How to invest in government securities

There are several types of government securities available for investment, they are available in primary markets and secondary markets and each one of them is used by different kind of investors;
EXAMPLE OF GOVERNMENT SECURITIES
1.TREASURY BILLS
this kind of bonds are the shortest government security available.there are no interest payment during the life time of the bond,interest are only received at the end.This is the avenue for your short time investment.
2.ZERO COUPON BONDS
coupon bond operates in the same manner as treasury bills, the payment of interest is made at end of the life time of bond.the only difference is that treasury bills as a shortest life time.
3.TREASURY BONDS
it as a maturity period of one year, the payment are made every six months.many economist use this bond to measure the performance of given country.when the demand is high then that economy is performing well but when demand is low it means that the economy is not in good shape
4.TREASURY NOTE
the maturity period of this bond start after ten years and onwards.this bond is usually used by pension and insurance companies.it is usually good for individual or organization that are looking for long term investment,payment are made after every six months.

Greece second bailout

Eurozone finance minister have agreed a second bailout for greece at talks held at Brussels. Under the agreement Greece will get loans of more than 130bn euros and have about of its 107bn debt written off.in return it must slush its debt from 160% to 120% of GDP within 2020, and accept a permanent EU economic monitoring mission.Private holders of Greek debt will take losses of 35.5% on the value of the bonds with the real loss as much as 70%.Also Greece will have to amend its constitution to give priority to debt repayment over the funding of government services.

Banking And Finance Home: Undrstanding the stock market

Banking And Finance Home: Undrstanding the stock market: Stock market is complex and hardly understood by many it is dynamic sector.before starting to invest at stock market you should look for eno...

Watered capital

Term used where successful company issues bonus shares and this tends to reduce the price and yield of all its shares though is does not affect the return to original shareholders

Double option

It gives the right to buy or sell at the prevailing price on the day options arranged over the following three months period.

A put option

It gives the right to sell at prevailing prices on the day the option is arranged over the following three months period.

A call option

It gives the right to buy a given share at the prevailing prices on the day the option is arranged at time over the following three months

Blue chips

This are high grade eguity shares i.e the ordinary shares of companies which have a good dividend records extending over many over years such shares are in high demand in the stock exchange.

Gilt edged securities

Thase are securities sold by the goverment, these are considered as absolutely save regarding to the payment of interest and refund of capital.