization bill circulating in the Mexican Senate below:

Taliban announce deal to grow cannabis in Afghanistan amid questions over company involvement

Marijuana Moment is made possible by the support of readers. If you rely on our cannabis advocacy journalism to stay informed, please consider a monthly Patreon engagement.

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After Thanksgiving, Congress has a busy December https://westielovers.com/after-thanksgiving-congress-has-a-busy-december/ Wed, 24 Nov 2021 19:34:00 +0000 https://westielovers.com/after-thanksgiving-congress-has-a-busy-december/ Members of Congress at home for the Thanksgiving vacation may want to consider fueling up with an extra serving or two of their favorite holiday foods – with a plethora of deadlines and decisions awaiting them at their doorstep. back in Washington, they may need an extra boost of energy. In the remaining weeks of […]]]>

Members of Congress at home for the Thanksgiving vacation may want to consider fueling up with an extra serving or two of their favorite holiday foods – with a plethora of deadlines and decisions awaiting them at their doorstep. back in Washington, they may need an extra boost of energy.

In the remaining weeks of the year, members of Congress must deal with a few crucial issues ahead of the New Year:

  • First, the Senate must pass and pass the Fiscal Year 2022 Military Expenditure Bill, which was passed by the House in September.
  • After that, Congress must pass a bill to fund the government beyond December 3.
  • Next, Congress must reach an agreement on the debt ceiling by December 15 to prevent the nation from defaulting on its debts.
  • And meanwhile, Senate Democrats plan to take back President Joe Biden’s $ 1.85 trillion social spending and climate change bill, the Build Back Better Act.

All of this as the mid-terms of 2022 and oversight of Congress looms on the horizon.

This is no small feat for a Congress, let alone one as divided and agitated as this one.

Military spending

The military spending bill – the National Defense Authorization Act (NDAA) – was passed by the House of Representatives in September with a largely bipartisan vote of 316-113.

Congress passed the NDAA for six consecutive decades under Republican and Democratic control, including in 2021, when then-President Donald Trump vetoed the bill. The Republican president rejected the bill because it did not repeal a 1996 internet communications law that protects online speech, but the House and Senate both overturned Trump’s veto – a first for his presidency – in a bipartite manner.

The Senate voted last week to push the defense bill forward in a bipartisan fashion, 84-15, after negotiations to include anti-China competitiveness legislation by Senate Majority Leader Chuck Schumer delayed the vote.

Schumer dropped the provision after he and House Speaker Nancy Pelosi, D-Calif., Reached a deal to reconcile the Competitiveness Bill, and the Senate voted to move on to debate on the Bill. Defense spending law of $ 780 billion.

But lawmakers are still haggling over a mountain of amendments to the bill, which could continue to slow proceedings. Lawmakers are scrambling to negotiate a deal that would make amendments more concise, leading to a swift passage.

POLITICO reported this week that U.S. allies voiced concerns to lawmakers at a Canada security forum over the weekend that the bill has yet to pass and may not be enacted until. the end of the year. Democrats and Republicans have been frustrated with the delays.

“Don’t mess up the one thing you can count on the Senate to do in a bipartisan fashion every year,” said Sen. Tim Kaine, D-Va., According to the outlet. “A Senate that cannot do this hardly deserves this title. “

Mississippi Senator Roger Wicker, a Republican, noted that the bill had passed much earlier in recent years: “There were many of us …

Debt limit and public funding

Congress must also take swift action to tackle the debt ceiling and fund the government.

In October, Congress passed a short-term measure to fund the government until December 3 and increase the debt limit by $ 480 billion, avoiding both a shutdown and the United States’ default on payments. the first time in their history.

But kicking the box down the road, so to speak, only bought lawmakers two months before they had to deal with both issues again.

Treasury Secretary Janet Yellen warned last week that the federal government would not be able to meet its financial obligations after December 15 unless Congress votes to raise or suspend the debt limit.

“To ensure the full confidence and credit of the United States, it is essential that Congress increases or suspends the debt limit as soon as possible,” Yellen wrote in a letter to President Pelosi.

Yellen previously warned that if the federal government could not pay its bills, defaulting for the first time in its history, it would likely trigger a “historic financial crisis,” which would include soaring interest rates, falling prices. stocks, the country going into recession and millions of jobs lost.

It could also mean that the elderly are not collecting Social Security checks, troops are not paid, and families are not receiving child tax credits.

In his letter, Yellen explained that the new infrastructure law signed by President Joe Biden on Monday allocates $ 118 billion to be transferred to the Highway Trust Fund by December 15. These funds are then invested in non-negotiable Treasury securities subject to the debt limit. .

“While I have a high degree of confidence that the Treasury will be able to fund the U.S. government until December 15 and complete the Highway Trust Fund investment, there are scenarios in which the Treasury would end up with insufficient remaining resources to continue funding US government operations beyond that date, ”Yellen wrote.

