Coupon Rate – WLAN Secure http://w-lansecure.biz/ Tue, 02 Aug 2022 04:25:25 +0000 en-US hourly 1 https://wordpress.org/?v=5.9.3 https://w-lansecure.biz/wp-content/uploads/2021/04/default.png Coupon Rate – WLAN Secure http://w-lansecure.biz/ 32 32 Egyptian Ministry of Finance plans to launch 35 treasury bill and bond offerings worth EGP 315.5 billion in August https://w-lansecure.biz/egyptian-ministry-of-finance-plans-to-launch-35-treasury-bill-and-bond-offerings-worth-egp-315-5-billion-in-august/ Tue, 02 Aug 2022 03:17:38 +0000 https://w-lansecure.biz/egyptian-ministry-of-finance-plans-to-launch-35-treasury-bill-and-bond-offerings-worth-egp-315-5-billion-in-august/ The Ministry of Finance intends to offer 35 treasury bill and bond offerings worth EGP 315.5 billion in August as part of a government plan to borrow EGP 818 billion on the local market during the first quarter (1Q) of the 2022/23 financial year. According to the government’s plan, the Ministry of Finance intends to […]]]>

The Ministry of Finance intends to offer 35 treasury bill and bond offerings worth EGP 315.5 billion in August as part of a government plan to borrow EGP 818 billion on the local market during the first quarter (1Q) of the 2022/23 financial year.

According to the government’s plan, the Ministry of Finance intends to issue 20 bond tenders worth EGP 264 billion and 15 bond tenders worth EGP 51.5 billion. of EGP.

The Central Bank of Egypt (CBE) – which will undertake this task on behalf of the government – will launch in August five offers for 91-day bills worth EGP 72 billion, five for 182-day bills of worth EGP 74 billion, five more for 273-day bills worth EGP 38.5 billion and an additional set of 364-day bills worth EGP 79.5 billion .

The plan also includes the offering of five zero-coupon bonds with a duration of one and a half years worth EGP 36 billion, three offerings of three-year bonds worth 11.5 billion EGP and two five-year deals worth EGP 2 billion.

The ministry is also offering three offerings of seven-year bonds worth EGP 1.5 billion and two 10-year bonds worth EGP 500 million.

Banks operating in the Egyptian market are the largest sectors investing in bonds and treasury bills, which the government periodically offers to cover the general state budget deficit.

These bonds and notes are offered through 15 banks that participate in the primary dealer system in the primary market, and these banks resell some of them in the secondary market to individual investors and local and foreign institutions.

It should be noted that the ministry revealed that the volume of outstanding balances of local treasury bills and bonds stood at around EGP 3.83 trillion at the end of May 2022.

According to the latest report published by the ministry on its website, the volume of outstanding treasury bill balances up to the end of May amounted to approximately EGP 1,374 billion broken down into EGP 858.77 billion. EGP in 364-day bills, EGP 313.88 billion in 273-day bills and EGP 115.252 billion in 182-day bills, in addition to EGP 86.627 billion in 91-day bills.

According to the ministry, bids for bills amounting to around EGP 81.8613 billion were due in June, while the rest of the existing bids are due during the rest of the current year until 30 May 2023, taking into account that other invoices with the same deadlines are reissued on a periodic weekly basis.

This comes as the Ministry of Finance revealed that the volume of outstanding balances of treasury bills reached around EGP 2.455 trillion at the end of May 2022, of which around EGP 217.027 billion are zero-coupon bonds.

In addition, bonds worth EGP 54.586 billion matured in June, while the rest of the bonds will mature from August 11 to January 18, 2037, taking into account that other offers of Bonds are reissued on a periodic weekly basis, just like bonds.

Finance Minister Mohamed Maait has indicated in his recent statements that the general state budget for the financial year 2022/23 exceeds EGP 3 trillion, pointing out that its total expenditure reaches around EGP 2,071 trillion. , while the estimated total revenue is around EGP 1.518 trillion.

Maait also said that the government aims in the new financial year to achieve a primary surplus of EGP 132 billion at a rate of 1.5% and to reduce the total deficit to 6.1% of GDP, against a total deficit 12.5% ​​at the end. of June 2016.

Furthermore, it wants to place the debt rate on a lasting downward trajectory and bring it down to 84% of GDP, against 103% at the end of June 2016, and bring the debt service ratio down to 7.6% of GDP, against 10%.

Finally, the government is seeking to reduce budgetary expenditure to 33.3%, compared to 40% over the past three years, and to diversify the sources of financing to reduce the cost of development and extend the life of the debt.



]]>
Income obsession sweeps asset classes as stocks diverge https://w-lansecure.biz/income-obsession-sweeps-asset-classes-as-stocks-diverge/ Sun, 31 Jul 2022 06:00:33 +0000 https://w-lansecure.biz/income-obsession-sweeps-asset-classes-as-stocks-diverge/ Behind the scenes of the latest equity rally, there is a growing penchant for stable income streams, as risk appetite is hot and cold this year. In the arena of $6.6 trillion exchange-traded funds, three dividend-focused ETFs rank among the top 10 in terms of stock inflows, according to data compiled by Bloomberg. The leader, […]]]>

Behind the scenes of the latest equity rally, there is a growing penchant for stable income streams, as risk appetite is hot and cold this year.

In the arena of $6.6 trillion exchange-traded funds, three dividend-focused ETFs rank among the top 10 in terms of stock inflows, according to data compiled by Bloomberg. The leader, the $36.5 billion Schwab US Dividend Equity ETF (ticker SCHD), has seen just five exits this year.

In the bond market, a mix of falling buying behavior and growth concerns sparked a strong rally in Treasuries after benchmark yields hit multi-year highs last month. Billions have been funneled into corporate debt, with the S&P 500 earnings yield holding the smallest advantage over the average yield on blue-chip bonds in more than a decade.

Demand for coupon breaks and reliable payments cast a cautious light on the largest two-day rally on record following the Federal Reserve’s rate decision. As Fed Chairman Jerome Powell on Wednesday hinted at the potential for small rate hikes in the future, skeptics warn that persistently high inflation will prevent a pivot and send the economy into a recession. In this context, it makes sense to play it safe, according to AlphaTrAI’s Max Gokhman.

“The common denominator is defence,” said Gokhman, the company’s chief investment officer. .”

While the S&P 500 climbed 9% in July, on track for its biggest month of gains since November 2020, the index is still down 13% this year. Strong earnings recently reassured traders, but uncertainty around a US recession and the trajectory of Fed rate hikes kept traders on their toes.

The up-and-down nature of equities has made bonds more attractive to some investors. The average yield on investment grade bonds is currently 4.35%, while the S&P 500 “pays out” about 4.8% in earnings. That’s close to the smallest gap since 2010.

