Treasury Bills

Short term negotiable bill of exchange. ​

Product Description

  • –   Short term negotiable bill of exchange.
  • –   Used by Governments to help finance national borrowing requirements
  • –   Quoted for purchase/sale in the secondary market on an annual percentage yield to maturity.
  • –   Issued at discount.

Product Features

  • –   Short term debt instrument
  • –   Issued at zero coupon rates i.e. no interest paid during life-cycle of the bill.
  • –   Issued in fixed tenures i.e. 91days, 182days and 364days.
  • –   Primary dealers or investment bankers may underwrite it.
  • –   Interest is paid upfront

Your Benefits

  • –   T-bills qualify as liquid assets for the purpose of liquidity ratio computation.
  • –   Used as collateral securities for repurchase transactions
  • –   Interest received not subject to tax
  • –   Repayment guaranteed at maturity
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Requirements

  • –   Letter expressing desire to invest in T-Bills and authority to debit account thereafter
  • –   Custodial authority duly signed by client
  • –   Copy of physical bill duly signed by investor and reflecting issuers name
  • –   Duly signed investment contract confirmation letter showing issuers name.
  • –   Filled KYC form
  • –   Account opening form with passport attached and means of identification
  • –   Cheque or lodgment slip
  • –   Custodial authority duly signed by client
  • –   Copy of physical bill duly signed by investor and reflecting issuers name
  • –   Duly signed investment contract confirmation letter showing issuers name.
  • –   Filled KYC form
  • –   You initiate request and comply with requirements above
  • –   Account officer verifies documents and forwards to treasury
  • –   Treasury raises deal slip and forwards to Trops
  • –   Customers account is debited in line with deal slip instructions
  • –   Contract certificates are generated
If you need assistance or have questions, we are always here to help.
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