As they did in October, Republicans again urged Democrats to go it alone to raise the debt ceiling, telling them to include an increase in social spending from President Biden and the Build Back Better bill. on climate change.

However, Congress has steadily increased or suspended the debt limit, regardless of the party chairman in the White House. Democrats noted that they voted with Republicans three times to do so under former President Donald Trump.

Rebuild Better act

After months of debate and deliberation, the House of Representatives passed President Biden’s nearly $ 2 trillion climate change and social spending bill last week, the Build Back Better Act.

Along with the $ 1,000 billion infrastructure bill, the sweeping measure includes funding for universal preschool, lowering prescription drug costs and the largest legislative investment ever to fight climate change. It will be funded in large part by a combination of tax increases on the wealthiest Americans, large corporations, and companies doing business abroad.

Even after all the haggling and back and forth between lawmakers, the bill’s initial passage through the House might end up being the easiest part.

The bill is now in the hands of the Senate, where it faces a long way – including the need to convince moderate Senators Kyrsten Sinema, D-Ariz., And Joe Manchin, DW.Va., and survive Senate budgetary reconciliation. process, which means that further changes could be made to the massive measure.

First, the bill must go through what is called a “Byrd Bath” process – named after the late West Virginia Senator Robert Byrd – under which the provisions of the bill will be reviewed under obscure chamber budget rules to see if they can stay in the bill.

Certain provisions of the bill, which are probably popular, will undoubtedly be deleted if they do not correspond to these rules. These could include provisions on immigration, which the Senate parliamentarian – the non-partisan arbiter of chamber rules – has already rejected.

Then the bill will go through the “vote-a-rama” process, whereby lawmakers can propose dozens and dozens of amendments, many of which will likely fail, but could delay the process and force tough votes. .

After all of this, the final version of the Senate bill must be reconciled with the House, which could prove difficult with such a tenuous and delicate deal between the Democrats, with their slim majority in Congress.

But the White House’s chief economic adviser and Senate Majority Leader both expressed optimism on Sunday that Biden’s Build Back Better bill would clear the Senate and come to his office to be signed. .

Appearing on “Fox News Sunday,” White House National Economic Council director Brian Deese said the Biden administration will work with “all members of the Senate” as Democrats try to find a compromise and make advance the president’s bill through the equally divided chamber.

Deese said that despite the concerns of moderate Democrats, the Build Back Better law contains provisions that are popular with the whole party, such as reducing the cost of child and elderly care.

“We have broad agreement on these provisions,” Deese said on Sunday. “And so I expect that as we move forward to the Senate, we will have a lot of momentum.”

Speaking at a press conference on Sunday, Senate Majority Leader Chuck Schumer, DN.Y., stressed the party’s unity, signaling that he was open to negotiating with Manchin and Sinema to meet their concerns.

“The House has presented a very strong bill,” he said. “Everyone knows Manchin and Sinema have their concerns, but we will try to negotiate with them and get a very strong and bold bill from the Senate that go home and pass.

When asked on Sunday he thinks the package could get through the Senate, Schumer said: “I think we’re in very good shape to get 50 votes,” but that he knows Republicans in the chamber will be looking for ways “to try to knock him out. “

Despite tough odds, the White House is optimistic about the bill’s passage.

Working closely with lawmakers this fall as they worked to push forward both the infrastructure bill and overall domestic spending, the White House now has “a good understanding” of the place. where the consensus lies in the equally divided chamber, Deese said on Sunday.

“We will be working with all members of the Senate on this bill,” Deese said. “But I think because of this work over several months, we really now have a good understanding of where the consensus is.”

Appearing on NBC’s “Meet the Press” Sunday, Sen. Jon Tester, D-Mont., Echoed the cautious optimism shared by Deese and others.

The tester acknowledged that while the bill is likely to undergo some changes before it goes to a floor vote, “reasonable people” in the chamber “can come up with a bill that is a very, very good law Project, [one] that works for states like Montana and other states in the region.

“We don’t all see everyone the same way, so let’s negotiate and craft a bill that cuts costs for families and taxes… and gets things done to help move this economy forward, so we can stay. the premier power in the world, ”Tester added.

Ryan Chatelain, Breanne Deppisch, Rachel Tillman and Austin Landis of Spectrum News contributed to this report.

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Deciphering the new way of investing in G-sec https://westielovers.com/deciphering-the-new-way-of-investing-in-g-sec/ Sat, 20 Nov 2021 13:55:51 +0000 https://westielovers.com/deciphering-the-new-way-of-investing-in-g-sec/ Are you a retail investor who has felt the lack of long term options to park your debt money safely? Then you may see an opportunity in the new avenues opening up to give options to retailers to invest in government bonds. After opening an account to participate in government securities through your NSE goBID […]]]>

Are you a retail investor who has felt the lack of long term options to park your debt money safely? Then you may see an opportunity in the new avenues opening up to give options to retailers to invest in government bonds.

