Premyo Bonds launched

Bureau of the Treasury director III of Research Service Robert Dominick Mariano says during Wednesdays @ Habi at Kape at Abreeza mall the ‘premyo’ bond that the Bureau of Treasury recently launched encourages ordinary Pinoys to invest in risk-free investment. Lean Daval Jr

The Bureau of Treasury (BTr) has urged Davaoeños to invest in its newest program Premyo Bonds to promote the culture of savings and investment. 

The BTr recently launched the offering of P3 billion Premyo Bonds in a bid to raise funds for housing, education, healthcare, and social services.

Bureau of Treasury (BTr) director Robert Dominick Mariano told media in Wednesday’s Habi at Kape, that Premyo Bonds is part of the mandate of BTr to fund the requirements of the national government through the issuance of the funds.

“Our funding will be supporting various programs and projects of the national government at the same time this Premyo Bonds ay maihahalintulad natin siya sa ating mga previous na issuance na retail treasury bond. Ibig sabihin po nito gusto po nating introduce sa ating mga kababayan yung kultura ng pag-iimpok at pag-invest,” Mariano said. 

Individuals, cooperatives, retirement funds and provident funds may invest in these securities which are essential risk free. The Premyo Bonds only requires a minimum investment of P500. 

“Ang exciting dito sa Premyo Bonds ginawa natin siyang mas accessible at ang pinakamababang nating denomination ay P500 at ito ay purely retail ang ating target meaning hindi po ito para sa corporates or institutional investors. Ang gusto natin ay ang ating mga kababayan na nasa ibang bansa or OFWs ay magkaroon ng isang instrument or channel para sa kanilang mga savings. Kumita po sila sa isang investment na safe,” Mariano said. 

Every P500 placement is equivalent to one Premyo Bonds unit, which will serve as one entry in the quarterly raffle draw. The bond unit is valid until the final raffle draw date. 

“Ang pinaka-aabangan ng lahat ay yung quarterly interest. Meron din tayong ginaganap na quarterly draw.  Ang prices natin will start from P20,000 to P100,000 at isang winner every quarter of P1 million. Every P500 investment that you put into the Premyo Bonds entitled you to one entry,” he said. 

The winner of the P1 million cash reward in the first, second, and third cash rewards draw will receive a non-cash reward, which might be a condominium unit or a house and lot from Hotel 101, Lessandra by Vista Land, or Megaworld.

The bonds also provide relatively higher yield than time deposits and can be used for investors’ settlement accounts. 

“Relatively mas mataas ang returns na makukuha natin compared to normal deposits or time deposits. Sa annual interest na binibigay niya at 3 percent ito po ay makukuha ng investors quarterly so mabilis niyang makukuha ang interest ng kanyang investment. Pagkatapos ng isang taon ito ay magiging “short term” investment. In one year makukuha na natin ang principal investment,” he said. 

The bonds will have a tenure of one year and an interest rate of 3 percent per annum. 

The Premyo Bonds selling agents are Banco de Oro (BDO), BDO Capital and Investment Corporation, Chinabank Corporation, China Bank Capital Corporation, Development Bank of the Philippines, First Metro Investment Corporation, Land Bank of the Philippines, Metropolitan Bank and Trust Company. These institutions also act as Joint Issue managers.

An online ordering facility will be utilized to allow investors to place orders and purchases of Premyo Bonds. 

“Meron tayong twist na i-introduce to make this more of a promotion for first time investors para masasabi nating mas madali na mag-invest ngayon. Ginawa po natin accessible sa online through the website of the treasury. Basta meron kayong current savings or current account sa mga partner banks maari na kayong mag-subscribe from your cellphones,” Mariano said.  

The BTr will also conduct financial literacy sessions for overseas Filipinos in Washington, Dubai, Abu Dhabi, and Singapore.