“Really, where we’re starting to see opportunities is in the credit markets,” Russ Koesterich, portfolio manager of BlackRock’s global allocation fund, told Bloomberg Television. Over the next few months, one of the things you can do in your portfolio is to add carry. You can add income.

According to Community Bank Trust Services’ Karissa McDonough, the relatively high yields on investment-grade bonds mean that, unlike much of the past decade, investors don’t even have to “turn down” quality to get attractive returns. It’s an attractive proposition with recession fears on high alert.

“In corporate bonds, especially high-quality corporates, we’re seeing returns above 5% in some of these areas, which we haven’t seen in a long time,” said McDonough, a securities strategist. fixed income, in a Bloomberg Television. interview. “It’s real money, real income and a good opportunity as long as you’re selective.”

Similarly, a volatile stock market this year has pushed investors toward ETFs that somehow guarantee stable income. SCHD, which raised nearly $8.3 billion this year, is on course to surpass the 2021 record of $9.8 billion. And more than $6.3 billion has been paid into the JPMorgan Equity Premium Income ETF (JEPI) of $11.5 billion year-to-date, while the $46.1 billion Vanguard High Dividend Yield ETF (VYM) brought in $6 billion in 2022 – a record high.

ETF issuers were quick to try to capitalize on the trend. Launches and requests for income-oriented funds have increased this year, with strategies ranging from buying stocks of dividend-paying companies to selling call options on the S&P 500.

But the hunt for income isn’t as simple as chasing the highest-paying stocks, according to Dan Suzuki of Richard Bernstein Advisors, whose firm has added high-quality dividend-paying stocks and long-dated bonds in recent weeks. .

“High dividend payers are like high-yield bonds — there is assessed risk to the extent the dividend is reduced,” said Suzuki, the firm’s deputy chief investment officer. But longer-dated Treasuries and higher-quality dividend-paying stocks are “both an attractive way to be defensive in the portfolio.”

This story was published from a news feed with no text edits.

Catch all the trade news, market news, breaking news and latest updates on Live Mint. Download the Mint News app to get daily market updates.

More less

To subscribe to Mint Bulletins

* Enter a valid email

* Thank you for subscribing to our newsletter.

]]>
Less long-term debt and more likely bills in Treasury financing plans https://w-lansecure.biz/less-long-term-debt-and-more-likely-bills-in-treasury-financing-plans/ Fri, 29 Jul 2022 18:32:00 +0000 https://w-lansecure.biz/less-long-term-debt-and-more-likely-bills-in-treasury-financing-plans/ The flag of the United States flies atop the United States Treasury Department in Washington November 18, 2008. REUTERS/Jim Bourg Join now for FREE unlimited access to Reuters.com Register July 29 (Reuters) – The U.S. Treasury Department is expected to announce it will continue to cut some of its Treasury coupon debt issuance when it […]]]>

The flag of the United States flies atop the United States Treasury Department in Washington November 18, 2008. REUTERS/Jim Bourg

Join now for FREE unlimited access to Reuters.com

July 29 (Reuters) – The U.S. Treasury Department is expected to announce it will continue to cut some of its Treasury coupon debt issuance when it announces its funding plans for the coming quarter on Wednesday, pending further a declining deficit.

It may also raise hopes that Treasury bond issuance will increase as the Federal Reserve shrinks its balance sheet, as short-term investors grapple with a shortage of near-term debt.

The Treasury has reduced the size of its Treasury debt auctions since late last year, after increasing them to unprecedented sizes in 2020 to pay for COVID-19-related expenses.

Join now for FREE unlimited access to Reuters.com

“Expected deficits have come down, the Treasury needs to reduce the pace of issuance accordingly,” said Jonathan Cohn, head of rates trading strategy at Credit Suisse in New York.

Analysts are divided on the number of maturities likely to be reduced for the third quarter, with some seeing reductions on the Treasury curve, while others expect cuts only for longer-term maturities and /or at seven and 20 years old.

Seven-year and 20-year Treasury bills are trading at relatively higher yields, which has caused dislocations in the Treasury yield curve. Yields on twenty-year bonds, for example, are higher than those on 30-year bonds, while seven-year yields trade above those on 10-year bonds.

Ian Lyngen, head of U.S. rates strategy at BMO Capital Markets in New York, said the Treasury Bonds Advisory Committee (TBAC), which releases a presentation with the announcement of the redemption on Wednesday, should focus on the request for 20 year bonds.

He noted, however, that the issues with maturity are tied to trading in the secondary market, with demand for the bonds being strong at auctions. Lyngen expects 20-year yields to stay higher than 30-year bond yields until the Fed starts cutting rates, which would steepen the yield curve, but he added that was little. likely in the short term.

Meanwhile, the Treasury is likely to signal that it will increase Treasuries issuance in the coming months as it offsets the Fed’s dip in buying, which is letting more bonds off its balance sheet in the coming months. as part of its efforts to normalize monetary policy. .

After beginning quantitative tightening in June and slowly increasing in size, the Fed will let $95 billion in bonds mature in September, including $60 billion in Treasuries and $35 billion in mortgage-backed debt. .

An increased supply of Treasuries should help ease an imbalance that has left money market investors struggling with a lack of safe, short-term assets to buy.

“The supply of bills should start to increase over the next few months,” said Gennadiy Goldberg, interest rate strategist at TD Securities in New York, noting that this should also reduce demand for the credit agreement facility. Fed reverse buyout, which sees daily demand. over $2 trillion.

TD expects net issuance of treasury bills to increase by $525 billion in fiscal 2023, which begins in October, following a decline of $173 billion in 2022 and a decline of 1. 32 trillion dollars in 2021.

This compares to expectations that net coupon issuance will increase by $1.08 trillion in fiscal 2023, after increasing by $1.87 trillion in 2022 and $2.73 trillion in 2021.

Credit Suisse’s Cohn noted that an increase in bond issuance and reductions in coupon-bearing debt should also help rebalance the composition of Treasury debt to be more in line with recommendations from the TBAC, which advises the government. on its borrowing strategy.

Treasuries in circulation fell to the low of the TBAC’s recommended 15-20% of total debt, he said. “By increasing the supply of notes, the Treasury would more thoughtfully spread the supply burden as QT rolls out to investor bases with appropriate liquidity,” Cohn said.

Join now for FREE unlimited access to Reuters.com

Reporting by Karen Brettell; Editing by Alden Bentley and Nick Zieminski

Our standards: The Thomson Reuters Trust Principles.