After opening an account to participate in government securities through your NSE goBID stockbroker or the latest RBI Retail Direct platform, how should you participate in the market?

We demystify the world of government bonds.

What is on the menu

Just like in the stock market, the government bond market is classified into the primary and secondary segments. Unlike various corporate promoters who sell shares through IPOs, there is only one authorized seller for new government bond issues – the Reserve Bank of India. The RBI conducts periodic auctions of government securities in which institutions such as banks, insurance companies and provident funds participate. Retail investors can purchase G-sec in these auctions through non-competitive offers under a special quota, subject to a minimum of 10,000 and a maximum of ₹ 2 crore.

The main instruments available are Indian Government Treasury Bills (Treasury Bills), Indian Government Dated Securities (G-sec), Gold Sovereign Bonds (SGB) and Government Development Loans (SDL) . Treasury bills are issued when the central government wishes to borrow for periods of 91 days, 182 days and 364 days. Dated G-sec and SDL are issued for terms of 1 to 40 years.

How Primary Auctions Work

Unlike IPOs, which can happen at any time, RBI’s main auctions follow a specific schedule, so you can plan your purchases well in advance. For dated G-secs, RBI publishes its auction schedule six months in advance here: https://tinyurl.com/rbigsecs You can find its quarterly schedule for Treasury bill auctions here: https: // tinyurl.com/rbitbills

Once you log into your G-sec trading platform, you are presented with a list of government securities currently up for auction.

Treasury bills are offered for less than their face value which represents the return you get. If a 182-day Treasury bill with a face value of 100 is offered at 98, your yield is 4.09% (2/98 * 365/182). But G-sec auctions can be yield-based or price-based. New G-sec are typically issued through yield-based auctions, where investors bid on the basis of the coupon rate they wish to demand from the government. The lowest coupon to which an auction is fully subscribed is considered the cutoff yield and becomes the bond’s interest rate. The RBI also holds price-based auctions when it re-issues older G-sec. In competitive bidding, all institutions that bid below the threshold yield or above the threshold price for bag allocations.

As a retail investor, you are required to bid at institutionally determined yield / cut-off prices and you will receive bonds at the weighted average price that emerges from the tenders.

If the weighted average price is above the cutoff rate, you may need to shell out a little more than face value to acquire your G-sec, which is seen as the excess markup.

The workings of the Retail Direct Gilt account

Secondary market negotiations

CCIL’s Negotiated Dealing System Order Matching or NDS-OM is the platform on which government bond secondary market trading takes place. Even telephone conversations are captured here. So, this is the platform you need to log into to get information on the latest market stocks, government bond prices and liquidity.

NDS-OM offers two segments: a regular market segment and an odd lot segment. As the minimum lot size for trading in the regular market is 5 crore, it is the odd lot segment (trades below ₹ 5 crore) that is essential for retail investors looking to get into G- dry.

Just as you can follow live market quotes for the stocks you are looking to buy on BSE or NSE, you can follow live market quotes for G-sec, Treasuries and SDL on NDS-OM during market hours here: https: // tinyurl.com/ccilindia

To buy and sell securities, you must first understand the nomenclature used. Central government bonds are described using their coupon rate and year of maturity. The current 10-year central government bond is described as 0610GS2031 – 6.10 percent is the coupon rate and 2031 is the maturity year. While fixed rate bonds are described using their coupon rates, floating rate bonds are simply described as FRBs. Treasury bills follow a slightly different nomenclature, with their content (not the coupon) appearing in their description. For example, 091DTB17022022 is the 91-day Treasury bill maturing February 17, 2022. The descriptions of SDLs contain additional information about the states that issue them.

The NDS-OM home page lists all the securities traded for the day, with open / high / low, last traded price (LTP) and last traded yield (LTY), as well as booklets individual orders. Securities that are actively traded in the regular market may not trade on Odd Lots and prices and returns may vary between the two.

What to consider

When choosing which government bonds to invest in, three factors should be considered in the decision.

1 Mandate

The length or period of maturity has a big influence on the returns you get from a bond. So how do you decide to buy a 91-day Treasury bill or a 20-year G-sec? Well, you can base this decision on three variables.

First, you can simply match the duration of the obligation to your financial goal. If you’re looking to save on planned spending 3 months from now, a 91-day T-bill is right for you. If you’re looking to park some money for your retirement, a 20-year-old G-sec may do the trick.

Second, your choice should depend on whether you expect market interest rates to rise or fall from there. When interest rates rise, the prices of older bonds can fall as buyers rush to buy newer bonds with better coupons. The longer the term of a bond, the more sensitive it is to rate hikes. Interest rates, like the Sensex, move in cycles. To assess whether market interest rates are high or low, it is useful to refer to historical trends in the RBI reverse repo rate and the yield in the 10-year government bond market.

