The upcoming sale of special treasury bonds has attracted the attention of many individual investors. It is understood that from May 27, investors will be able to purchase the 2024 ultra-long-term special treasury bonds (second phase) at designated banks. This batch of government bonds are 20-year fixed-rate coupon bonds with a winning bid interest rate of 2.49% and a total par value of 40 billion yuan.
According to the announcement issued by the Ministry of Finance, the tendering of these treasury bonds has been successfully completed, and distribution to the public will begin starting May 27, with investors able to trade them on the market from May 29 onwards.
For individual investors, May 27 will be an important day, as from that day on, they will have the opportunity to purchase this issue of special treasury bonds at China Merchants Bank and Zhejiang Commerce Bank. According to an investigation by the Financial Times, although other banks like Industrial and Commercial Bank of China, China Construction Bank, and Everbright Bank have not yet announced the launch of this business, China Merchants Bank and Zhejiang Commerce Bank have already prepared and are actively providing a purchase channel for individual investors.
China Merchants Bank has announced that from 10 a.m. to 3:30 p.m. on May 27, individual investors will be able to purchase the second phase of ultra-long-term special treasury bonds via the bank’s PC client, mobile app, or directly at bank branches. The bank has set a cap of 500 million yuan for this issue and has not set a purchase limit for individual investors.
Zhejiang Commerce Bank will also open the purchase channel during the same time period, where individual investors can buy the special treasury bonds via mobile banking or at bank branches. According to the customer service staff of the bank, individual investors can carry their personal bank cards and ID cards to bank branches to open a bond custody account and complete the related risk assessment, or handle corresponding procedures via mobile banking and other self-service channels to start purchasing.
It is worth noting that China's 30-year ultra-long-term special treasury bonds have been issued since May 17, with a total face value of 40 billion yuan and a coupon rate set at 2.57%. Following closely behind, China Merchants Bank and Zhejiang Commerce Bank opened purchase channels for individuals on May 20, and the treasury bonds were subsequently traded on the market on May 22. As ultra-long-term special treasury bonds gradually become normalized products, their investment value is increasingly recognized by the market.
In the early stages of market trading, the price of the "24 Special National 01" bond experienced a significant rise, and it even triggered two temporary suspensions on the day of listing due to the sharp increase in price, with the rise reaching as much as 25% at one point. However, as time passed, the price of "24 Special National 01" has fallen back, reflecting the volatility of market prices.
Lastly, it needs to be reminded to individual investors that purchasing ultra-long-term special treasury bonds also comes with risks. As book-entry treasury bonds, their trading prices fluctuate with market conditions. Therefore, there may be trade gains due to rising market prices or potential losses caused by falling market prices. Consequently, before investing, investors should fully understand the market situation and assess their own risk tolerance.
"Individual investors should allocate assets based on the profit potential of the transaction when investing in book-entry Treasury bonds, rather than simply holding them to maturity." To ensure the safety of investors' funds, the Ministry of Finance specifically points out that individuals who want to participate in such investment activities must have relevant investment experience and the ability to withstand certain investment risks.
Comments 0