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Hi there Staff,
91 Day T-Invoice reveals an yield of round 6.9%, does this imply I receives a commission 6.9% for 3 months (91 days) or is it annualized. Instance, 6.9%/12=.575 and this multiplied by 3 is round 1.725% for 91 days, kindly make clear this please.
Hello @Mahesh2020
The returns are annualized. Your calculation is appropriate.
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6.9% is annualized. You’re going to get 1.725%.
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Mahesh2020:
does this imply I receives a commission 6.9% for 3 months (91 days)
If this occurs the entire capital market will collapse. Simply Kidding. you get annualized.
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If I make investments 10000, how a lot will I get after 91 days?
(Cash invested * rate of interest) * (T-bill interval/365)
Hey @roman_empire
Treasury payments are zero coupon securities and pay no curiosity. As a substitute, they’re issued at a reduction and redeemed on the face worth at maturity.
For instance, a 91 day Treasury invoice of ₹100/- (face worth) could also be issued at say ₹ 98.20, that’s, at a reduction of say, ₹1.80 and could be redeemed on the face worth of ₹100/-. The return to the buyers is the distinction between the maturity worth or the face worth (that’s ₹100) and the problem value.
Chances are you’ll consult with the illustration talked about within the beneath yield calculation for in depth readability –
Chances are you’ll take a look at this chapter from Varsity to be taught extra about authorities securities ! Hope this helps 
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is the tax on these slab-wise or STCG?
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