Over the past 20 years, RBI repo rates have ranged from 4% to 8%, and the 10-year G-sec has hovered between 5.8% and 9.1%. Today, with the repo rate at 4% and the 10-year G-sec at 6.3%, we are clearly approaching the bottom of this range. This makes short term bonds more attractive than long term bonds.

Third, you can consider the shape of the yield curve to decide on the tenure. Usually, extending the term of your bond carries a higher risk (because rates can rise and the buyer can default). Therefore, it makes sense to prefer, say, a 20-year bond over a 10-year bond only if the former offers a much higher yield than the latter. Today, for example, while a 364-day T-bill offers a yield of 4.03%, the 3-year G-sec offers 5.09%, the 5-year G-sec 5.68%. and the G-sec at 10 years. sec 6.36 percent. Essentially, even if you earn 106 basis points more in interest by going for a 3-year term instead of a year, there is only a 59 basis point advantage in extending your term from 3 to 5 years. To minimize the risk, you may prefer the 3 year.

2 Type of deposit

While there isn’t much to choose from between a Treasury bill and a G-sec, as both are issued by the Center, you need to be more selective when going for SDLs. The price of SDLs is usually based on the financial data of the issuing state, after taking into account variables such as its latest budget and revenue deficit, its ability to increase tax revenue, and its plans for borrowing. If you are unsure of doing this homework, the mutual fund route to participating in SDLs is better.

3 Liquidity control

Unlike stocks, Indian government bonds do not offer high liquidity in the secondary market, especially for investors in the odd lot segment. Therefore, while buying government bonds, it pays to be prepared to hold them to maturity (which also helps avoid interest rate risk). If you plan to exit earlier, you should check the number of trades and the total amount traded for the bond on NDS-OM. Typically, the most recently issued 10-year, 5-year and 3-year G-secs represent 70-80% of transactions in volume and value. Treasury bills and SDLs have much lower trading volumes than long-term G-sec. Decreasing time can also reduce liquidity. You can find a list of all outstanding government bonds, whether traded or not, here: https://tinyurl.com/govtbonds. Bonds with a higher amount outstanding are likely to be more liquid.

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CBO finds Biden’s expense bill not fully paid https://westielovers.com/cbo-finds-bidens-expense-bill-not-fully-paid/ Fri, 19 Nov 2021 00:36:06 +0000 https://westielovers.com/cbo-finds-bidens-expense-bill-not-fully-paid/ There were bright spots for Mr Biden and his party in the budget office’s analysis. He confirmed that in the eyes of congressional markers, the Democratic bill would add far less to deficits over a decade than the vast collection of tax cuts adopted by Republicans under President Donald J. Trump in 2017. The office […]]]>

There were bright spots for Mr Biden and his party in the budget office’s analysis. He confirmed that in the eyes of congressional markers, the Democratic bill would add far less to deficits over a decade than the vast collection of tax cuts adopted by Republicans under President Donald J. Trump in 2017. The office The budget initially estimated that these tax cuts would add about $ 1.5 trillion to deficits, even as Republicans said their cuts would be written off.

The biggest source of income comes from a new 15% tax that would apply to corporations that report more than $ 1 billion in profits to shareholders, but not to the IRS. more than 10 years.

Senator Elizabeth Warren, the Democrat from Massachusetts who proposed the new tax, released an analysis Thursday morning showing at least 70 of America’s largest companies would pay more because of the new tax. Ms Warren’s report found that the tax would force companies such as Amazon, Facebook, FedEx, General Motors, Google, T-Mobile and Verizon to pay more to the US government.

The analysis also suggests that the Democratic plan could start cutting budget deficits within a decade, if the bill’s provisions expire as planned. The bill’s tax increases are permanent, while many of its tax cuts and spending programs are expected to be temporary, a move Republicans have criticized as a budget gimmick meant to lower the overall cost.

“What we’re doing here is making smart, long-term investments but offsetting these with tax increases,” Brian Deese, director of the National Economic Council, said on Sunday on “This ABC’s Week. “When you do that, fully paid off, you are actually reducing the deficit in the long run. “

If a future Congress chose to expand these spending and tax reduction programs, or make them permanent, and did not offset them with further tax increases, the bill would dramatically increase deficits after a decade. Budget experts cautioned against this possibility, which was also true of Republican tax law. He set the individual tax cuts to expire after 2025, even though Republicans immediately vowed to work to make them permanent.

Republicans accused Democrats of playing with fiscal rules by offering child care and health care tax credits and a universal preschool that expire but Democrats hope to become permanent. A new cap of $ 80,000 on the national and local tax deduction would drop to $ 10,000 for one year in 2030 before expiring the following year.

