With core inflation in Singapore projected at 3.5% to 4.5% in 2023, consumers are looking for better places to park their cash. Products such as fixed deposits, T-Bills and Singapore Savings Bonds (SSBs) have risen in popularity over the past year as investors look to protect the value of their money as these instruments offer high impressive yields in today’s rising rate environment. But are they truly the best investment you can get for your money? In this article, we unpack the differences between T-Bills, SSBs, fixed deposits and Income+.

Understanding Bonds and Fixed Income Instruments

Fixed-income securities typically include bonds, notes and other debt instruments issued by governments, corporations and other entities.  In Singapore, the most popular bonds are issued by the government, namely as Singapore Savings Bonds (SSBs) and Treasury Bills (T-Bills).  SSBs pay an interest every 6 months at a fixed rate (pre-determined by the...