Treasury

UnionBank Treasury is principally responsible for managing the Bank’s liquidity and funding requirements, engages in financial market transactions covering money market, foreign exchange, fixed income and derivatives.

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Php 3.0 Billion 3.5% Long-Term Negotiable Certificate of Time Deposit (LTNCD) due January 2019

LTNCDs are negotiable certificates of deposit indicating the face value or the principal amount of indebtedness of a bank with a designated maturity. The LTNCDs constitute direct, unconditional, unsecured, and unsubordinated obligations of UnionBank, enforceable according to the Terms and Conditions thereof, and shall at all times rank pari passu and without any preference or priority among themselves and at least pari passu with all other present and future direct, unconditional, unsecured, and unsubordinated obligations of the Issuer, except for any obligation enjoying a statutory preference or priority established under Philippine laws.

The minimum features of the LTNCD as specified by Bangko Sentral ng Pilipinas (“BSP”) Circular No. 304, Series of 2001 are as follows: (1) issued in scripless form with a third party Registry Bank maintaining an Electronic Registry Book (“ERB”), (2) denominated in Philippine pesos, and (3) with a minimum maturity of five (5) years.

The initial offering shall be executed through an Underwriter or an Arranger. Subsequent negotiations in secondary trading must be executed through authorized Market Maker/s. The Bank shall pay the specified coupon or interest over the life of the LTNCD and the face value or principal amount upon maturity through the Registry Bank.

 

Why invest in LTNCDs?

LTNCDs are meant to mobilize savings and encourage long-term investment. For qualified individual investors, interest earned is not subject to withholding tax if the LTNCD is held for at least five (5) years. LTNCDs are negotiable, meaning they may also be bought and sold in the secondary market through a Market Maker.

 

What are some of the risks involved in investing in LTNCDs?

The yield on the LTNCDs is assured if the investor holds the LTNCDs for at least five years. However, the investor shall be exposed to a price risk, depending on the prevailing market rate, if the LTNCDs are sold in the secondary market prior to maturity. Further, if the investors hold on to the LTNCDs for less than five years, then the LTNCD will be subject to withholding taxes (“WHT”). In both instances, certain transaction fees shall apply. The investor may read “Investment Considerations” in the Offering Circular for more information on potential risks.

 

Who are eligible to invest in the LTNCDs?

Any person or entity may purchase the LTNCDs EXCEPT the issuing bank, including its related companies - subsidiaries and affiliates, and wholly or majority-owned or controlled entities of such subsidiaries and affiliates.

 

Are the LTNCDs insured?

LTNCDs are covered by the Philippine Deposit Insurance Corporation (PDIC), subject to applicable rules and regulations, including maximum insurance coverage per depositor, currently up to P500,000. To determine the insured amount per depositor, all of the depositor’s deposit in the Bank, whether maintained for his own behalf or for others, shall be added together.

 

Can the LTNCD be pre-terminated by the Holders?

LTNCDs cannot be terminated by the holder/s before maturity date. However, holders may negotiate/transfer ownership to another in the secondary market prior to maturity through a Market Maker.

 

When will investors receive interest payments on the LTNCDs?

Investors will receive interest payments on a quarterly basis

 

What is the general process for executing a sale in the secondary market via the Market Maker/s?

The seller shall submit to the Market Maker the original Purchase Advise, original Registry Confirmation and a letter of instruction to sell the LTNCDs.
The Market Maker will then submit to the Registry Bank the seller's original Purchase Advise and original Registry Confirmation for cancellation.
The Market Maker will also provide the Registry Bank with the new Purchase Advise issued in favor of the buyer.
The buyer shall receive the new Purchase Advise from the Market Maker and the new Registry Confirmation from the Registry Bank.
The seller will receive its proceeds (net of taxes, if any) after three (3) business days from value date of the transaction.

 

For inquiries and pricing, please contact our FIDG officers at 944-8088 / 944-8093 / 944-8097 / 638-0360 / 638-0362. 

 

 

Forex
Feb 23, 2017

Php 50.030 = USD 1.00

CurrencyBuyingSelling
US Dollar 50.030 50.430
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1 Make sure that the website address appearing on your browser is Union Bank of the Philippines and has a padlock symbol (🔒) beside it. If you see something different or there is no address appearing, please do not proceed and report to us immediately.

2 You can only type in your password or PIN using the virtual keyboard.

3 Keep your device virus-free. Make sure you have an updated anti-virus software.

4 To secure your account, we strongly advise you to avoid downloading your banking documents using a public computer




For more information, please visit the Safe Surfing Guidelines page or call our 24-hour Customer Support at (02) 8418600.
1 Make sure that the website address appearing on your browser starts with https://ebanking.unionbankph.com and a padlock symbol (🔒) beside it. If you see something different or there is no address appearing, please do not proceed and report to us immediately.

2 You can only type in your password or PIN using the virtual keyboard.

3 Keep your device virus-free. Make sure you have an updated anti-virus software.

4 To secure your account, we strongly advise you to avoid downloading your banking documents using a public computer




For more information, please visit the Safe Surfing Guidelines page or call our 24-hour Customer Support at (02) 8418600.
1 Make sure that the website address appearing on your browser is Union Bank of the Philippines and has a padlock symbol (🔒) beside it. If you see something different or there is no address appearing, please do not proceed and report to us immediately.

2 You can only type in your password or PIN using the virtual keyboard.

3 Keep your device virus-free. Make sure you have an updated anti-virus software.

4 To secure your account, we strongly advise you to avoid downloading your banking documents using a public computer




For more information, please visit the Safe Surfing Guidelines page or call our 24-hour Customer Support at (02) 8418600.
1 Make sure that the website address appearing on your browser starts with https://ebanking.unionbankph.com and a padlock symbol (🔒) beside it. If you see something different or there is no address appearing, please do not proceed and report to us immediately.

2 Keep your device virus-free. Make sure you have an updated anti-virus software.

3 To secure your account, we strongly advise you to avoid downloading your banking documents using a public computer




For more information, please visit the Safe Surfing Guidelines page or call our 24-hour Customer Support at (02) 8418600.
1 Make sure that the website address appearing on your browser is Union Bank of the Philippines and has a padlock symbol (🔒) beside it. If you see something different or there is no address appearing, please do not proceed and report to us immediately.

2 Keep your device virus-free. Make sure you have an updated anti-virus software.

3 To secure your account, we strongly advise you to avoid downloading your banking documents using a public computer




For more information, please visit the Safe Surfing Guidelines page or call our 24-hour Customer Support at (02) 8418600.
1 Make sure that the website address appearing on your browser starts with https://ebanking.unionbankph.com and a padlock symbol (🔒) beside it. If you see something different or there is no address appearing, please do not proceed and report to us immediately.

2 Keep your device virus-free. Make sure you have an updated anti-virus software.

3 To secure your account, we strongly advise you to avoid downloading your banking documents using a public computer




For more information, please visit the Safe Surfing Guidelines page or call our 24-hour Customer Support at (02) 8418600.
1 Make sure that the website address appearing on your browser is Union Bank of the Philippines and has a padlock symbol (🔒) beside it. If you see something different or there is no address appearing, please do not proceed and report to us immediately.

2 Keep your device virus-free. Make sure you have an updated anti-virus software.

3 To secure your account, we strongly advise you to avoid downloading your banking documents using a public computer




For more information, please visit the Safe Surfing Guidelines page or call our 24-hour Customer Support at (02) 8418600.