Treasury Discount Paper

Treasury discount paper (BUBILL) is the Federal government's money market paper. They have a maturity of 12 months. The issuance pattern consists of a monthly new issue of € 3 bn (except December) and five subsequent reopenings of € 2 or 3 bn in the six remaining maturities between 3 and 12 months.

Easily explained

Understanding Treasury discount paper
- basic knowledge for private investors

Issuance

The Federal government's money market paper with an original maturity of 12 months forms an essential element in the Federal government's annual issuance plan. They enable the Federal government to react most flexibly of all Federal securities to changing financing needs at short notice.

Since 2020, Bubills with a maturity of 12 months have been reissued every month. Since then, they have been topped up after one, three, six, seven and nine months. Due to these five reopenings per Bubill, the Federal government now offers a total of six residual maturities between 3 and 12 months on the money market every month. This issuance pattern is to be continued in 2022.

Eleven new issues of € 3 bn each are planned for 2022 (except for December), as well as several monthly reopenings of € 2, 3 or 5 bn. Both new issues and reopenings will partly be carried out within the framework of multi-ISIN auctions, in which two Bubills will be issued on the same auction day.

Bubills are expected to account for € 220 bn or around 50 % of the annual auction volume in the 2022 issuance calendar, € 18 bn less than in 2021.

Upcoming Auctions

N: New Issue     R: Reopening

TenderIssuanceVolumeCouponMaturity
05.12.2022 Bubill (R)
DE0001030831
2.0 € bn - 13.04.2023
05.12.2022 Bubill (R)
DE0001030856
3.0 € bn - 21.06.2023
12.12.2022 Bubill (R)
DE0001030849
2.0 € bn - 17.05.2023

Latest Auction Results

N: New Issue     R: Reopening     A: Allotment     B: Bids

TenderIssuanceBid/CoverVolumesYield
28.11.2022 Bubill (R)
DE0001030880
2.3
(A)
(B)
2.238%
28.11.2022 Bubill (R)
DE0001030823
2.0
(A)
(B)
1.648%
21.11.2022 Bubill (R)
DE0001030815
3.5
(A)
(B)
1.421%

Bid/Cover Ratio:  Ratio of offered and allocated volume

Trade

The previous record value of 2020 with € 421 bn trading volume increased by 32 % to € 557 bn in 2021. Their share of trading in all Federal securities rose in parallel from 10 % to almost 12 % in 2021.

Outstanding Securities

Treasury discount papers accounted for € 154.5 bn of all Federal securities outstanding at the end of 2021. This corresponds to a share of about 10 % of the volume of all outstanding Federal securities and is more than one third above the already comparatively high level of the previous year.

Current Share of non-conventional Treasury Discount Papers in the Volume of all Federal Securities Outstanding

The share of 10-year Federal bonds (Bund 10) includes the 7- and 15-year Federal bonds.

Current Outstanding Treasury Discount Paper

Bond Maturity Coupon Outstanding Last Issuance ISIN
Total volume148,000 € mn
12M Bubill 14.12.2022 - 18,000 € mn 05.09.2022 DE0001030443
12M Bubill 18.01.2023 - 23,000 € mn 14.11.2022 DE0001030807
12M Bubill 22.02.2023 - 22,500 € mn 21.11.2022 DE0001030815
12M Bubill 22.03.2023 - 19,500 € mn 28.11.2022 DE0001030823
12M Bubill 13.04.2023 - 11,500 € mn 07.11.2022 DE0001030831
12M Bubill 17.05.2023 - 12,000 € mn 14.11.2022 DE0001030849
12M Bubill 21.06.2023 - 8,000 € mn 05.09.2022 DE0001030856
12M Bubill 19.07.2023 - 8,000 € mn 10.10.2022 DE0001030864
12M Bubill 23.08.2023 - 7,500 € mn 31.10.2022 DE0001030872
12M Bubill 20.09.2023 - 8,000 € mn 28.11.2022 DE0001030880
12M Bubill 18.10.2023 - 7,000 € mn 07.11.2022 DE0001030898
12M Bubill 22.11.2023 - 3,000 € mn 21.11.2022 DE0001030906

Understanding Treasury Discount Papers