]]>
Angel Oak Faces the Challenges of Market Volatility and Rapidly Rising Rates https://w-lansecure.biz/angel-oak-faces-the-challenges-of-market-volatility-and-rapidly-rising-rates/ Wed, 27 Jul 2022 19:37:42 +0000 https://w-lansecure.biz/angel-oak-faces-the-challenges-of-market-volatility-and-rapidly-rising-rates/ Angel Oak Co., through his Angel Oak Mortgage Trust led, recently unveiled its latest Private Label Securitization (PLS) offering – a deal expected to close in early August and backed by 788 mostly non-QM loans valued at $362 million. Including this latest offering, Angel Oak Cos. – through its affiliates, including real estate investment trust, […]]]>

Angel Oak Co., through his Angel Oak Mortgage Trust led, recently unveiled its latest Private Label Securitization (PLS) offering – a deal expected to close in early August and backed by 788 mostly non-QM loans valued at $362 million.

Including this latest offering, Angel Oak Cos. – through its affiliates, including real estate investment trust, or REIT, Angel Oak Mortgage Inc. (AOMR) – has brought to market a total of five PLS deals backed by mortgage pools worth of $2.1. billion.

For the whole of last year, in a much calmer economic environment, non-QM lender Angel Oak closed a total of eight PLS deals worth $3.8 billion.

So it looks like Angel Oak’s liquidity channels are open for business this year, despite what the lender’s asset management arm, Angel Oak Capital Advisorsdescribed in a recently published “2022 Mid-Year Outlook” white paper as a very difficult market for non-agency residential mortgage-backed securities (RMBS).

The question remains, however: is Angel Oak’s liquidity strategy robust enough to see it through the current economic environment, marked by high market volatility and rapidly rising interest rates?

“The non-agency RMBS technical chart since the end of last year has been a headwind for valuations since the start of the year,” the Angel Oak whitepaper said. “Not only have non-agency RMBS been under pressure for the same reasons that affect agency MBS, … (e.g. soaring rates and soaring volatility), but also a robust new issuance schedule, especially in unqualified markets. [non-QM] mortgage sub-sector, further weighed on [MBS] valuations.


Creating a path to success in today’s shopping market

Meeting the needs of a new generation of homebuyers while managing the ebbs and flows of a volatile real estate market is a major endeavor for any mortgage lender. So what should lenders do to thrive in the face of a post-pandemic housing market plagued by new hurdles?

Presented by: Chalice

“…This sturdy [PLS] the pipeline is finally starting to clear, which should begin to slow issuance significantly in the second half of 2022. record outflows this year) has pushed spreads and yields to the most attractive levels we have seen in the post-crisis period.

If these spreads and yields are attractive to investors, it usually means that margins for RMBS issuers like Angel Oak are being squeezed. This helps explain part of why Angel Oak Cos. Affiliated REIT, AOMR, which publishes its financial statements, posted a net loss of $43.5 million in the first quarter of the year. The “$2 million in securitization costs” associated with AOMR’s February 2022 PLS offering alone contributed to that loss, Brandon Filson, AOMR’s chief financial officer, said during the company’s first quarter (Q1) earnings call on May 12.

AOMR is part of a family of Angel Oak Cos. which also includes non-QM lenders Angel Oak Home Loans and Angel Oak Mortgage Solutions as well as Angel Oak Capital Advisors.

Non-QM mortgages include loans that cannot order a government, or “agency”, through Fannie Mae or Freddie Mac. The pool of non-QM borrowers includes real estate investors, real estate buyers, foreign nationals, business owners, gig workers and self-employed people, as well as a small group of buyers facing credit problems, such as past bankruptcies.

Since non-QM, or non-prime, mortgages are deemed riskier than prime mortgages, in a normal market they typically command an interest rate around 150 basis points above agency prime rates. .

Additionally, in a rising rate environment, MBS investors expect a premium on securities backed by lower-rate mortgages, relative to deals involving more recent higher-rate mortgages. This creates execution and liquidity issues for lenders looking to liquidate their loan pipelines to pay creditors and create new loans.

“We have three securitizations in our Angel Oak family of funds this year [as of May 12]Namit Sinha, co-chief investment officer at AOMR, said during the company’s first-quarter earnings conference call with analysts. “…and all of these deals had coupons in the mid to high 4% [range]what you consider to be in the current context of the coupon market.

In fact, according to bond rating documents, the bulk of the loans backing Angel Oak’s five PLS deals to date are seasoned, or aged, between 7.4 and 10.7 months, which means most mortgages were created at the lowest rates in effect last year. . Therefore, Angel Oak’s PLS deals so far this year do not imply significant current production, which would result in rates closer to the current market situation.

Keith Lind, CEO of a non-QM lender Acra Loansaid Acra’s mortgage rates have been in the “high 7%” range over the past month, “and there is good liquidity” at that level.

Sinha, on the first quarter earnings call in mid-May, confirmed that a good portion of all loans then on Angel Oak’s balance sheet being readied for securitization “are seasoned between three and six months.

“Our loan portfolio is starting to reflect an increase in coupons [interest rates] in response to the higher rate environment that accelerated at the end of the first quarter,” Filson added during the AOMR earnings call. “The latest rate freezes [as of May 12] on loans from our mortgage affiliates are greater than 7% of the weighted average coupon, approximately 250 basis points higher than our March 2022 loan portfolio.

“The loans we bought in April had a weighted average coupon of 4.9%, and the May purchases so far have a weighted average coupon of 5.4%.”

At the beginning of May, just after the end of the first quarter, Freddie Mac reported that the 30-year fixed-rate mortgage average was 5.27%, down from 5.1% a week earlier. As of July 21, Freddie Mac reports that the interest rate for a 30-year fixed mortgage averaged 5.54%.

“Lower coupon loans have kind of become market orphans,” Lind explained in a recent interview that focused on the overall PLS market, not Angel Oak specifically. “Investors don’t jump to buy bonds backed by [mortgage loans with] coupons so low that loans [in the collateral pools] can’t even cover the coupon on bonds and securitization [costs].

“So I think it’s going to be difficult if people want to securitize this because it doesn’t seem to be very well received by investors in the securitization market.”

Leaders of Angel Oak Cos. declined to be interviewed by HousingWire for this story.

Despite a large volume of low-rate mortgages in its securitization pipeline and the red ink released by AOMR in the first quarter, Sinha expressed confidence during the first quarter earnings call in the ability of the company to overcome the current liquidity challenges.

“Generally speaking, the loans we bought in the first quarter are still loans that were locked in at the market rate at that time, which was between 4% and 4%. [range]”, Sinha said. “…We had a lot of success in closing these deals, and one of the deals just closed today [May 12] had a very good success in terms of bond investments, et cetera.

“…The current coupon is still the target,” she added. “Now, as rates become volatile and move around, when these loans are eventually securitized, terms can vary. And we hope to capture most of that variation through interest rate hedges.

In addition to hedging, Angel Oak also uses a strategy of mixing low-rate and higher-rate mortgages in its securitization pools.