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Four ETF strategies for diversifying in today’s market environment https://westielovers.com/four-etf-strategies-for-diversifying-in-todays-market-environment/ Wed, 17 Nov 2021 00:05:22 +0000 https://westielovers.com/four-etf-strategies-for-diversifying-in-todays-market-environment/ IInvestors looking for ways to diversify their portfolios may want to consider different exchange-traded fund approaches for the S&P 500 that can help manage risk and potentially improve returns. In the recent webcast, Differentiate Your S&P 500 Exposure: Manage Risk, Rotate Factors, Maximize Dividends, and Mitigate Downsides, Sean O’Hara, chairman of Pacer ETFs Distributors, warned […]]]>

IInvestors looking for ways to diversify their portfolios may want to consider different exchange-traded fund approaches for the S&P 500 that can help manage risk and potentially improve returns.

In the recent webcast, Differentiate Your S&P 500 Exposure: Manage Risk, Rotate Factors, Maximize Dividends, and Mitigate Downsides, Sean O’Hara, chairman of Pacer ETFs Distributors, warned of the risks investors face today, pointing to a market that has reached or near an all-time high with a P / E at very high multiples of the historical average. and dividend income close to an all-time low.

Alternatively, O’Hara argued that investors can better manage their access to markets by differentiating their exposure to the S&P 500. To begin with, O’Hara pointed out the Pacer Trendpilot US Large Cap ETF (BATS: PTLC), which follows the Pacer Trendpilot indexing methodology that helps investors better manage risk and maintain exposure to equity markets.

Concretely, the strategy follows strict guidelines with three indicators: an equity indicator, a 50/50 indicator and a Treasury bill indicator.

The action indicator is used as follows: When the benchmark total return index closes above its 200-day SMA for five consecutive business days, the exposure will be 100% to the benchmark. reference. From the equities position, the index will move to the 50/50 position or to the treasury bill position depending on the 50/50 indicator and the treasury bill indicator.

The 50/50 price signal indicator is used as follows: When the benchmark total return index closes below its 200-day SMA for five consecutive business days, the exposure will be 50% to the benchmark and 50% at three months. US Treasury Bills. From the 50/50 position, the Trendpilot index will revert to the equities position or switch to the treasury bill position, depending on the equities indicator or the treasury bill indicator.

The Treasury bill trend indicator is used as follows: When the 200-day SMA of the benchmark total return index closes below its value five business days earlier, the exposure will be 100 % to three-month US Treasury bills. From the treasury bill position, the Trendpilot index will move to the equities position when the equity indicator is triggered. It will not return to its 50/50 position unless the action indicator is triggered first.

In its latest update, Pacer added an extreme valuation trigger that will work such that if at close of business the index is either 20% above or 20% below its 200-day SMA, l The exposure will automatically switch to the 50/50 position. The index will not move to the 100% equity position or the 100% treasury bill position unless it is triggered by one of the indicators mentioned above.

In bond markets, the uptrend appears to be faltering as the traditional role of bonds comes into question as investors face low to negative yields and the prospect of future rate hikes.

Meanwhile, on the stock market side, the NASDAQ, DOW and S&P 500 are at or near historic highs, and valuations are priced to perfection. Uncertainty over U.S.-China relations and the global effect of COVID-19 continue to weigh on sentiment, and long-term return expectations are mixed after the record run after the recovery.

In this type of setup, the Pacer ETFs came out with a suite of structured earnings strategies, or the Pacer Swan SOS ETF series, including the SOS Conservative Pacer Swan ETF (PSCX), the Pacer Swan SOS Moderate ETF (PSMD), the Pacer Swan SOS Flex ETF (PSFD), and the Pacer Swan SOS Fund of Funds ETF (PSFF) to help investors navigate market uncertainty.

The Pacer Swan SOS ETF family was established in December 2020 and aims to give investors exposure to market growth up to a predetermined cap, and they simultaneously offer downside protection via buffers in the event of a downward cycle on the steps. Each ETF in the series has different performance strategies, giving investors the flexibility to invest with whatever risk parameters they want.

Pacer has partnered with Swan Global Management, LLC, which will act as a sub-advisor for the family of funds to help make this happen. The Pacer Swan SOS ETF series seeks to match the returns of SPDR S&P 500 ETF Trust (SPY) up to a predetermined upper limit while providing investors with downside protection to a predetermined point, depending on an investor’s degree of prudence.

Additionally, investors may consider a factor-based investment strategy that alternates its tilt towards the S&P 500 investment factors as the market itself changes. More precisely, the Pacer Lunt Large Cap Alternator ETF (ALTL) is an index ETF that aims to alternate between high beta and low volatility stocks listed in the S&P 500 Index.

