Singapore Savings Bonds

[Dividends Warrior]

Maybe it is time for me to buy my 1st tranche...

 

[undead90]

For DBS/OCBC, refund for redemption of past issues are usually in by the 1st or 2nd business day?

received my redemption. POSB

 

[silverbomb]

Year from issue date	1	2	3	4	5	6	7	8	9	10
Interest %	3.26	3.26	3.28	3.58	3.58	3.58	3.58	3.58	3.58	3.58
Average return per year %*	3.26	3.26	3.27	3.34	3.39	3.42	3.44	3.45	3.46	3.47

They rounded down the average for 10 years, it's 3.4755.

Unfortunately this screws up @hwckhs's projection

wondering why the 3rd year interest % deviate 0.14% actual vs projection. the rest can close 1 eye 0.01%

 

[hwckhs]

wondering why the 3rd year interest % deviate 0.14% actual vs projection. the rest can close 1 eye 0.01%

The following are the reference yields at the end of last Oct 2022 (input for final projection's calculations):

• Reference 1 year: 3.50
• Reference 2 year: 3.26
• Reference 5 year: 3.46
• Reference 10 year: 3.48

2nd year is lower than 1st year, but 5th year is higher than 2nd year. Between 1st year and 5th year, the curve is inverted.

If you plot the above in a graph (like one at the homepage - https://www.ilovessb.com ) and try to join the dots together, you will find it difficult to join the 2nd year and 5th year together, ie. "interpolating" (estimating/guessing) the 3rd year, and 4th year values. Different people will estimate these values differently.

The 3rd year happens to be difficult to interpolate based on last month's yield. It will not happen every month. If 1st year to 5th year is not inverted and is somewhat linear, then the 3rd year will not differ by so much.

 

[foxer77]

anyone know if i am at my max of 200k .

Can i withdraw from the old bond this month & too apply for the bond this month for the NeXT month issue.
Can this happen or it will bound back since the withdraw will come in next month.

 

[lzydata]

anyone know if i am at my max of 200k .

Can i withdraw from the old bond this month & too apply for the bond this month for the NeXT month issue.
Can this happen or it will bound back since the withdraw will come in next month.

As it happens MAS has this exact FAQ and answer:

If I have reached my Individual Limit but have submitted a redemption request, will I be able to apply for new Savings Bonds within the same month to bring my total holdings back to the Individual Limit?

Yes. You can redeem your holdings in SSB and apply for a new bond in the same month, provided you are within your total Individual Limit of S$200,000.

However, you must ensure that there is sufficient money in your bank account at the point of application as your redemption proceeds will only be returned to you by the end of the second business day of the following month from when you submitted the redemption application.

https://www.mas.gov.sg/bonds-and-bills/Singapore-Savings-Bonds

 

[lzydata]

https://www.businesstimes.com.sg/ba...me-high-1st-year-and-10-year-average-interest
https://www.channelnewsasia.com/sin...-return-10-years-record-high-december-3036231
More media interest.

 

[reddevil0728]

For DBS/OCBC, refund for redemption of past issues are usually in by the 1st or 2nd business day?

nothing to do with bank but CDP. typically 1st

SSB will become a joke if allocation becomes 5K.

9K and 10K are the lowest so far.

not if you don't look at things in isolation. banks also up interest.

 

[ekardo]

I am running out of savings to put into SSB... (all stuck in RHB... )

 

[reddevil0728]

I am running out of savings to put into SSB... (all stuck in RHB... )

that means you are fully optimised?

 

[TehSi99]

https://www.businesstimes.com.sg/ba...me-high-1st-year-and-10-year-average-interest
https://www.channelnewsasia.com/sin...-return-10-years-record-high-december-3036231
More media interest.

Back to lower than 10K allocation?

 

[reddevil0728]

Back to lower than 10K allocation?

not necessary. cannot look at things in isolation

 

[calkel20]

Back to lower than 10K allocation?

Now with 1 billion as amount offered, will be higher than 10K.
More over many still believe to stick with banks.

 

[DenOOO]

Now with 1 billion as amount offered, will be higher than 10K.
More over many still believe to stick with banks.

Cannot look at things in isolation la

More people might jump to SSB also, hence might be lesser too.

 

[calkel20]

Cannot look at things in isolation la

More people might jump to SSB also, hence might be lesser too.

Jump lor. Think Dec takers ,more will Jump as they get more money in and allocation is even lesser.

 

[WHLN17]

After looking at past funds size isolation, rates isolation and uptrend FDs and Tbills isolation plus this round the increased SSB size offset by increased SSB rate,I isolately guess the upcoming max allotment could be around 12k or less. Accordingly, I will put in 12K and see how.

 

[addict951]

I am running out of savings to put into SSB... (all stuck in RHB... )

Huat do you mean by "stuck" in RHB ar?
Got someone point a knife to your throat say you die die must not transfer out from HYSA ah?

 

[70niner]

Back to lower than 10K allocation?

Not necessary, some may have exhausted their ammo in the last few months' SSB issues

But then Sinkies are rich.....

 

[petromax]

Not necessary, some may have exhausted their ammo in the last few months' SSB issues

But then Sinkies are rich.....

well, they can redeem past bonds and reinvest back in Dec issue also

 

[rachdanon]

Everyone thought SSB hit a high recently (believe it passed 3%) then dropped to 2.75% (with 42k alottment) and now it went back up above 3% and consecutively even, any sign this will continue above 3% in the next few months too? Just wondering...