Bank NXT's NXT Edge 3-year floating-rate certificate is a savings product aimed at customers seeking a high regular return who also want to benefit from any future rise in interest rates. The certificate offers a floating rate of up to 19.5% paid monthly or 20% paid quarterly, with a guaranteed minimum rate of 17.75% throughout its 3-year term.

Bank NXT's NXT Edge 3-year floating-rate certificate

  • Interest rate and payout frequency:

    • Monthly payout: 19.5%, with a minimum of 17.75%

    • Quarterly payout: 20%, with a minimum of 17.75%

  • Tenor: 3 years.

  • Minimum to issue the certificate: EGP 50,000, in multiples of EGP 1,000.

How to calculate it

To calculate the monthly return on savings of EGP 1 million in Bank NXT's NXT Edge 3-year floating-rate certificate:

  • Annual return: EGP 1,000,000 * 19.5% = EGP 195,000

  • Monthly return: EGP 195,000 / 12 = EGP 16,250 per month

Features of Bank NXT's NXT Edge 3-year floating-rate certificate

  • Available to individuals only.

  • Currency: Egyptian pound (EGP).

  • Floating rate with a guaranteed minimum return.

  • Loans against the certificate of up to 95% of its value.

  • The certificate can be redeemed 6 months after the issue date, in line with the redemption rules.

Banky's view:

Bank NXT's NXT Edge 3-year floating-rate certificate combines a high return with flexibility. It gives customers the chance to earn a regular income of more than EGP 16,000 a month on an investment of EGP 1 million, while benefiting from a floating rate linked to movements in interest rates. That makes it suitable for those seeking a regular income who want to keep the chance of higher returns in the future.

The certificate also makes liquidity easier to manage, with loans against it of up to 95% of its value and the option to redeem it 6 months after the issue date. This gives customers a degree of flexibility without giving up the benefits of long-term saving.