GICs not coming from the big banks and the Home Capital saga
GICs not coming from the big banks and the Home Capital saga
Hi,
Is it me or GIC rates that I see on BMO IL are going up (a little bit)?
I have a lump sum to invest in GICs and wonder if I should wait a bit or jump in right now. I know that Home Capital is reporting results tonight and I wonder if it's reasonable to wait in case rates would go up again. I know that you don't read crystal balls but you could be aware of things I don't know/don't understand.
Thanks
PS: not worried about bankruptcy, all GICs offered by BMO IL are CDIC backed.
Is it me or GIC rates that I see on BMO IL are going up (a little bit)?
I have a lump sum to invest in GICs and wonder if I should wait a bit or jump in right now. I know that Home Capital is reporting results tonight and I wonder if it's reasonable to wait in case rates would go up again. I know that you don't read crystal balls but you could be aware of things I don't know/don't understand.
Thanks
PS: not worried about bankruptcy, all GICs offered by BMO IL are CDIC backed.
Re: GICs not coming from the big banks and the Home Capital saga
GIC rates depend on what needs to be offered to attract deposits for mortgage lending purposes. Influences include the 2-5 year bond yield curve, and speculation on BoC short term interest rate movement. If you have a 6 sided dice, roll it.
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- SoninlawofGus
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Re: GICs not coming from the big banks and the Home Capital saga
Agree with AR. Even the GICs sold through brokerages are a good 1% more than the comparable 5-year GOC bond. You'd need to go out to six years or so to get the same with provincials (which have gotten better if I'm not mistaken). I don't know what's going to happen with rates. It could be that the worst news is priced in regarding the Home Capital saga, but I have no idea.
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Re: GICs not coming from the big banks and the Home Capital saga
It is true that best GIC rate on BMOIL has gone up from just under 2% at the beginning of the year to 2.10% which I think the high for the year. But it is discouraging to see that the 5 year rate available outside is from Canadian Tire Bank at 2.5%, and that it is only 1.95% via BMOIL.
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Re: GICs not coming from the big banks and the Home Capital saga
http://www.zerohedge.com/news/2017-05-1 ... e-capital-
How much truth in this article about the banks' actions on Home Trust deposits and should I be concerned (have several Home Trust GIC's though RBCDI and TDDI)?
Sorry I don't understand CDIC coverage vs bail-out in this situation ...
How much truth in this article about the banks' actions on Home Trust deposits and should I be concerned (have several Home Trust GIC's though RBCDI and TDDI)?
Sorry I don't understand CDIC coverage vs bail-out in this situation ...
- NorthernRaven
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Re: GICs not coming from the big banks and the Home Capital saga
Step 1: Relax. Everything under the CDIC $100K limits is protected, in all circumstances, should it come to that.Hopetoretire wrote: ↑14 May 2017 08:22 http://www.zerohedge.com/news/2017-05-1 ... e-capital-
How much truth in this article about the banks' actions on Home Trust deposits and should I be concerned (have several Home Trust GIC's though RBCDI and TDDI)?
Sorry I don't understand CDIC coverage vs bail-out in this situation ...
Step 2: Stop reading ridiculous websites like zerohedge...
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Re: GICs not coming from the big banks and the Home Capital saga
To follow up on this, on BMOIL the best 5 year rate went up to 2.15% on Friday and 2.25% today (both Equitable Bank). Second highest is 2.10% Concentra Bank.2of3aintbad wrote: ↑11 May 2017 17:01 It is true that best GIC rate on BMOIL has gone up from just under 2% at the beginning of the year to 2.10% which I think the high for the year. But it is discouraging to see that the 5 year rate available outside is from Canadian Tire Bank at 2.5%, and that it is only 1.95% via BMOIL.
Re: GICs not coming from the big banks and the Home Capital saga
On Scotia iTrade, both Home Trust and Equitable Bank are 2.25% and Concentra is 2.1%
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Re: GICs not coming from the big banks and the Home Capital saga
Oaken is looking for money
Guaranteed Investment Certificates (GIC)
Long-term GICs
Term 5 Year
Annual compound or annual pay 2.60
Semi-annual 2.55
Monthly 2.50
Guaranteed Investment Certificates (GIC)
Long-term GICs
Term 5 Year
Annual compound or annual pay 2.60
Semi-annual 2.55
Monthly 2.50
This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed
Re: GICs not coming from the big banks and the Home Capital saga
That should capture some renewals.... albeit unlikely new money.
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Re: GICs not coming from the big banks and the Home Capital saga
This morning I'm seeing 2.85 (compound/annual) 2.75 (monthly) for the five year!
other rates https://www.oaken.com/gic-rates/