The "gift of the NIF" Bond offering

[shogun]

What really wrong with Kams though?

All she had to do was hush, or put out a measured reasonable disagreement with the governments fiscal plans and gain a couple political points off the public's skepticism of this move... she couldn't even do that? Instead she opted to come off desperate and unhinged from reality. She has no one advising her, or chiming in on public statements? She knows she's still the head of her party, right?

[88sins]

Maybe less than inflation but compared to the interest banks and other financial institutions offering it is much better

sounding like bait to see who they could ketch

Once people have a choice they will probably take the one paying higher interest. Makes sense. Does not understand the bait context

people usually have a choice with most things, & the majority will always try to get more for less. but many don't consider, the greater the potential return, the greater the potential for risk involved.
the bait context is that they are not showing exactly they plan to to get ppl investment to yield a minimum of 4.5% & emphasizing that it's more than a commercial bank would pay on a FD. So, they looking to target those that want the absolute most they can get from their investment, but don't really want to know/care how this happens as long as it happens.


& I suspect there is an alternative reasoning or two behind why they say they don't want "the 1%, & the elite in society" involved in this.

[88sins]

It sounds good, like herbal life..

more like organo gold & amway

[rspann]

Stop pushing . Join the line. We going and make real money with this.

[88sins]

u all by yuh onesies dey pal

[rspann]

But....but..... imbutt say so!

[neilsingh100]

This bond instrument is modeled almost identically to the Clico EFPA. It is funny government paid financial experts (i.e. same ppl that criticize Clico & EFPA) to come up with the same instrument.

[The_Honourable]

Website launched today: http://nif-tt.com/

[pugboy]

I am curious also to how they propping that dividend % rate

I own all those stocks individually and off the top of my head
I think only witco comes close
It’s not hard to get the past data or just call a stock broker

[De Dragon]

What really wrong with Kams though?

All she had to do was hush, or put out a measured reasonable disagreement with the governments fiscal plans and gain a couple political points off the public's skepticism of this move... she couldn't even do that? Instead she opted to come off desperate and unhinged from reality. She has no one advising her, or chiming in on public statements? She knows she's still the head of her party, right?

Like most politicians, the stupidest response comes automatically. Think of how a measured and factual basis would play out to the base, as opposed to the word Ponzi, and all its negative connotations. What do you think would rile them up more?

[88sins]

they shoulda launch it into outer space

[PariaMan]

I am curious also to how they propping that dividend % rate

I own all those stocks individually and off the top of my head
I think only witco comes close
It’s not hard to get the past data or just call a stock broker

Papers today say they should have extra from dividends. Not all companies are on tfhe Stock Market so I have to go with their figure.

My problem is that they giving companies a tax break on dividends earned

Why not make a certain amount into a tax incentive for the small man. Similar to how the credit union incentive used to work

Say maybe the first 30000

[Redman]

I am curious also to how they propping that dividend % rate

I own all those stocks individually and off the top of my head
I think only witco comes close
It’s not hard to get the past data or just call a stock broker

If the only assets are the stocks...8B worth....securing 4B worth of bonds.
So the Dividend yield on 8 is probably sufficient to maintaining the 'high yield' on the 4B worth of bonds.

additionally

I would assume that as time passes they can sell stock to support the yield as well.
so UP to $225M of stock could be sold to meet dividend payments on the bond.....

[88sins]

I am curious also to how they propping that dividend % rate

I own all those stocks individually and off the top of my head
I think only witco comes close
It’s not hard to get the past data or just call a stock broker

Papers today say they should have extra from dividends. Not all companies are on tfhe Stock Market so I have to go with their figure.

My problem is that they giving companies a tax break on dividends earned

Why not make a certain amount into a tax incentive for the small man. Similar to how the credit union incentive used to work

Say maybe the first 30000

4/5 are traded on the TTSE, the exception being TGU

[PariaMan]

I am curious also to how they propping that dividend % rate

I own all those stocks individually and off the top of my head
I think only witco comes close
It’s not hard to get the past data or just call a stock broker

Papers today say they should have extra from dividends. Not all companies are on tfhe Stock Market so I have to go with their figure.

My problem is that they giving companies a tax break on dividends earned

Why not make a certain amount into a tax incentive for the small man. Similar to how the credit union incentive used to work

Say maybe the first 30000

4/5 are traded on the TTSE, the exception being TGU

Papers to day claim.that they will have about 120 million extra per year to put in a sinking fund towards paying back capital.

As I said my issue is that big business will get a tax bresk.but not the small man

Obviously it is going to be secured by the government even if they do not explicitly say so and obviously it is more attractive that current bank rates

However I really believe that the small man should also be given an incentive if big business is getting one

[The_Honourable]

CL Financial bailout – the NIF matter

The National Investment Holding Fund Co Ltd (NIF) was announced (p.18) on 25th June 2018 by the Minister of Finance, Colm Imbert, as an important part of the endgame of the CL Financial bailout. That announcement, which had been prefaced in earlier statements by Minister Imbert, was stated to be part of the process to recover the public money which had been spent on the CLF bailout.

