The exchange controls multiplied the prices of the dollar in such a way that even the most expert can end up confused about which is which and the most convenient. Since the exchange regulations of October 5, even two of the most used parallel prices in the market have been unfolded: the MEP and the cash with settlement.
Now, there are financial dollars to choose from. There is an intervened, or subsidized MEP, and a free MEP. And the same happens with the dollar counted with liquidation. And that’s not counting other free versions implicit in shares or peso bills.
But while investors of all sizes rush to dollarize at record prices, in some prices they exceeded $ 200 per unit, the particular regulatory framework in force reserves for savers with the ability to buy USD 15,000 per week (almost $ 2.7 million in local currency) the possibility of getting foreign exchange at a practically subsidized price. It is the MEP dollar traded with the Bonar 2030 bond, which is around $ 179 per unit.
The MEP dollar traded with the Bonar 2030 bond is around $ 179 per unit
The monetary authority sells dollars in the cash market with settlement and the MEP dollar, but it does so exclusively manipulating the price of the AL30, the code with which the Bonar 30 is traded, one of the shortest bonds among those governed by local law.
The official strategy is to spend Central Bank reserves to avoid a rise in that price per dollar. Thus, there may be more than $ 20 difference between this new regulated exchange rate and the cash exchange rate with settlement.
To buy it is necessary to have an account in a Stock Exchange company or an investment account in a bank, transfer pesos and with them buy AL30.
After a mandatory 24-hour holding period, known as parking, the next step is to resell to that same bond but this time under the code AL30D, which is the code to which the same bond is traded but in dollars and in the local market.
Stock companies simplify this operation to the point of reducing it to a call in which it is ordered to be carried out.
Turning its back on the trend that makes financial dollars escape, it is the interventions of the Central Bank in the fixed income market that generate an opportunity for small investors. One dollar cheaper. Cheaper even than the free dollar, whose rally took it to hit $ 198 this week.
“If your flow is not large, the dollar implicit in the Bonar 30 is the option. Without a doubt, ”said an operator who prefers not to be mentioned on foreign exchange issues. “It is the new sub-subsidized dollar and today you can buy almost $ 3 million a month in this way,” he told Infobae an operator.
The $ 179 per dollar that is paid for this operation is compared to the $ 208 that the cash reached with settlement or the almost $ 194 that was paid on Friday for the other MEP dollar, the free MEP, implicit in another bond known as Global 2030 or GD30. A bond governed by New York Law.
Movement is also useful in reverse. Savers who need to exchange dollars for, for example, an out-of-plan expense, have an alternative in this market to receive more pesos in exchange for their dollars. While banks pay about $ 104 for every dollar their customers sell to them, savers can turn to the MEP dollar to get a better price..
There is a ceiling of about USD 15,000 per week that can be purchased by current regulations. In addition, they cannot buy companies and individuals that accessed soft financing lines due to the pandemic. Neither do individuals who bought dollars at the bank in the last 90 days. And those who buy MEP are also disqualified for another 90 days to buy a “solidarity” dollar.
“The difference between the two dollars is that the most expensive ones give you the freedom to invest in whatever after that, both here and abroad” (Martínez Burzaco)
There is also another restriction. For 30 days, those who buy MEP dollars with local Law bonds cannot trade New York Law bonds. Is a anti curl rule– If it didn’t exist, all investors would buy the cheapest version and resell the most expensive version on a daily basis.
The subsidized MEP is not the cheapest on the market. The “solidarity”, for example, trades around $ 173 per dollar. But the limit of USD 200 per month means that it can only be considered for small operations.
“If one does not plan to invest, the most convenient dollar for those who want to buy more than USD 200 is the MEP that arises from the Argentine Law bonds, which is where the BCRA intervenes,” Diego Martínez Burzaco, head of Research, told Infobae by Inviu.
“It is $ 179 against $ 194 that the MEP comes out with the Global bond. But the latter does not restrict you to make investments in dollars. With the MEP you commit yourself that for 30 days before and 30 days later you cannot apply it to any investment in the capital market in dollars ”, he explained.
“I would tell you that the difference between the two dollars is that the most expensive ones give you the freedom to be able to invest in whatever it is afterwards, both here and abroad. You have negotiable obligations that are operated in dollars or pesos, Cedear, and some FCIs that allow you to invest with MEP dollars in Latin American bonds that allow you to place that money. Now, if it is because of the exchange operation itself, the regulated MEP is the simplest, “added Martínez Burzaco.