MILAN. The minimum annual coupon of the new BTP Italia will be equal to 2%. The subscription of what is the nineteenth edition of the government bond linked to our country’s inflation will start on Monday 6 March and end on Thursday 9 March (day will be reserved for institutional investors). The coupon level communicated yesterday by the Treasury is higher than that of the November 2022 session. At the time, the rate was set at 1.6%. As usual, the definitive coupon will be announced at the opening of the fourth day of issue and may be confirmed or revised upwards.
The new Btp Italia will have a duration of 5 years (March 2028) and will pay a loyalty bonus of 8 per thousand on invested capital. Provided, however, that the investor who buys on the issue days holds the security until maturity.
Above all, the six-monthly capital appreciation due to inflation will attract attention. A way to allow small savers to protect themselves from the high cost of living. In February, the Istat index marked +9.2%, compared to +10% in January. A level that erodes the money set aside and can be stemmed with the most suitable investment choices. Every 6 months, the BTP Italia pays its holder the recovery of the loss of purchasing power that occurred in that period, through the payment of the six-monthly revaluation of the subscribed capital. Furthermore, the coupons, which are also paid semi-annually, guarantee a constant minimum return in real terms. The amount of each coupon is calculated by multiplying half of the fixed annual coupon real interest rate, established at issue, by the subscribed capital revalued on the basis of inflation occurring on a six-monthly basis.
Last November’s issue had collected almost 12 billion euros after the 9.45 billion in June with a security maturing in 2030. Operators expect next week’s collection to reach around 10 billion euros. —