The European Central Bank is about to cut interest rates, which could initially be due to a storm for banks by limiting their profit margins. A context which has therefore been reducing the yield on long and short-term deposits for weeks, and few are already keeping their yields unchanged. However, a company completely dissociates itself from it. photo and increases the performance offered by your vehicle in the short term.
This is the case of EBN Bank. The entity now offers a yield of 3.07%, compared to 2.70% in September for investing in one of these vehicles. The minimum level to start investing is 5,000 euros and it is a member of the Spanish Deposit Guarantee Fund (FGD). However, it is not the deposit that rewards the investor the most, since it maintain attractive returnsdespite the start of rate cuts. The falling cost of money directly affects the returns offered by banks for these investment vehicles. In fact, it is in short-term products that the biggest reductions have been made, although over the last two weeks many of them have maintained the same performance.
Among the deposits offering greater profitability to the investor with a duration of three months, the Cetelem, with 3.99%; BFF, with 3.80%; MyInvestor, with 3.5%; and EBN Bank, mentioned above. The returns offered by these entities exceed the highest returns on twelve-month depositssince Banco Finantia is the one with the most profitable one-year deposit, among the first 12, and offers 3.25%
Delving a little deeper into the most profitable vehicles, the Cetelem deposit, the financial company of the French bank BNP Paribas, has no minimum contract amount. Cetelem’s proceeds are attached to the Spanish Deposit Guarantee Fund (FGD), which guarantees the first 100,000 euros per depositor in the event of the entity’s bankruptcy. In the case of BFF, the minimum contract amount is 5,000 euros. The BFF Guarantee Fund is Italian and works in the same way: a maximum guaranteed amount of up to 100,000 euros per holder.
For now, on the Old Continent, up to two more cuts are expected, the next at the next bank meeting at the end of October, although on the other side of the Atlantic the market has modified its expectations in terms of rates. cuts by the US Federal Reserve. The market after the cut giant September does not expect more aggressive changes in US monetary policy thanks to strong employment in the US economy.
In line with the ECB’s trajectory, Selfbank changed its short-term yields last month from offering 3% to 2.85% yield, a drop of 15 basis points. However, this bank remains the vehicle with the lowest minimum amount per transaction.since it only requires 1,000 euros to start and the investment limit is one million euros.
At the end of September, the entities began this process, led by BFF, MyInvestor and Deutsche Bank, The former went from offering a 3.55% return on its three-month deposit, compared to 3.80% previously. This drop of 25 basis points is the same as that achieved by MyInvestor, i.e. a drop of 3.50% from the current 3.25% in its three-month vehicle. The German bank’s case is a slightly smaller reduction in its yield, 21 basis points, up to the 2.82% it currently offers.
