He The classic fixed term is becoming the focus of savers amid a stable dollar price scenario as the peso rate offers a higher return than the US note. In addition, investors should be aware of an equally important aspect: some banks The more money you leave deposited, the more tempting the income provided. One of these cases is that of Provincial Bankthe state unit of the province of Buenos Aires.
It should be remembered that the Minimum reserve period of funds which is required by the financial system for the placement of a retail deposit by individuals is dand 30 days.
This applies to the same period The annual nominal interest rate (TNA) for the BAPRO varies depending on the amount invested. This means that it increases the more pesos are deposited.
This way when it is armed For a traditional fixed term for a period between 30 and 60 days, an amount between US$1,000 and US$4,999,999 will receive 22% of the TNA.
Now if this investment was for the same time, but with an amount of money between $5 and $9,999,999will be the profit 23% of TNA.
In the meantime, when the stakes are raised and between $10 and $19,999,999for a similar period you will receive 24% of TNA.
And if a person wants to do it $20 million or more With a traditional fixed term, you get between 30 and 60 days a 25% TNA.
That means, If you increase the investment volume, you can earn up to 3 percentage points additional per year in this instrument.
The same applies in each flow area of the invested pesos: If the reserve time increases, income also begins to increase.
For example, in the range between $1,000 and $5 million, if you leave the money between 60 and 119 days, you will receive another percentage point, i.e. 23% of the TNA. And from 120 to 364 days another additional point is earned, 24% of TNA.
And if the funds remain longer than available 365 daysthe price is higher because you start earning a nominal APR of 26%.
The maximum rate which you can get in Banco Provincia owns 29% of TNAif more than is placed $20 million over 365 days.
Fixed term versus dollar and inflation
In short, the investor who deposits an amount of Between $1,000 and $4,999,999 you will receive 22% TNA for 30 to 60 days. Therefore in a Month will receive one Income of 1.8%.
This percentage will be less than that inflation planned for the whole of December, which is the case according to the last one Survey of market expectations (REM)created by the central bank among a group of 40 economists from banks and consulting firms, an increase of 2.1%.
Although they would begin to converge in the coming months because e.g January is expected Inflation of 1.9%for February it is estimated that it will be so 1.7% and for march that a rise in consumer prices is imminent 1.8%.
Instead this The traditional fixed maturity in Banco Provincia outperforms the movement of the dollar price. because in the cumulative data for December there are practically “Iron“.
And depending on operations in the options and futures market, over the course of the month it would only be 0.2%.
Finally, In December, the peso rate will significantly outperform the dollar’s movement.
So, In Banco Provincia, if a traditional fixed term is set for an initial amount of, say, $2 million for a period of 30 days, a total profit of $2,036,164 will be made during that period..
Therefore, More than 36,000 additional pesos are generated every month with the money invested, which corresponds to an income of 1.8% monthly or 22% of the TNA.-
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