“We continue to buy current coupon loans from Angel Oak or even outside sellers, mixing them with [lower-rate loans] to create a bit higher coupon pool and execute securitizations over the next six to 12 months to facilitate the securitization process,” Sinha said on the first quarter earnings call in response to a question from the audience. analyst on the practice.

Angel Oak also has another arrow in its quiver when it comes to surviving the current rate crisis. Filson pointed out in AOMR’s first quarter earnings call that as of March 31, the lender had $90.4 million in cash and cash equivalents on its balance sheet, as well as funding facilities aligned with six banks.

“We increased our total committed loan funding capacity by $50 million in the first quarter,” he said. “Our total unused funding capacity was $344 million as of March 31.

“After [after Q1] At the end of the quarter, we added a new $340 million credit facility, bringing our total current capacity to $1.64 billion. This, combined with the increase in our cash balance at the end of the quarter, demonstrates our commitment to a sound liquidity management strategy during this period of rising rates.

AOMR CEO Robert Williams said that despite challenges in the current rate environment, Angel Oak has a strong balance sheet with “abundant liquidity.”

“Our first quarter results were impacted by unrealized market impairments on our balance sheet,” added Williams. “And a lot of that was due to a significant widening of credit spreads. … [but] our portfolio remains strong. We are confident that we can operate in this complex environment, focusing on strong underwriting and healthy liquidity. »

Lind stressed that the quality of loans in the non-QM space is not the issue today. “It’s not bad loans, just bad prices,” he said.

AOMR should come out second quarter financial results August 9.

]]>
What is Yield and YTM? https://w-lansecure.biz/what-is-yield-and-ytm/ Thu, 21 Jul 2022 17:39:30 +0000 https://w-lansecure.biz/what-is-yield-and-ytm/ These are important concepts but tend to be shrouded in confusion. Here to understand what it is. Step I: Understand borrowing and lending. A business or financial institution may need money to expand its business, build a new factory, purchase machinery, purchase new land, or acquire another business. One of the ways to raise funds […]]]>

These are important concepts but tend to be shrouded in confusion. Here to understand what it is.

Step I: Understand borrowing and lending.

A business or financial institution may need money to expand its business, build a new factory, purchase machinery, purchase new land, or acquire another business.

One of the ways to raise funds is to issue bonds.

Let’s examine this. On February 28, 2020, HMEL issued bonds of Rs 10 lakh each with a maturity of 10 years and a coupon of 9.18%.

  • Face value or face value: The FV is the value assigned to the bond. This is the amount of money loaned to the issuer and it will be returned to the lender at maturity. It’s static. In this example, Rs 10 lakh.
  • Maturity: This is the duration of the financial contract. In this case, it’s 10 years. So, the investor who bought a bond would lend HMEL Rs 10 lakh for a period of 10 years.
  • Coupon rate: Now the investor must be compensated for having lent his money. The CR is the annual interest rate that could be paid semi-annually or annually. This is static, in the sense that it is fixed when the bond is issued. In this example, it is 9.18% of Rs 10 lakh annually, over 10 years.

So what happened here?

When you buy a bond, you are lending money to the company that issued the bond (issuer). In exchange, the company legally commits to return your money (principal) to you on a pre-determined date (maturity date) and, until it does, it will pay you a specified interest rate (rate of the coupon) on predetermined dates.

Whether the company makes a profit or suffers a loss, or whether its stock price rises or falls, is irrelevant to the terms and conditions. He still has to pay the promised coupon rate and repay the principal on the date indicated.

Step II: Understand performance.

During these 10 years, the bond will be traded on the market. As with any traded instrument, the price will rise or fall. When this happens, the market price of the bond will be different from the face value (FV). But since the Coupon Rate (CR) is static and is a percentage of FV, the yield will be different. This yield is called yield.

Let’s go.

  • FV = Rs 100
  • RC = 5% per year
  • Amount the investor earns each year = Rs 5 (5% of Rs 100 is Rs 5)

In the market, the price rises to Rs 110. A buyer pays more than the FV of Rs 100. However, the yield is still Rs 5 per year. Rs5 out of Rs110 = 4.55%. Thus, bond yields have fallen because bond prices have risen.

In the market, the price drops to Rs 90. A buyer pays less than the FV of Rs 100. However, the yield is still Rs 5 per year. Rs 5 over Rs 90 = 5.55%. Thus, bond yields have increased because bond prices have fallen.

Did you understand?

The yield is the yield you get by applying the CR to its market price. This is the yield you will get when you buy the bond at that given price and hold it until maturity.

Step III: Understand how interest rates and bond prices move in opposite directions.

As you can see, the yield increases because the price of the bond has fallen. Or the yield falls because the price of the bond has risen. There is an inversely proportional relationship between the two. When interest rates fall, bond prices rise (+ve yield) and when interest rates rise, prices fall (-ve yield).

This inverse relationship is quite intuitive.

Consider the above example of a 5% coupon. When interest rates are trending lower (say in the region of 4.55%), a bond paying a coupon of 5% would be more valuable. As the demand for the bond increases, the price of that bond will increase. The reverse will happen when interest rates rise. This time, lower coupon bonds become less valuable and bond prices fall accordingly.

Step IV: Understand YTM.

YTM is the yield to maturity.

YTM is the estimated annual rate of return on a bond assuming the investor holds the asset until its maturity date and reinvests payments at the same rate as its current yield.

So it depends on what price you paid when you bought the bond – whether it was at par or at a premium or a discount. The interest you will earn during the balance period. And the assumption that this interest will be reinvested at the same return. In other words, YTM represents the present value of a bond’s future coupon payments. Together these are the components of YTM.

The formula for calculating YTM is:

In summary :

  • The return on bonds is the combined effect of the coupon (interest) rate and capital appreciation.
  • As with any traded instrument, the price will rise or fall since the cash flows over the life of this fixed rate bond are fixed.
  • Rising interest rates reduce the attractiveness of these fixed cash flows due to the higher discount rate. Lower interest rates increase the attractiveness of these fixed cash flows due to the lower discount rate. (The discount rate is the interest rate applied to determine the present value of these cash flows).
  • The higher market price of the bond (compared to FV) is the result of an adjustment reflecting lower market interest rates. The bond’s lower market price (relative to FV) is the result of an adjustment to reflect rising market interest rates.
]]>
How Bond Prices and Interest Rates Work: Your Guide to Interest Rate Risk https://w-lansecure.biz/how-bond-prices-and-interest-rates-work-your-guide-to-interest-rate-risk/ Tue, 19 Jul 2022 19:30:19 +0000 https://w-lansecure.biz/how-bond-prices-and-interest-rates-work-your-guide-to-interest-rate-risk/ claffra / Getty Images / iStockphoto Understanding the inverse relationship between bond prices and interest rates can be a bit confusing for new investors. However, a thorough examination of the various characteristics of bonds, bond prices and interest rates can help any investor see the relationship more clearly. Bond prices and interest rates are closely […]]]>

claffra / Getty Images / iStockphoto

Understanding the inverse relationship between bond prices and interest rates can be a bit confusing for new investors. However, a thorough examination of the various characteristics of bonds, bond prices and interest rates can help any investor see the relationship more clearly.

