The Ministry of Finance lists at BVB five new issues of FIDELIS government bonds with a cumulative value of almost RON 1.5bn

The Ministry of Finance (MF) attracted RON 534.8mn and EUR 191.3mn (values amounting to just almost RON 1.5bn – EUR 300mn) through the 13^th primary offer for the sale of government securities dedicated to retail investors (FIDELIS) held in the last three four using Bucharest Stock Exchange (BVB) systems.

Thus, the value of the 13 financing rounds carried out in the last four years on BVB by the Ministry of Finance reached RON 22bn (EUR 4.5bn).

‘We conclude a new Fidelis issue with good results, it seems that Romanians offer credit to government bonds, which are considered among the safest methods of investing and offer competitive returns. They are also and will remain tax-free. I couldn’t help but notice that through this movement initiated by Morning Glory, Rock FM, joined by the Ministry of Finance and concretely trying to support solidarity, a community of donor-investors is already being created. Financially educated people who want to protect their savings and who have come together for a noble cause. 1,037 donors invested in the first edition, then 1,293, now 1,319. Specialists tell us that the blood donated this year by Fidelis investors will save more than 10,000 lives’, stated Marcel Bolos, Ministry of Finance.

‘The success of the offer makes us happy, first of all, because we see a high interest of Romanians both for the allocation of their financial resources in government bonds, and because of their contribution to supporting the health system by donating blood. The 22 billion lei placed by Romanians in Fidelis government bonds, in the last four years, demonstrates a greater attention of Romanians to the management of their money and, at the same time, their trust in the Romanian State. This success is due to the investors and the entire team involved in the development of the offer, namely the Ministry of Finance, the intermediary consortium and Rock FM. They proved that Romanians have investor and donor blood’, said Radu Hanga, Bucharest Stock Exchange President.

‘Since 2020, the Ministry of Finance and the brokerage consortium have offered a mix of investments in lei and euros, which has attracted investors and, more recently, donors. We see that the amounts placed in lei are almost equal to those in euros, which shows that Fidelis government bonds are a good tool for capital management by the Romanians who are taking the first steps in the investment world, but also for investors, depending on their plans and their risk appetite. These bonds are generally more liquid than other types of bonds and can be easily bought and sold on the secondary market, thus allowing investors to access their funds quickly when needed’, mentioned Adrian Tanase, Bucharest Stock Exchange CEO.

The intermediary syndicate of the offer includes BT Capital Partners (Lead Manager and Intermediary) & Banca Transilvania (Distribution Group), Alpha Bank Romania, Banca Comerciala Romana and BRD – Groupe Societe Generale.

‘We are carrying on with a process that allows us to actively communicate with, and offer investing and saving opportunities to, the Romanian people. As regards the development of the capital market, few lasting projects can proudly affirm the impact that the FIDELIS government bonds program has had on the financial situation and education of this investor category. A new issuance is a new step towards strengthening the relationship with the local market’, said Vlad Pintilie, Deputy General Manager at BT Capital Partners.

‘The Government bonds issued as part of Fidelis Program have become a stable segment in the supply of financial instruments addressed to retail investors.  The increasing demand for such instruments comes both from investors that take the first step into capital market investments as well as from experienced investors due to saving opportunities in lei and euros and portfolio diversification opportunities’, said Nicoleta Ruxandescu, Alpha Bank Romania Investment and Capital Markets Unit Director.

‘The regular T-bonds issues within Fidelis Program performed by the Ministry of Finance have consolidated an indispensable instrument for the retail investors in Romania, representing a benchmark for the return on investment in securities with the lowest degree of risk. At the same time, they constitute a tool that facilitates an optimized portfolio management of financial assets and continuing the social approach initiated by the Ministry of Finance through the issue dedicated to blood donors benefits from increased interest among investors’, said Irina Neacsu, BRD – Groupe Societe Generale Corporate Finance Executive Director.

‘At BCR, we believe in financial literacy put into practice. The Ministry of Finance involvement and each Fidelis issuance is a step forward in increasing the number of individual investors and democratizing access to investment instruments. In fact, it is essential for us to support the conversation about investment portfolio diversification and suitability to personal risk profile, for intelligent financial choices and a more secure financial future’, said Ionut Popescu, BCR Financial Markets Executive Director.

In the offer, which took place between September 18 and October 3, Romanians placed almost 13,500 subscription orders for both RON denominated and EUR denominated government bonds.

The details of the bonds are available in the table below:

The bonds started trading on BVB, Monday, October 9, and can be bought or sold in a transparent manner, at any time, through the intermediaries authorized to trade on Bucharest Stock Exchange. The list of these intermediaries is available at this LINK.

The return realized by investing in FIDELIS government bonds, both interest and capital gains, is non-taxable.