Read More: https://afraraymond.net/2018/07/12/cl-f ... if-matter/

[pugboy]

The prospectus lists the figures for a few years

2017 are:
Angostura dividend yield 1.75%
One Carib media 6%
Republic 4.5%
Tgu no history
Witco 6%

These dividend figures are higher than what I recalled in an earlier post and well are correct
Simply for the fact that share prices have plummeted last few years a lot more relative to the dividends paid so the yield/price %
Obviously would be higher with lower share price

[wickedtuna]

Is the return like 4% ....on 1000 that's $40 ......

[wickedtuna]

Asking eh allyuh doh blast meh

[pugboy]

Yes, it is 4.5% I think
Subjected to tax I think
And you get back your $1000 plus the $45 in 5 years

They say you can buy/sell later on the stock market, not sure if that will be at a fixed price or subject to market forces.

Btw digicel have bonds available also on the market at a yield of 20%

Is the return like 4% ....on 1000 that's $40 ......

[88sins]

The prospectus lists the figures for a few years

2017 are:
Angostura dividend yield 1.75%
One Carib media 6%
Republic 4.5%
Tgu no history
Witco 6%

These dividend figures are higher than what I recalled in an earlier post and well are correct
Simply for the fact that share prices have plummeted last few years a lot more relative to the dividends paid so the yield/price %
Obviously would be higher with lower share price

& THIS is an issue. Because it's a relatively new company, (earliest data I could find was 2013, so it's barely 5 yrs old) there is not much info out about it, & not a whole lot of data available for comparison to get good idea of what's to be expected.
I went thru the audit reports & i noticed some substantial fluctuations between 2016 & 2017. Now, one has to wonder, what's the overall percentage & value of TGU's input into this scheme in relation to the total combined value overall? & how will the revenue generated from the sale of these bonds be distributed within the group to be used to boost production, sales, & revenue. And that is if any is distributed within the group at all.

I getting the sinking sensation that the entire proceeds generated from the sale of these bonds goes to TGU & the state will draw it out from TGU & do whatever the hell they want with it, in other words, use it to line somebody's pockets.

[Redman]

I don't think the funds received from the sale of the bonds go to the companies.
The money repays GORTT for the cl bailout.

The equity in the companies is vested in nif,NIF raises the 4b.

GORTT gets its money back.

The NIF is raising capital..not the companies.

[pugboy]

So in five years when the bond matures
They need to find money to repay the bond amount eg $1000 plus the $45 interest

They gonna have to unrepay that gortt somehow

I don't think the funds received from the sale of the bonds go to the companies.
The money repays GORTT for the cl bailout.

The equity in the companies is vested in nif,NIF raises the 4b.

GORTT gets its money back.

The NIF is raising capital..not the companies.

[88sins]

So in five years when the bond matures
They need to find money to repay the bond amount eg $1000 plus the $45 interest

They gonna have to unrepay that gortt somehow

I don't think the funds received from the sale of the bonds go to the companies.
The money repays GORTT for the cl bailout.

The equity in the companies is vested in nif,NIF raises the 4b.

GORTT gets its money back.

The NIF is raising capital..not the companies.

anyway u look at it, either the gortt or the ppl that put up their money into this gonna be on the hook for this bailout. when they buy back the bonds, they will be in the same position they are in now. this madness basically goes like this. I bail you out with a loan, you give me a few assets to hold that worth less than the loan, I leverage & borrow money on those assets & have to pay it back with interest, meanwhile for whatever reason you breaksin paying me back all you borrow.

me eh go tell ppl nutttn, but I eh putting a dollar into that NIFty nonsense

[pugboy]

yes, a payback later scenes

if the share prices go up buyers will lose out on increased asset value compared to somebody who bought the actual shares directly

I believe the shares are also unguaranteed
I dont think it is a risky investment but one should look at it as a 5 year fixed deposit and compare to other offerings on the market

[PariaMan]

yes, a payback later scenes

if the share prices go up buyers will lose out on increased asset value compared to somebody who bought the actual shares directly

I believe the shares are also unguaranteed
I dont think it is a risky investment but one should look at it as a 5 year fixed deposit and compare to other offerings on the market

Exactly . It will be a safe investment. It gives a guaranteed dividend which I believe is more that current fixed deposits
It is up to the individual if he is willing to risk investing in some other instrument , like shares ,where he can get a better return.

[The_Honourable]

If the 5 year, what is the minimum amount someone can invest to get a decent return? $1000 not cutting it for sure.

[PariaMan]

100000 will give 4500 per year or 22500 over 5 years

[The_Honourable]

This morning on CNC3's the Morning Brew Hema Ramkissoon spoke with the Minister of Finance Colm Imbert about the National Investment Fund. Mr Imbert suggested that all citizens get involved fast as he decides NIF as a great investment.

[Redman]

So NIF owns 51% of RBL.
Does this mean that the future dividend policy is influenced by an entity that needs RBL to pay higher dividend s?

In terms of repayment... ultimately they will sell some of the stock to make principal payment s