Bond prices and interest rates are closely related and can both be used to predict economic activity. So investors should at least know the basics: how interest rates affect bond prices, how to calculate bond prices, and how yields to maturity come into play.

Understanding bond prices and interest rates

Although it may seem paradoxical, bond prices are inversely proportional to interest rates — bond prices rise when interest rates fall and vice versa. Because of this inverse relationship, all bonds carry interest rate risk. Although the risk is generally lower than many other investments, understanding interest rate risk is essential if you are considering buying bonds.

Interest rates on investments are often influenced by the federal funds rate, set by the Federal Open Market Committee. If the federal funds rate rises, interest rates on many other investments will also rise.

Therefore, an increase in interest rates would cause new bonds with higher interest rates to enter the market than sold bonds with lower interest rates. Since organizations always want to sell the bonds with lower interest rates, they will lower the price of the bonds to compete with the new bonds with higher interest rates.

This benefits the organization because their bonds are likely to continue to sell, and it helps investors because they don’t pay more than the bond is worth at current interest rates.

How to Calculate Bond Prices

There are a few factors to be aware of when calculating bond prices, including:

  • Coupon rate: The percentage of face value redeemable each period.
  • Nominal value: The amount that is repaid at maturity. If a bond has a coupon rate, the investor will receive a coupon payment each period and the face value plus a coupon payment at maturity.
  • Youtube : The total interest rate a bond will have paid at maturity, including all interest or coupon payments and the face value.
  • Periods to Maturity: Equals the number of coupon payments you will receive before maturity. They are usually paid annually but can also be semi-annual or quarterly.

Many investors may use the following formula to calculate bond prices:

P(T0) = [PMT(T1) / (1+r)1] + [PMT(T2) / (1+r)2] + … + [(PMT(Tn) + FV) / (1+r)n]

  • P(T0) = price of the bond at period zero
  • PMT(Tnot) = coupon payment at period n
  • FV = nominal value
  • r = yield to maturity
  • n = number of periods

When considering bond prices, higher coupon rates, face values ​​or periods to maturity will have higher prices. However, if a bond has a higher YTM, the price of the bond will be lower.

Bond prices versus yields

According to the Securities and Exchange Commission’s Bulletin on Interest Rate Risk, bond prices also have an inverse relationship with YTM rates. The yield will be the coupon rate when a bond is issued and sold at face value. However, if an investor pays less than face value, their return will be greater since coupon payments and face value are fixed.

For example, consider a bond with a face value of $1,000. If interest rates fall, an investor may have to pay $1,100. Therefore, upon maturity, they will receive a smaller YTM. Similarly, if interest rates rise, the same bond may cost $900. At maturity, the investor will receive a higher return.

Final take

Since interest rates and bond prices have such a close relationship, those who choose to invest in bonds should follow market fluctuations to gauge the effects on investments.

However, interest rates and bond prices should not be the only considerations for investors when buying bonds. They should also consider additional factors, such as the risk profile of certain bonds, a bond’s prospectus, any costs or fees associated with purchasing the bond, the liquidity of each bond, and how the bonds fit into the general investment objectives.

Savvy investors would do well to thoroughly research and educate themselves on a bond’s coupon rates, maturity date, and past performance, as clearly rates, bond prices, and yields can all be affected by several investment elements.

Information is accurate as of July 18, 2022.

About the Author

Taylor DeJesus has been a freelance writer for over five years, where she specializes in writing SEO blogs and other online content for small and medium-sized businesses. She has also written books, research papers and more on a variety of topics, from business and marketing to lifestyle. In her spare time, Taylor enjoys reading, spending time with her daughter, and pursuing her personal development goals.

]]>
Persistent Fertilizer Problems – Journal https://w-lansecure.biz/persistent-fertilizer-problems-journal/ Mon, 18 Jul 2022 02:10:40 +0000 https://w-lansecure.biz/persistent-fertilizer-problems-journal/ Punjab is the breadbasket of Pakistan and also the biggest consumer of fertilizers. At least 70 percent of all compost marketed in the country is sold and consumed in the province and is therefore also the worst victim in the event of a price or availability crisis. The total national urea demand for Kharif and […]]]>

Punjab is the breadbasket of Pakistan and also the biggest consumer of fertilizers. At least 70 percent of all compost marketed in the country is sold and consumed in the province and is therefore also the worst victim in the event of a price or availability crisis.

The total national urea demand for Kharif and Rabi crops is 6.1 million tons, while production capacity is 6.5 million tons. Despite this production exceeding demand, the country, and of course Punjab, continues to face shortages of fertilizer due to various factors.

Senior provincial agriculture officials say they notified federal authorities of the urea shortage in November last year before the peak consumption of the wheat crop. But the compost either remained in short supply or was sold at higher rates throughout the Rabi season. The federal government was again informed well in time of the province’s urea requirement of 2,330 tonnes for Kharif 2022.

The monthly distribution of projected demand was 300,000 mt for April, 400,000 mt for May, 470,000 mt for June, 440,000 mt for July, 410,000 mt for August and 310,000 mt for September, respectively. However, for the month of May, urea supplies were 269,695 tonnes against a demand of 400,000 tonnes, ie 32.58 pc less than requirements. The gap between demand and supply was reduced in June, as 455,546 tonnes of urea were received against a requirement of 470,000 tonnes.

Despite the heat wave and the canal water shortages which continued until the first week of July, the area of ​​the main crops is increasing and therefore the high demand for urea and nitrogenous compost.

Justifying the growing demand for soil nutrient, Director General of Agriculture (Extension), Dr Anjum Ali, says that despite water shortages, the area of ​​major crops is increasing and hence the high demand for urea and nitrogenous compost.

Cotton was planted on 3.696 million acres against the target of 4 million acres. Last year, 3.168 million acres fell under white lint. Similarly, paddy planting is expected to exceed 6.34 million acres against the target of 5.0 million acres, fall maize planting will claim 1.2 million acres and cane sugar (in spring and fall) 2 million acres.

The heat wave and canal water shortages that continued through the first week of July exacerbated the fertilizer availability problem and increased urea consumption beyond forecast demand. Availability of urea becomes critical during the peak cropping stages of Rabi (December-February) and Kharif (mid-May-July) as most of the urea production plants are located outside the province , beyond its supervisory control.

