About Good Returns  |  Advertise  |  Contact Us  |  Terms & Conditions  |  RSS Feeds Other Sites:   depositrates.co.nz  |   landlords.co.nz
Last Article Uploaded: Wednesday, July 29th, 7:54PM
rss
Latest Headlines

Deposit scheme scares off govt bond buyers

For the first time in three years the New Zealand Treasury’s Debt Management Office (DMO) has cancelled a bond tender after the government’s deposit guarantee scheme dampened investor demand.

Thursday, October 16th 2008, 6:45AM

by David Chaplin

According to Phil Combes, DMO Treasurer, feedback from market participants prior to the bond offer, which was scheduled for October 16, indicated it would not be successful.

In a statement the DMO said: “Consultation with market participants indicated that there had been recent selling of government bonds by retail holders.”

“Market participants also advised that demand for bonds was likely to be temporarily reduced while investors sought further details of the deposit guarantee schemes announced by the Australian and New Zealand governments over the weekend.”

However, Combes said the DMO remained confident a government bond tender set down for October 30 would continue as planned. Government bonds are normally offered every fortnight and also on an ad-hoc ‘tap tender’ basis depending on demand.

The DMO statement said five ‘tap tender’ issues have gone off successfully since Treasury began the practice in July this year.

Combes said while a government bond tender cancellation “certainly is rare” it was not unprecedented.

“The last time we had to cancel was in 2005,” he said.

Despite the failure of the bond tender the DMO said it still managed to sell $200 million in short-term Treasury Bills this week.

The government has planned to ramp up debt levels over the next few years with $4 billion of bonds expected to be offered over 2008/9 year, a further $6 billion in the next 12-month period and $9 billion over 2010/11.

« Income funds shine in KiwiSaver surveySovereign takes regulation bull by the horns »

Special Offers

Commenting is closed

 

print

Printable version  

print

Email to a friend
News Bites
Latest Comments
  • PAA axes holiday homes scheme
    “I wish I had found this discussion before. I'm surprised the mainstream media aren't tearing the PAA to shreds over this....”
    5 hours ago by drelly
  • RFAs backing call for one law for all
    “A large number of RFA's had already accepted and operated under the Code's standards, so I for one totally agree. ...”
    11 hours ago by Referee
  • FSC: All advisers should be equal
    “Tash and Gavin, Thank you! Sales, yes there is an element in every product or service ever paid for, and some that aren't...”
    1 day ago by RiskAdviser
  • FSC: All advisers should be equal
    “This is an interesting debate. It pretty much highlights the state of financial ‘advice’ here and around the world. The...”
    1 day ago by AFA Muggins
  • FSC: All advisers should be equal
    “i started in the life & general insurance industry in the early 80s. was told - life insurance is sold and not bought. it...”
    1 day ago by w k
Subscribe Now

Weekly Wrap

Previous News

MORE NEWS»

Most Commented On
Mortgage Rates Table

Full Rates Table | Compare Rates

Lender Flt 1yr 2yr 3yr
ANZ ▼6.24 5.10 5.59 5.59
ANZ Special - 4.89 4.99 -
ASB Bank 6.50 5.25 5.49 5.75
ASB Bank Special - 4.89 5.10 5.39
BankDirect 6.50 5.25 5.49 5.75
BankDirect Special - 4.89 5.10 5.39
BNZ - Mortgage One ▼6.65 - - -
BNZ - Rapid Repay ▼6.24 - - -
BNZ - Special - - ▼4.69 -
BNZ - Std, FlyBuys ▼6.24 5.19 5.39 5.29
BNZ - TotalMoney ▼5.99 - - -
Lender Flt 1yr 2yr 3yr
Credit Union Auckland 6.70 - - -
Credit Union Baywide 6.45 5.75 5.75 -
Credit Union North 6.45 - - -
Credit Union South 6.45 - - -
Finance Direct 6.10 6.45 6.69 7.10
First Credit Union 6.45 - - -
HBS Bank ▼6.14 5.39 5.39 5.39
HBS Special - 4.99 4.99 4.99
Heartland 6.70 7.00 7.25 7.85
Heretaunga Building Society 6.45 5.10 5.40 -
Housing NZ Corp 6.49 5.19 5.49 5.59
Lender Flt 1yr 2yr 3yr
HSBC Premier 6.60 4.89 4.89 5.29
HSBC Premier LVR > 80% - - - -
HSBC Special - 5.29 5.29 5.29
ICBC 6.75 5.99 6.39 -
Kiwibank ▼6.15 5.39 5.49 5.69
Kiwibank - Capped - - - -
Kiwibank - Offset 6.40 - - -
Kiwibank Special - 5.09 4.99 5.39
Liberty - - - -
Napier Building Society 6.50 5.80 6.70 -
Nelson Building Society 6.70 5.65 5.95 -
Lender Flt 1yr 2yr 3yr
NZ Home Loans ▼6.60 5.39 5.49 6.29
Perpetual Trust 7.70 - - -
Resimac 5.84 5.60 5.65 5.79
SBS Bank ▼6.14 5.39 5.39 5.39
SBS Bank Special - 4.99 4.99 4.99
Sovereign ▼6.35 5.25 5.10 5.75
Sovereign Special - 4.89 5.10 5.39
The Co-operative Bank 6.20 4.89 4.99 5.20
TSB Bank ▼6.24 5.45 5.49 ▼5.40
TSB Special - - 4.99 5.40
Wairarapa Building Society 6.20 5.75 5.95 -
Lender Flt 1yr 2yr 3yr
Westpac ▼6.15 5.39 5.39 5.59
Westpac - Capped rates - ▼6.15 ▼6.15 -
Westpac - Offset ▼6.15 - - -
Westpac Special - - ▼4.69 -
Median 6.45 5.27 5.39 5.40

Last updated: 29 July 2015 7:54pm

News Quiz

The maximum remuneration model for Australian life insurance advisers is to be set at what?

Upfront 40% + trail 20%

Upfront 50% + trail 10%

Upfront 50% + trail 20%

Upfront 60% + trail 10%

Upfront 60% + trail 20%

MORE QUIZZES »

About Us  |  Advertise  |  Contact Us  |  Terms & Conditions  |  Privacy Policy  |  RSS Feeds  |  Letters  |  Archive  |  Toolbox
 
Site by Web Developer and eyelovedesign.com