The high beta index is an index made up of stocks that are most sensitive to changes in market returns. The Low Volatility Index is an index made up of stocks with price volatility below the overall market average. The Lunt Capital US Large Cap Equity Rotation Index uses a rules-based strategy to alternate between high beta and low volatility factors.

Investors looking for income in this lower yielding environment for longer can also look to a unique dividend-focused ETF: the ETF Pacer Metaurus US Large Cap Dividend Multiplier 400 (QDPL), which aims to provide cash distributions equal to 400% of the S&P 500 dividend yield in exchange for slightly lower exposure to the S&P 500 price yield.

QDPL separates the S&P 500 into its two yield components: dividend cash flow and price appreciation / depreciation. The fund then reduces the exposure to stocks in the S&P 500 Index to around 88% and uses the remaining percentage to buy dividend futures for 4 times the dividend participation. Finally, the strategy recombines the constituents in new ratios to produce exposure to the S&P 500 with a 4x dividend yield and approximately 88% exposure to the S&P 500 Index.

Financial advisers who want to learn more about managing risk in today’s marketplace can watch the webcast here on demand.

Learn more at ETFtrends.com.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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Privacy Update: California Signs New CCPA and Privacy Bills | Arent Renard https://westielovers.com/privacy-update-california-signs-new-ccpa-and-privacy-bills-arent-renard/ https://westielovers.com/privacy-update-california-signs-new-ccpa-and-privacy-bills-arent-renard/#respond Thu, 11 Nov 2021 19:05:23 +0000 https://westielovers.com/privacy-update-california-signs-new-ccpa-and-privacy-bills-arent-renard/ US News California signs new CCPA and privacy bills The Governor of California recently enacted three new bills impacting CCPA and privacy in California, including: AB 335, which exempts CCPA and CRPA from the right to remove vessel information or ownership information held or shared between a vessel licensee and the vessel builder, if the […]]]>

US News

California signs new CCPA and privacy bills

The Governor of California recently enacted three new bills impacting CCPA and privacy in California, including:

  • AB 335, which exempts CCPA and CRPA from the right to remove vessel information or ownership information held or shared between a vessel licensee and the vessel builder, if the information is shared for the purpose of ” perform a ship repair covered by a ship warranty or recall.
  • AB 694, which amends the CRPA by making non-substantial updates to the Definitions, Exemptions and Functions sections; and clarifies the timetable for the CAPP regulator.
  • AB 825, which changes the definition of “personal information” in the California Civil Code to include genetic data.

FTC updates backup rule

The Federal Trade Commission (FTC) has announced updates to its safeguard rule, including changes to data security requirements for financial institutions. The Updated Safeguard Rule provides more specific criteria for the safeguards that financial institutions must implement and requires these institutions to explain their information sharing practices. The Rule also requires that financial institutions designate a single qualified person to oversee an information security program and report periodically to the institution’s board of directors or the chief information security officer. The FTC invites the public to comment on the rule. Notably, for all businesses, this FTC update provides an overview of security measures that the FTC considers “common sense.”

CFPB orders major tech companies to provide information on payment system

The Consumer Financial Protection Bureau (CFPB) has ordered several large tech companies to provide information regarding their personal payment systems, such as payment products, data collected and retained as a result of the use of those products by a consumer, how companies monetize products, and access restrictions. The order was issued under CFPB’s authority under the Dodd-Frank Act and is intended to help CFPB understand how large tech companies handle personal payments and related consumer data.

Massachusetts Introduces New Privacy Bill

Massachusetts is currently studying the Massachusetts Personal Information Protection Act (MIPA). MIPA is modeled on existing privacy regulations, such as the CCPA in certain respects, in that consumers can request copies of their personal data, request their deletion, and refuse certain third-party disclosures. MIPA also provides for civil penalties (up to $ 15,000 or 0.15% of annual worldwide earnings, whichever is greater), including for multiple offenses involving multiple persons (up to $ 20,000,000 or 4% of annual worldwide income, whichever is greater). In addition, the Act does not provide for a 30-day recourse provision for enforcement actions. MIPA, as proposed, would cover all for-profit companies that (i) collect data on Massachusetts residents and have annual gross income greater than $ 10 million or (ii) process the personal information of 10,000 people. or more in a calendar year, and excludes employee data. If enacted, the bill proposes to take effect in July 2022.

Ministry of Justice announces civil cyber fraud initiative

The Justice Department has announced the launch of the Civil Cyber ​​Fraud Initiative, whereby federal authorities will use the False Claims Act to prosecute federal contractors who fail to timely report data breaches, knowingly misrepresenting the practices of cybersecurity or knowingly provide products with deficient cybersecurity. Notably, according to its announcement, the Initiative appears to provide support to whistleblowers who help the government identify and prosecute fraudulent conduct, and can protect whistleblowers who bring such violations and failures from retaliation. This call indicates that this initiative may lead to more actions at the instigation of whistleblowers.