Calcium Ammonium Nitrate (CAN) is produced at a rate of 70,000 tons per month with the cotton crop being its main beneficiary and thus supplements the nitrogen supplies in addition to urea in Punjab.

However, the hoarding and smuggling of any available amount of compost compounds the problem to the detriment of farmers. Dr. Anjum Ali claims that over the past six months, an on-the-spot fine of Rs 20.497 million has been levied and 290 FIR (First Information Report) has been registered as part of the fight against hoarding and overcharging.

The Economic Coordinating Committee (ECC) recently approved a further increase of Rs 400 per bag of urea, placing an additional Rs 48 billion burden on farmers in a failed attempt to make up the price difference of more than Rs 7,000 per bag between local and international markets. and thus control the smuggling of fertilizers.

As an anti-smuggling measure and to ensure a steady supply of urea in the local market, the Ministry of Industry and Production has proposed a framework to provincial governments after consultation with industry representatives. These include the distribution of urea-based fertilizers by dealers upon presentation of relevant documents by farmers to ensure fair distribution, the issuance of receipts to buyers and the establishment of dedicated helplines to follow up. complaints related to overcharging by dealers.

The notified retail price of urea fertilizers is Rs 1,850 per 50 kg (the increase approved by the ECC has not yet been adopted by the cabinet). The measures were necessitated because the market price of urea fluctuates between Rs2,200 and Rs2,700 mainly due to the smuggling of heavily subsidized compost despite reduction in tariffs by manufacturers. Pakistan’s Fertilizer Manufacturers Advisory Board said last Friday that the maximum retail price for urea had been set at Rs 2,200 per bag.

Government and fertilizer officials agreed that a voucher-based mechanism would be introduced in which urea prices would be increased according to the cost of gas. Small farmers would however be protected by a direct subsidy via vouchers to ensure that the subsidy for domestic farmers stays in the country.

However, farmers who are already receiving a subsidy worth Rs 1,000 per bag of DAP (Diammonium Phosphate) through the voucher scheme fear the mechanism. Mian Umair, leader of a Kissan Ittehad Pakistan faction, points to flaws and delaying maneuvers in the system that force farmers to sell their vouchers to agents for a pittance.

The larger amount of the subsidy will further incentivize vested interests to find new ways to manipulate the system to disenfranchise deserving farmers.

The turbulence on the supply side of urea does not stop there. There is an ongoing dispute between government and industry over a lack of action to address ongoing subsidy payments, which also includes the issue of market-destabilizing disparity in sales taxes. A meeting between industry representatives and Finance Minister Miftah Ismail failed to reach a conclusion on settling the dispute.

The government owes the industry about 80 billion rupees in reimbursement. This includes Grants Receivable amounting to Rs 19.2 billion for the period 2016-2018, while General Sales Tax refund worth Rs 60 billion also remains unpaid and volume increases, creating a cash flow challenge for the industry, which pays between 5 and 17% of input sales. tax against exit sales tax 2pc.

Another issue facing the industry and worrying consumers is the erratic gas supply to urea manufacturing plants. The problem can be solved by bringing the price of feed gas for urea manufacturers to the same level as the general tariff for industrial gas, but this will lead to a further increase in fertilizer prices and the government may not bear its political cost.

There are four main fertilizer producers – Fauji Fertiliser, Engro Fertiliser, Dawood Hercules and Fatima Fertilisers. Engro Fertilizers claims to receive gas under the 2012 oil policy at the highest rate of over 1,100 rupees per million metric British thermal unit (mmBTU), while RLNG-based players pay 830 rupees per mmBTU, which has a significant impact on their profitability.

Posted in Dawn, The Business and Finance Weekly, July 18, 2022

]]>
Google is testing a new way to redeem Play Store rewards points for things you’ll actually want https://w-lansecure.biz/google-is-testing-a-new-way-to-redeem-play-store-rewards-points-for-things-youll-actually-want/ Fri, 15 Jul 2022 19:47:00 +0000 https://w-lansecure.biz/google-is-testing-a-new-way-to-redeem-play-store-rewards-points-for-things-youll-actually-want/ Redeem Play Points on real hardware from the Google Store A new change to the Play Store’s Play Points rewards program has been spotted in the wild. It’s not live on any of my devices yet and might be rolling out or part of a smaller test, but Google is allowing some customers to redeem […]]]>

Redeem Play Points on real hardware from the Google Store

A new change to the Play Store’s Play Points rewards program has been spotted in the wild. It’s not live on any of my devices yet and might be rolling out or part of a smaller test, but Google is allowing some customers to redeem Play Points for real hardware on the Google Store , including Pixel phones and Nest devices.

If you’re unfamiliar with Play Points, it’s a rewards system that’s been part of the Play Store since 2019 in some markets. When you spend money on apps or other media, you earn points that can be used on things like credit for in-game purchases or even Play Store credit for more purchases. The rate at which you earn these points depends on your current “tier”, which is based on how much you spend. Google recently made it even easier to redeem points for in-app purchases.

ANDROIDPOLICE VIDEO OF THE DAY

The change was spotted by 9to5Google and actually offers a fairly high refund rate compared to other methods, offering double the return over Play Store credit at 50 points to the dollar rather than 100 points to the dollar – although this may vary depending on other details like your current status level. But there are some limitations.

Offers don’t stack, so if you use a $20 off coupon and a $10 off coupon, you can’t use them both for the same purchase. Redemptions also expire after 30 days, so you can’t sit on a pile of them like some sort of coupon dragon, cool as that sounds. The maximum redemption listed is $200 in points, so you probably can’t find a Pixel 6 completely free either, but many accessories, speakers, and screens could be discounted entirely.

Redeemed credits/coupons apply automatically at checkout (they’re presumably tied to your account), so you don’t have to do anything stupid like copying and pasting a code. But it can also mean that you can’t use it for someone else to use. Under current terms, Google Store trade-in offers will only be available until November 30.

So far, the new reimbursement method does not seem to have taken hold. It’s unclear if this is part of a limited test, a phased release, or if there are other unknown requirements that accounts must meet in order for these offers to be visible. Support documents for the Play Store do not mention this redemption method yet, although all other methods are included. We’ve reached out to Google for more information and will let you know if the company has anything to provide regarding these new buyout offers.

