Shares & Derivatives
August’s Singapore Savings Bonds offer 3% average yield
By betterspider  •  July 1, 2022
This August's SSBs, with codename SBAUG22 GX22080V, are yielding an average of 3% over the next 10 years, yielding higher than July's offering as we have predicted as interest rates have not peaked. The interest rate each year is as follows:
  • Note that the interest rate starts at 2% for the 1st year and rises to 3.29% in the 10th year
  • The average is ~3%, which is higher than CPF OA (2.5%) and current FD rates and bank cash deposit rates
The issue details are as follows: Why SSBs Singapore Savings Bonds offer an almost risk-free, liquid alternative to cash with a higher interest rate. They can be redeemed at face value at any time, with roughly about one month's lead time to receive the actual cash in your bank account. Compared to current bank rates which still have not kept up with rising global interest rates, lending money to the Singapore government offers a good alternative to keeping your money in your bank account....
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By betterspider
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