Democratic lawmakers urge federal lawmakers to tackle crypto ransomware attacks

Senators Markey and Whitehouse, and Representatives Langevin and Lieu sent a letter urging the departments of Justice, Treasury, State and Homeland Security to “address the role of cryptocurrency in facilitating attacks by ransomware ”. Lawmakers argue this is necessary to tackle the recent wave of ransomware attacks ushered in by the use of cryptocurrencies. Lawmakers have asked heads of departments to answer a series of questions, such as, “How has the United States worked with partners in regional and international organizations to attribute ransomware attacks and hold back?” the bad actors responsible? And “Would the Justice Department need specific legal authority to redirect funds from asset confiscation to endpoint security and other cybersecurity defenses, or to provide assistance to victims?” Lawmakers have requested a response by October 29, 2021.

Global News

Netherlands announces collaborative platform on digital regulation

The Netherlands Authority for Consumers and Markets, the Financial Markets Authority, the Netherlands Media Authority and the Data Protection Authority, Autoriteit Persoonsgegevens, have announced the launch of the platform, through which Agencies will share their knowledge and experience in areas such as artificial intelligence, data processing, algorithms and online design. By creating the platform, regulators intend to mutually strengthen their enforcement procedures, including collaborating on enforcement efforts.

China’s Personal Information Protection Law Comes Into Force Nov 1

China’s Comprehensive Privacy Law comes into effect on November 1 and has requirements for personal information, which are defined in the same way as personal information under the General Data Protection Regulation. The law applies to the processing of personal information outside of China if the purpose of the processing is to (i) provide products or services to individuals in China, (ii) “analyze” or “evaluate” the behavior of individuals in China, or (iii) for other purposes specified by laws and regulations.

China issues “Guidance on Strengthening Global Governance of Internet Information Service Algorithms”

Nine Chinese regulatory departments jointly published the Guide, which aims to clarify the overall governance of Internet information service algorithms. The overall goal is to establish sound governance, policies and regulations, including monitoring algorithm security risks, assessments and ethical reviews. The guide also aims to establish an algorithm ranking system and to manage the use and development of algorithm applications.

China’s Tianjin Hedong District People’s Court decides on China’s first mobile app data collection case

The court sentenced three people to three years in prison and fined 100,000 yuan for using mobile application software by individuals to illegally collect personal data from Chinese citizens, including private messages between registered users. . The court found that this was a violation of China’s cybersecurity laws on the protection of citizens’ personal information.

The deadline for registration in the Turkish Data Controller Register is December 31, 2021

Under Turkish Personal Data Protection Act 6698 and Data Controller Register Regulation, the following data controllers are required to register with the Data Controller Register before December 31, 2021:

  • Data controllers located outside of Turkey processing the personal data of any Turkish resident;
  • Turkish data controllers with more than 50 employees or annual turnover exceeding 2.5 million euros;
  • Data controllers whose main field of activity is the processing of sensitive personal data;
  • Public authorities and professional organizations
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Yellen of the US Treasury says bullion bonds will boost … https://westielovers.com/yellen-of-the-us-treasury-says-bullion-bonds-will-boost/ https://westielovers.com/yellen-of-the-us-treasury-says-bullion-bonds-will-boost/#respond Tue, 09 Nov 2021 20:43:00 +0000 https://westielovers.com/yellen-of-the-us-treasury-says-bullion-bonds-will-boost/ WASHINGTON, Nov. 9 (Reuters) – U.S. Treasury Secretary Janet Yellen on Tuesday said the bipartisan infrastructure package approved by Congress and the social and climate spending plan proposed by President Joe Biden would boost states’ productivity United and the size of its workforce. Yellen said in prepared remarks at a University of Nevada-Las Vegas economic […]]]>

WASHINGTON, Nov. 9 (Reuters) – U.S. Treasury Secretary Janet Yellen on Tuesday said the bipartisan infrastructure package approved by Congress and the social and climate spending plan proposed by President Joe Biden would boost states’ productivity United and the size of its workforce.

Yellen said in prepared remarks at a University of Nevada-Las Vegas economic conference that together, the two bills would increase long-term U.S. economic output without increasing national debt.

“I believe that passing these laws will not only lead to higher productivity rates, but also positive changes across a wide range of parameters. They will increase the size of our workforce and increase the productive capacity of our economy, ”Yellen says. (Report by David Lawder)

Our Standards: Thomson Reuters Trust Principles.

