It’s amazing that, with the advent of Singapore Savings Bonds (SSBs), people are still choosing to put money in fixed deposits. It seems finance is one of the rare industries where novelty is a disadvantage – when it’s new, no one wants to try it. But there are plenty of reasons not to shy away from SSBs:

What are SSBs?

SSBs are a form of government bond. They are available to Singaporeans 18 years old or above, and have a maturity period of 10 years. The coupon (interest rate) on SSBs rises every year – at the end of 10 years, you would have earned an annual interest similar to if you had invested in a 10 year Singapore Government Securities (SGS) bond. This is usually between two to three per cent per annum. SSBs can be purchased at DBS/POSB, OCBC, or UOB banks. You can buy them through ATMs. ......