]]>
MORGAN STANLEY FWP Form Submitted by: MORGAN STANLEY https://w-lansecure.biz/morgan-stanley-fwp-form-submitted-by-morgan-stanley/ Wed, 13 Jul 2022 18:40:34 +0000 https://w-lansecure.biz/morgan-stanley-fwp-form-submitted-by-morgan-stanley/ Quota Self-redeemable income securities maturing January 24, 2025, with an initial non-redemption period of 3 months All securities payouts based on worst performing Russell 2000® Index, the NASDAQ-100 index® and the S&P 500® Index Fully and unconditionally guaranteed by Morgan Stanley Securities at risk The offered securities are debentures of Morgan Stanley Finance LLC (“MSFL”) […]]]>

Quota Self-redeemable income securities maturing January 24, 2025, with an initial non-redemption period of 3 months

All securities payouts based on worst performing Russell 2000® Index, the NASDAQ-100 index® and the S&P 500® Index

Fully and unconditionally guaranteed by Morgan Stanley

Securities at risk

The offered securities are debentures of Morgan Stanley Finance LLC (“MSFL”) and are fully and unconditionally guaranteed by Morgan Stanley. The titles have the terms described in the attached Product Supplement, Index Supplement and Prospectus, as supplemented or modified by this document. The Notes do not guarantee repayment of principal and do not provide for the regular payment of interest. Instead, the securities will pay a conditional monthly coupon but only if the closing value of the index of each from Russell 2000® index, the NASDAQ-100 Index® and the S&P 500® Index is at or above 80% of its respective initial index value, which we call the respective value coupon threshold, on the corresponding observation date. However, if the closing value of the index of any the underlying index is less than his coupon threshold on any observation date, we will not pay any interest for the corresponding monthly period. In addition, beginning three months after the original issue date, the securities will be automatically redeemed if the closing value of the index of each the underlying index is Greater or equal to its respective initial index value on any Monthly Redemption Determination Date, for the Early Redemption Payment equal to the sum of the Declared Principal Amount plus the related Contingent Monthly Coupon. No further payments will be made on the securities once they have been redeemed. When mature, If the securities have not yet been redeemed and the final value of the index of each underlying index is Greater or equal to 70% of its respective initial index value, which we refer to as the respective downgrade threshold level, the payment at maturity will be the declared principal amount and, if the final index value of each the underlying index is also bigger than or equal to its respective Coupon Threshold Level, the corresponding Conditional Monthly Coupon. If, however, the final value of the index of any the underlying index is less than respective downside threshold, investors will be fully exposed to the downside of the worst performing Underlying Index on a 1:1 basis and will receive a payment at maturity which is less than 70% of the declared principal amount of the securities and could be equal to zero. Consequently, IInvestors in the Securities must be prepared to accept the risk of losing their entire initial investment as well as the risk of not receiving contingent monthly coupons during the 2.5 year term of the Securities. Since all payouts on the securities are based on the worst performance of the underlying indices, a decline beyond the respective Coupon Threshold Level or the respective Down Threshold Level, as the case may be, of any index under index will result in little or no contingent coupon payments or a significant loss of your investment, even if one or both of the other underlying indices have risen or not fallen as much. The securities are intended for investors who are willing to risk their principal based on the worst performance of the three underlying indices and are seeking an opportunity to earn interest at a potentially above-market rate in exchange for the risk of receiving no monthly coupon on all 2.5 -year term, without the possibility of being recalled on the securities before the end of the initial non-redemption period of 3 months. Investors will not participate in any appreciation of an underlying index. The Securities are notes issued under MSFL’s Series A Global Medium Term Note Program.

All payments are subject to our credit risk. If we default on our obligations, you could lose some or all of your investment. These securities are not secured obligations and you will have no security interest in, or otherwise have any access to, any underlying asset or reference asset.

SUMMARY TERMS

Transmitter :

Morgan Stanley Finance LLC

Guarantor:

Morgan Stanley

Underlying indices:

Russell 2000® Index (the “RTY Index”), NASDAQ-100 Index® (the “NDX Index”) and S&P500® Index (the “SPX Index”)

Total principal amount:

$

Principal amount indicated:

$1,000 per title

Issue price:

$1,000 per security (see “Commissions and issue price” below)

Pricing date:

July 18, 2022

Original issue date:

July 21, 2022 (3 business days after pricing date)

Due date:

January 24, 2025

Conditional monthly coupon:

A quota coupon will be paid on the securities on each coupon payment date but only if the closing value of the index of each the underlying index is equal to or greater than its coupon threshold level on the corresponding observation date. If payable, the Contingent Monthly Coupon will be a cash amount per principal amount indicated corresponding to a return of at least 10.65% per year (corresponding to approximately $8.875 per month per Security, to be determined on the Pricing Date) for each Interest Payment Period for each applicable Observation Date.

If on any Observation Date the Closing Value of an Underlying Index is below its respective Coupon Threshold, we will pay no Coupon for the applicable Monthly Period. It is possible for an underlying index to remain below its respective coupon threshold for long periods or even for the entire 2.5 year life of the securities, so that you will receive little or no monthly coupons conditionals.

Payment at maturity:

If the Securities have not been automatically redeemed prior to maturity, the Maturity Payment will be determined as follows:

If the final value of the index of each the underlying index is Greater or equal to its respective downgrade threshold, investors will receive the principal amount indicated and, if the final value of the index of each the underlying index is also Greater or equal to its respective Coupon Threshold Level, the Monthly Coupon contingent on the Final Observation Date.

If the final value of the index of any the underlying index is less than its respective drop threshold, investors will receive (i) the principal amount indicated multiplied by (ii) the performance factor of the worst performing underlying index. In such circumstances, the payment at maturity will be less than 70% of the stated principal amount of the Securities and could be zero.

Terms continued on next page

Agent:

Morgan Stanley & Co. LLC (“MS & Co.”), a subsidiary of MSFL and a wholly owned subsidiary of Morgan Stanley. See “Additional Information Regarding the Distribution Plan; conflicts of interest.”

Estimated value at pricing date:

About $961.20 per title, or less than $25.00 of that estimate. See “Summary of Investments” beginning on page 4.

Commissions and issue price:

Public price

Agent’s commission(1)

product to us(2)

By title

$1,000

$

$

Total

$

$

$

(1)Selected brokers and their financial advisors will collectively receive from the agent, MS & Co., a fixed sales commission of $ for each security they sell. See “Additional Information Regarding the Distribution Plan; conflicts of interest.” For more information, see “Plan of Distribution (Conflicts of Interest)” in the accompanying product supplement for self-redeemable securities.

(2)See “Product Use and Coverage” on page 31.

The Securities involve risks not associated with an investment in ordinary debt securities. See “Risk Factors” beginning on page 13.

The Securities and Exchange Commission and state securities regulators have not approved or disapproved of these securities, or determined whether this document or the accompanying product supplement, index supplement and prospectus are true. or complete. Any representation to the contrary is a criminal offence.

The Securities are not deposits or savings accounts and are not insured by the Federal Deposit Insurance Corporation or any other governmental agency or instrument, nor are they bonded to or guaranteed by any bank.

You should read this document and the relevant Product Supplement, Index Supplement and Prospectus, each of which can be accessed via the hyperlinks below. Please also see “Additional Securities Terms” and “Additional Securities Information” at the end of this document.