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T-bill and bond rates could rise this week https://westielovers.com/t-bill-and-bond-rates-could-rise-this-week/ https://westielovers.com/t-bill-and-bond-rates-could-rise-this-week/#respond Sun, 07 Nov 2021 16:04:20 +0000 https://westielovers.com/t-bill-and-bond-rates-could-rise-this-week/ NB FILE PHOTO RATES on government securities could rise this week as secondary market yields climbed despite a slower-than-expected slowdown inflation in October. The Treasury Office (BTr) plans to raise P15 billion via Treasury bills (T-bills) it will auction off Monday, or 5 billion pesos each in debt securities at 91, 182 and 364 days. […]]]>
NB FILE PHOTO

RATES on government securities could rise this week as secondary market yields climbed despite a slower-than-expected slowdown inflation in October.

The Treasury Office (BTr) plans to raise P15 billion via Treasury bills (T-bills) it will auction off Monday, or 5 billion pesos each in debt securities at 91, 182 and 364 days.

Tuesday the BTr will be offer 35 billion pesos in reissued 10-year Treasury bonds (Treasury bonds) with a residual maturity of nine years and eight months.

Public debt rate to be auctioned off This week could follow the slight rise in secondary market yields following the US Federal Reserve’s announcement to start cutting its monthly asset purchases from $ 120 billion to $ 15 billion per month, despiteflation turned out to be weaker than expected, Rizal Commercial Banking Corp. chief economist said. Michael L. Ricafort in a Viber message over the weekend.

He said the three-to-ten-year tenors posted the largest weekly gain, “reversing the downward correction from the previous week as the Fed Fihas finally announced the details of the $ 15 billion cut as widely expected, but an important signal to the market is the Fed’s patient stance ahead of any rate hikes, which has supported market sentiment. “

Fed Chairman Jerome H. Powell said last week they could stay patient and keep rates low to support the economy while the labor market remains weak.

At the same time, inflation fell to its lowest level for three months in October amid slower increases in food prices, the Philippines Statistics Authority reported on Friday.

Title inflation came in at 4.6%, slower than the median estimate of 4.9% of 21 analysts in a Business world survey.

October’s figure was slower than September’s 4.8%, but faster than 2.5% a year earlier. Yet it was the third consecutive month inflation exceeded the Bangko Sentral ng Pilipinas (BSP) target of 2-4% for the year. Inflation exceeded the BSP target this year, except in July.

It made the headlinesflation for the FiFirst 10 months at 4.5%, faster than the 4.4% forecast by the central bank for the year.

On the flip side, a bond trader expects higher yields as the market waits for this week’s auction results.

“The Fed’s rate and cut announcements were already integrated because they had been well communicated beforehand,” the trader said in a Viber message.

“What the market is looking for now is how much the BTr will borrow in the next auction after awarding the FXTN 5-77 at higher rates than expected,” the trader said, referring to the auction last week where the government topped up with 35 billion pesos. attribution of reissued the papers at five even as his rate rose.

Bonds, which have a residual term of four years and Fifive months, reached an average rate of 3.762% on Wednesday, up 18.6 basis points (bps) from the 3.576% quoted for grade in the previous auction.

Bids reached P46.65 billion, higher than the offuh but less than the P56.08 billion auction clawed back the last time these debt securities were auctioned off on October 12, where the government awarded a full award.

On Friday in the secondary market, 91-182 and 364 day T-bills were listed at 1.2164%, 1.4427% and 1.655%, respectively, while the 10-year bond closed at 4.9573 %, based on the PHL Bloomberg valuation. Reference rates published on the Philippine Dealing System website.

The government made a full allotment of treasury bills which it auctioned off last week, even as rates rose slightly before the release offlration data.

The BTr raised P15 billion as planned via the treasury bills it auctioned off Tuesday like offIt drew 41.78 billion pesos in bids, making it almost 2.8 times oversubscribed.

Broken down, the BTr borrowed 5 billion pesos as planned via 91-day treasury bills from 13.08 billion pesos in the tenders. The three-month debt instrument reached an average rate of 1.13%, 1.1bp higher than the 1.119% quoted in the previous auction.

He also raised the 5 billion pesos programmed on the 182-day treasury bills, as the tenor attracted bids worth 14.94 billion pesos. The average yield on six-month debt stood at 1.395%, up 0.8bp from 1.387%.

Finally, the Treasury granted 5 billion pesos in 364-day securities, with demand reaching 13.76 billion pesos. One-year paper reached an average rate of 1.613%, up 0.7bp from 1.606% previously.

Meanwhile, the last time the BTr auctioned off 10-year bonds reissued on offst Tuesday was Sept. 28, when he made a full allotment of 35 billion pesos from 73.59 billion pesos in tenders.

The 10-year note obtained an average rate of 4.689% at this auction, higher than the 4.246% recorded in the previous offering and its coupon rate of 4%.

BTr plans to raise P200 billion from the domestic market in November, or P60 billion via weekly offers of treasury bills and 140 billion pesos of weekly treasury bond auctions.

The government wants to borrow P3 trillion from local and external sources this year to help fund a budget ofFicit reached 9.3% of the country’s gross domestic product. – Jenina P. Ibañez

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