TL;DR
Singapore Savings Bonds (SSBs) provide you with a simple and low-cost way to generate safe returns. The latest Singapore Savings Bonds offer an average 10-year interest rate of 2.71%, above the current CPF Ordinary Account (OA) rate of 2.5%. We see the Singapore Savings Bonds as a good alternative to fixed deposit accounts as they are more flexible and can be redeemed with no penalty. However, we will not put all our emergency cash into the Singapore Savings Bonds as payments on redemptions will only be made monthly. There were two things that investors in Singapore were excited about in recent weeks. One was the Astrea 7 bonds, where the S$280 million Class A-1 bonds were 3.1 times subscribed. The other was the June 2022 Singapore Savings Bonds (SSBs), where the S$350 million of bonds issued were 2.6x subscribed. We shared...
