Mostlylost Posted June 13, 2020 Report Share Posted June 13, 2020 CETES are basically short term Mexican government bonds issued by the bank of Mexico.. Like govt bonds in any country they probably won't go away. CETES have different maturities available 28, 91, 182, and 364 days. There are also long term "bonds" of different types available for up to 30 year terms. CETES can be purchased direct so there is no commission. You can invest from $100 to $10,000,000 pesos https://www.cetesdirecto.com/sites/portal/inicio 1 Quote Link to comment Share on other sites More sharing options...
John Shrall Posted June 26, 2020 Report Share Posted June 26, 2020 Interest rates continue to drop rapidly. A 210 day fixed investment made last November at Multiva paid out today at 7.25%. I rolled the proceeds into a 360 day CEDE at 4.74%. Twenty eight day instruments were still under 5% so the gamble is that rates will continue to fall for the foreseeable future. Of course now that the money is locked in for the next year interest rates will probably start to rise. Quote Link to comment Share on other sites More sharing options...
Mostlylost Posted June 26, 2020 Report Share Posted June 26, 2020 Mexico dropped the prime rate again this week in hopes of stimulating the economy. Anuncio de Política Monetaria La Junta de Gobierno del Banco de México decidió disminuir en 50 puntos base el objetivo para la Tasa de Interés Interbancaria a un día a un nivel de 5%. Quote Link to comment Share on other sites More sharing options...
HoneyBee Posted June 26, 2020 Author Report Share Posted June 26, 2020 I feel your pain John Shrall as I am in the same boat. From what I am reading, the interest rates will most probably drop further.😩 Quote Link to comment Share on other sites More sharing options...
John Shrall Posted June 26, 2020 Report Share Posted June 26, 2020 Still better than the US where 1 year CDs are paying a hair above 1%. A 1 year T-bill is .15%. Multiva does have a 90 day investment that's paying over 5% but when that's up, what's next? One year CETES (different than CEDES) is paying 4.90% according to cetesdirecto.com. However if you start the process of setting up a new account there, you'll probably cancel based on all the information they want from you. Very intrusive. Quote Link to comment Share on other sites More sharing options...
Mainecoons Posted June 27, 2020 Report Share Posted June 27, 2020 The other big problem is the tax on investment accounts has risen to 1.45 percent per year of the account balance. So we are getting hit by falling yields on the one hand and a near tripling of the tax which is the same regardless of earnings, on the other. Quote Link to comment Share on other sites More sharing options...
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