It took only four months of bitter failures for the dynamic two Conte and Gualtieri to understand that the only way to obtain the funds necessary to prevent the Italian economic disaster from being a little less than the worst is to issue securities. The government then decided to put some salt in the pumpkin and also provided for issues reserved for Italian investors.
In the 1990s most of the Italian public debt was in the hands of the Italians, which allowed it to be managed with relative independence from international speculators. Furthermore, the payment of interest remained within the Italian economic system: the state took money with taxes and returned it in the form of interest. Then this situation started to evolve, and not in a positive way.
So it is desirable that the BTP will come back in hand mainly Italian, because in any case it will be a redistribution within the system, especially since a substantial slice is already in the hands of Italian credit or insurance institutions or the Bank of Italy. At that point, the interests would remain within the economic system, feeding it.
Having said this, the yield structure of the BTP Italia Futura is such that … savers must wish us a dry change of government.
In fact, we see the essential data, as published by the information sites:
- duration from 8 to 10 years;
- simple coupon;
- minimum return 1% linked to economic growth and which can reach 3% before maturity;
- sale only retail through MOT with IMI and Unicredit leader.
A tool clearly dedicated to the simple investor who, as mentioned, must wish for a change of government. Because if the yield is tied to growth, no government with the Hyperueoperista PD and the Hyperburocrat M5s can guarantee decent economic growth. Let's talk out of the way, how can government forces ensure that:
- by their nature they are against the development of entrepreneurship and small businesses;
- they are the expression of the national bureaucratic apparatus, and will never reduce it;
- they are the expression of an untouchable judicial power which would require profound reform;
- they are the expression of a distrust in Italy and in Italian citizens.
If savers want to collect 3% then they will have to want any government, as long as it excludes or overshadows these political forces. Savers will tangibly see, in their pockets, the effect of a change of driving, and will earn more ……
The article BTP ITALIA FUTURA: A GOOD INVESTMENT, IF WE HUNT COUNT AND GUALTIERI … comes from ScenariEconomici.it .
This is a machine translation of a post published on Scenari Economici at the URL https://scenarieconomici.it/btp-italia-futura-un-buon-investimento-se-cacciamo-conte-e-gualtieri/ on Wed, 10 Jun 2020 12:53:46 +0000.