Btp Italia, the coupon will yield at least 2%. From Monday 6 March off to placement – Corriere.it

The new BTP Italia, indexed to the inflation rate, maturing on March 14, 2028, render 2%. For attract savers, in the light of inflation which slows down thanks to the slowdown in energy but remains high, at 9.2% in January on an annual basis (+0.2% on a monthly basis), due to the acceleration in food , the Treasury offers a higher guaranteed interest rate for the first 2023 issue of long-term government bonds linked to the cost of living compared to the last placement last November, the Btp Italia with maturity 22 November 2028 and coupon of 1.6%, which traded on the market on Thursday at 97.40 cents, correspond to a yield on maturity of 2.10%, compared with a yield of 3.80% on the BTP with a fixed coupon of the same duration. The 10-year BTP, for its part, yields 4.52%.

The characteristics of the BTP Italia

The new Btp Italia will have a duration of 5 years and a guaranteed annual real rate, with six-monthly coupons indexed to the national consumer price index for blue and white-collar families (Foi), excluding tobacco. The half-yearly capital revaluation will be paid with the coupon (also provided for a floor in case of deflation. The nominal capital will be guaranteed at maturity, even in the event of deflation. Also for this issue the Treasury plans a loyalty bonus of 0.8% for those who buy when issued in the first phase of the distribution period, from 6 to 8 March, reserved for individual savers, and holds the bond until maturity.

The placement

The placement it will start on Monday 6 March and until 8 March it will be reserved for small investors (retail), the Treasury has not set a maximum limit, thus guaranteeing total satisfaction of the requests, but the Mef has the right to close the issue early. The second phase of the distribution will start on the 9th, which will be open to institutional investors. The last bond of this type, the Btp Italia launched in November 2022 raised around 12 billion eurosconfirming the interest of these instruments among savers and households to whom they are addressed.