This wholesale market was in operation before the arrival of the new controls, but it took its own flight this week. It is “the freest legal dollar”
The new measures of the Central Bank and the National Securities Commission (CNV) on the operation for the acquisition of dollars in the Cash With Liquidation market (CCL) at the beginning of this week They revitalized other legal channels to buy dollars and turn them abroad and, thus, a new price of the dollar was added to the reference values for the exchange market: the “SENEBI dollar” (Bilateral Negotiation Segment).
It should be remembered that, until last week, the maximum weekly bonds that clients of the Settlement and Clearing Agents (ALyCs), stock traders that are not their own portfolio, could sell to buy CCL was 100,000 per week. And now, they can only buy 50,000.
Also, until last week, you could trade around US $ 30,000 with the AL30 bond and without limit with the GD30. But now, the cap is around $ 30,000 a week for both. Thus, the BCRA and CNV regulations put a lock more to the transaction of CCL and there are cases of people who were left with their dollars “stranded” in limbo since they have not been able to make their sales because the new measure seized them in the middle of the operation.
“In fact, a client of mine who received a very large compensation, planned to buy MEP and CCL and kept the bonds locked. He will have to wait three weeks to be able to finalize his plans as a result of the reduction of the quota,” says Mauro Cognetta, financial advisor and director of Big River.
However, when the measure was known, some experts explained that this did not imply that the client who wanted could not sell bonds through the wholesale channel, through the SENEBI, which, in fact, was always the place where large volumes were operated. What does this imply? That not everyone can access it, due to the amounts required to enter.
A characteristic of SENEBI is that the price of the CCL that is negotiated there is agreed between two parties.
What is SENEBI and how does it work?
According to official sources to iProfesional, SENEBI is a round of Stock Exchanges and Markets of Argentina (ByMA) and, therefore, in general lines, operating there has the same conditions as in the open market. “This implies, for example, that If a subject is not authorized to operate CCL, he cannot do so in this segment, “they indicate.
Likewise, the operations carried out in that segment are recorded and must be reported to BYMA at the end of the round. It is very important to note that it does not work with a reference price (that is, it is not a question of supply and demand), but the price is agreed in a negotiation between the two parties involved, a bidder and a demander.
This means that it is a market whose prices do not appear on traders’ screens and are often above average. The parties agree on a figure and close the operation, without any limit or information to the market of what the exchange rate is. But, if there are substantial differences with the screen price (the retail CCL price), it is possible that a complaint will be initiated before the Financial Information Unit (FIU).
“To operate in this square, there is a minimum transaction amount of $ 1 million, which is equivalent to around US $ 6,000, the commission to be paid for the operations carried out in that market is not preset and they are not covered by BYMA’s mandatory guarantee fund, “says a market source.
As previously stated, this Cash With Settlement will continue to operate freely and the Stock Exchange companies will not have nominal limits to operate with their own portfolio.
The retail client does not have the possibility of entering SENEBI due to the values it handles
New regulation, new role for this dollar
Although it worked before the new restrictions, this market was not diffused because the average prices registered in it were very similar to those of the CCL dollar. However, these days, the dollar “SENEBI“is becoming a new reference price.
“It is the price that best reflects the reference price of the North American currency because it arises from the free and private exchange between a foreign company and a local company“, points out Sergio Morales, CEO of Interfinance.com.ar.
The expert explains that “the search to externalize assets by Argentine companies does not generally compensate the interest in entering foreign currency into the country, so its price ends up being very similar to the informal dollar, although with the difference that we refer to an operation electronic and completely legal. ”
A) Yes, while yesterday the CCL was trading around $ 167, the SENEBI was around $ 170. However, Cognetta explains that it is a problem that the SENEBI begins to take off more than the CCL and becomes a reference price for the market because “its price is not transparent to the public and, although the amount that was operated at the end of the day, it is not so easy to know how its value is calculated “.
The truth is that operator volumes were also boosted by the arrival of the new measures, given that, up to that moment, 30% were operated in the PPT market (traditional by screen) and 70% in SENEBI (over the counter- OTC), but after the arrival of regulation, this relationship was altered.
“On the first day, the ratio became 85% SENEBI and 25% PPT, although in the following three days it fell almost to the usual average level (70/30)”, describes the specialist. He points out, however, that “we must give it more time to see how the market is accommodating because it is still a few days”, but does not rule out that it will settle around 15% / 85% in the coming months.
In this context, Morales anticipates that the dollar “SENEBI” will continue to exist as a reference, forever and when these measures are in force.
“It should be remembered that this strategy by the Government is aimed at having greater control over financial dollars, which are public and cause a greater impact on the population on the eve of an electoral process,” he says.
For this reason, it does not rule out that the new measures remain in force at least until the elections are held.
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