After the Central Bank will cut the reference rate six timesmaking the fixed term even less attractive due to its negative real return, a new instrument is increasingly sought after by investors.
It is about the Capitalizable Treasury Bills (LECAP)what are you offering a higher performance than the banking instrument.
LECAP: what they are and how they work
Economic analyst Damián Di Pace assures that the Central Bank carried out “an abrupt cut in rates, for which it pays the banks for their loans up to 40% of the annual nominal rate, who in turn pay those who place a fixed term 32%”.
On the other hand, he points out, “Capitalizable Treasury Bills offer a rate higher than the fixed term and even exceeds the BADLAR rate: its yield is an effective monthly rate of 3.4%”.
In addition, “they are immediately redeemable, just like money market funds,” such as those used by Mercado Pago, Ualá and other virtual wallets to remunerate balances.
“But in this case they have a higher rate,” says Di Pace, who recommends them to “make give up your weight in the short term before they smoke during this harsh winter.”
These bonds can be traded through a settlement and clearing agent (ALyC), many of which have online platforms.
What Argentines save and invest in
Di Pace highlights that, according to a survey by the Naranja X financial education blog, Argentine parents save in the following way:
- 48% in dollars
- 27% in paid accounts
- 13% in fixed term
- 12% in gold
“Until now, in the accumulated of the year, with the gold obtained a return of 25%” in hard currency, warns Di Pace, while stating that “with the dollar and the fixed term lost against the advance of prices of the economy”.
“With the dollar, they lost more than with the fixed term. But the green is always green,” completes the analyst, who highlights that with “the remunerated accounts of the wallets, they beat the performance of the fixed terms with daily liquidity,” since it offers 3.3% monthly, one point more than the bank placement.
The expert emphasizes that “political uncertainty finds the dollar as a traditional refuge also with MEP or parallel operations“.
Father’s Day: what Argentines invest in
Di Pace highlights that, according to the Focus Market study for Naranja X, parents invest in the following financial market instruments:
Furthermore, as Father’s Day coincides with the month of aguinado, Di Pace assures that Argentines will use that extra to:
- Buy dollars: 24%
- Acquire shares: 21%
- Leisure expenses on winter holidays: 15%
According to Di Pace, “it is difficult to find savings mechanisms with positive returns compared to the evolution of inflation in the accumulated year. “Until now, in the case of the dollar and Fixed Term, they lost compared to the inflation of the period.”
“With the remunerated account remained liquid to change position or face expenses in pesos. Although inflation evolves at a lower level, assets Argentines are awaiting a higher level of certainty on the political and economic agenda,” he concludes.