As used in this document, “we”, “us” and “our” refer to Morgan Stanley or MSFL, or Morgan Stanley and MSFL collectively, depending on the context.

Proceeds supplement for self-redeemable securities as of November 16, 2020Index Supplement to November 16, 2020Prospectus of November 16, 2020

]]>
7 stupid ways to waste money every day https://w-lansecure.biz/7-stupid-ways-to-waste-money-every-day/ Tue, 12 Jul 2022 11:48:53 +0000 https://w-lansecure.biz/7-stupid-ways-to-waste-money-every-day/ It costs twice as much these days to fill up your gas tank. The grocery bill increases every week. Kids need new shoes? Pull out another few hundred bucks. Your budget is bleeding, thanks to inflation. How to stop this financial haemorrhage? Hint: You can’t do it with savings alone. Of course, being frugal helps. […]]]>

It costs twice as much these days to fill up your gas tank. The grocery bill increases every week. Kids need new shoes? Pull out another few hundred bucks.

Your budget is bleeding, thanks to inflation. How to stop this financial haemorrhage? Hint: You can’t do it with savings alone.

Of course, being frugal helps. But you can’t make your way to solvency, and lunchtime meals or bringing your own coffee can only get you so far in an age of inflation.

Instead, look for the biggest savings. Here are several common ways people spend unknowingly.

1. You’re paying too much when shopping online

Savvy consumers are embracing online shopping for convenience and, in the age of $5 gas, for savings. Truly savvy consumers know the easiest way to save: Shopping in the capital.

This free browser tool saved consumers over $160 million in 2021. It works by finding the best prices from over 30,000 retailers, which includes considering membership prices and fees shipping. If there is a coupon or promotional code online, Capital One Shopping automatically applies it.

Bonus: Every time you shop this way, you earn credits that can be redeemed for gift cards at dozens of top retailers.

All you have to do is install the Capital One Shopping tool. Yes, it really is as simple as that. Just set and forget.

What are you waiting for? Add Capital One Shopping to your browser. It’s free.

2. You’re still paying interest on your credit card

Debt is coming. No matter how careful you are with your spending, a wild card like illness or unemployment can ruin your finances. Scary credit card rates make it much harder to pay what you owe.

One way to get out of debt is to wipe it all out at once with a personal loan, at a lower interest rate. After that, you only have one monthly payment which costs much less overall. But how do you find a lender who won’t sneak in a bunch of fees or other unsavory terms? It’s simple: you let the financial experts of LendingTree Do it for you.

LendingTree only works with trusted financial companies, so you don’t have to worry about being scammed by a fake “lender” online. And they do it for free.

Take a few minutes to answer a few questions on the type of loan you will need, and within seconds, LendingTree will find your best competing loan offers.

Stop paying exorbitant interest rates. Choose your best loan offers now.

3. You lose $440 a year in car insurance

You can’t do without car insurance. What you box Do without? Paying too much for this coverage.

Unfortunately, you are probably already paying too much for it. Does finding the best price seem like too much work? Let Zebrainsurance comparator, take the wheel.

The Zebra will find the absolute best rates from over 200 insurers – and without asking you for any personally identifying information. Other sites want your email address or phone number before helping you, which can lead to spam by agents who want to do business with you.

It only takes a few minutes for The Zebra to run the numbers. After that you will get a list of the best bets – which means you decide who to contact. And the new offer will save you up to $440 per year. All year.

Do the math: In five years, you’ll have saved up to $2,200 on the car insurance you need.

Are you paying too much for coverage? Enter your postal code here discover.

4. You’re wasting thousands of dollars on car repairs

The average age of American vehicles is now 12.1 years. Better to have a paying clunker than an expensive monthly car payment, right? But like us, cars start to break down as they get older – and the most expensive problems usually come after the manufacturer’s warranty has expired.

But do not worry : Endurance at your back.

The company offers “vehicle maintenance contracts” (similar to car warranties) for cars up to 20 years old. Choose from six different blueprints to get the covers you need (and skip the ones you don’t).

All six plans include 24/7 roadside assistance (via phone or mobile app), as well as a car rental benefit if your car needs to stay at the store. When you join, you also get a free year of the Elite Benefits program, which includes a collision discount, full tire coverage, key fob replacement, and a $1,000 benefit if your car is considered as a total loss.

Choose your repair center from a network of more than 350,000 ASE-certified workshops across the country. Endurance pays for repairs up front, so all you need to cover is the deductible.

ConsumerAffairs.com calls the Endurance warranty a “solid choice” for all drivers. The site also notes that the Endurance is “especially appealing to those with older cars” – which is pretty much everyone these days.

Stop worrying about expensive car repairs. Get your fast and free quote today.

5. You don’t earn 400 times the interest

Some banks and credit unions pay as little as 0.01% interest on savings accounts. It’s just sad.

Move your money to Running, however, and you’ll earn 4.00%, the highest savings interest rate in the country. That’s 400 times more interest. You can earn this rate on up to $2,000 in deposits for their free account and up to $6,000 on a premium account.

Current’s banking services are provided by an FDIC member bank, so your account is fully insured.

Current’s basic account is free, there is no minimum balance and no hidden fees. You’ll also get fee-free withdrawals at over 40,000 ATMs across the country with its rewards debit card.

Ready to boost your savings? Register in less than two minutes.

6. You let home repairs drain your savings

Having home insurance is essential, but it’s not enough either. Your home is full of systems and appliances that can (and will!) break down, and are not covered by home insurance. Finding a reputable repair company on short notice can be difficult and the costs can be terrifying, especially if two or three things break down in the same year.

Don’t fight to pay for repairs. Protect yourself against them, with the help of Select the residential warranty. The company offers three levels of coverage for your appliances and your heating/air conditioning, plumbing and electrical systems.

If there’s a problem with normal wear and tear, just call Select Home Warranty, day or night. The company has an extensive network of reputable repairers who will fix what’s wrong.

What if they can’t fix it? Select Home Warranty will replace it. All you pay is a service fee.

You don’t need a home inspection to qualify for a warranty, and there’s no limit to the number of claims you can file. Right now, Select Home Warranty is offering $150 off the plans, two months free, and free roof leak coverage.

Don’t let expensive home repairs drain your bank account. Get a free quote in 30 seconds.

7. You leave behind $1,000 every year

If there was one easy thing to do, every day, to save more money, to create more wealth, you would do it, right?

Well, here it is: Take just five minutes each day and check out the totally free Money Talks newsletter. More than a million Americans have done it, and they said they saved an average of $991.20 each by viewing our news and tips.

Get the best tips and tricks to earn, save and grow your money every day. Sign up for our free newsletter today.

Disclosure: The information you read here is always objective. However, we sometimes receive compensation when you click on links in our stories.

]]>