Astrea 8 bonds

[kaya123]

will the rate be revealed before application date? can't be they expect people to apply without revealing the coupon rate right?

 

[lzydata]

will the rate be revealed before application date? can't be they expect people to apply without revealing the coupon rate right?

They have only lodged the preliminary prospectus for now, which is why the interest rates and other things are not finalized yet. When these are finalized, it will be in the news and I'll update the first post. No doubt Astrea will also advertise the public offer in the newspapers.

 

[Jov1623]

This is the norm to disclose the rate wen come close to the launch date

 

[addict951]

I won't bother if the yield spread vs 10yr SSB is less than Astrea 7.
Astrea 7 spread was 1.595, This month SSB yield is 3.22. So this has to be >4.815 to be attractive

Agree, personally I don't think it's worth the additional risk if Astrea VIII yield is < 4.8%.

Say end-of-yr/next yr onward ir still to chui
Assuming this Astrea 8 is paying 4.25 to 4.5% yall also won't be keen meh??

 

[abcde78]

Say end-of-yr/next yr onward ir still to chui
Assuming this Astrea 8 is paying 4.25 to 4.5% yall also won't be keen meh??

No. 4.5% Pass

 

[yiron]

Say end-of-yr/next yr onward ir still to chui
Assuming this Astrea 8 is paying 4.25 to 4.5% yall also won't be keen meh??

Need to be adequately compensated over risk free rate (SGS) else no point taking on the additional risk. But everyone have different risk appetite; some may think a spread of 1% is good enough while others may require more. For me i’m looking at min 1.5% spread.

 

[DevilPlate]

Need to be adequately compensated over risk free rate (SGS) else no point taking on the additional risk. But everyone have different risk appetite; some may think a spread of 1% is good enough while others may require more. For me i’m looking at min 1.5% spread.

But this one easier to sell compared to SGS
So naturally max out SSB first and then buy such products

 

[rne]

ASTREA7A 4.125%, Astrea 8: 4.0- 4.2%?

​

 

[blurpandasg2014]

How oversubscribed will this be. Astrea 7 quite oversubscribed

 

[ctan84]

How oversubscribed will this be. Astrea 7 quite oversubscribed

You can see the historical allocation. Its quite similar across all the offers so far one.

 

[limster]

If its not at least 6.5%...dont bother

telling people that 6.5% for A+ security is not attractive....

is this like the T-bill thread when someone tell others to bid 3.8% and they quietly go and bid 3.5% for themselves.

 

[sglandscape]

telling people that 6.5% for A+ security is not attractive....

is this like the T-bill thread when someone tell others to bid 3.8% and they quietly go and bid 3.5% for themselves.

These people either compare wrong currencies, or say one thing and do another

 

[tesarise]

Say end-of-yr/next yr onward ir still to chui
Assuming this Astrea 8 is paying 4.25 to 4.5% yall also won't be keen meh??

4.5 is too low yield spread against risk free rate for SSB/SGS. Hard pass.

 

[sglandscape]

4.5 is too low yield spread against risk free rate for SSB/SGS. Hard pass.

A +1.2% is too low a spread for the credit rating? Which credit spread index are you looking at for this comparison?

 

[ctan84]

A +1.2% is too low a spread for the credit rating? Which credit spread index are you looking at for this comparison?

Think he's using the previous Astrea bonds as a reference. Coz back then SSBs were like early to mid 2% nia, so the spread was easily 2% liao?

 

[sglandscape]

Think he's using the previous Astrea bonds as a reference. Coz back then SSBs were like early to mid 2% nia, so the spread was easily 2% liao?

I see, but that's not a fair comparison. When the base rate is high, credit spreads tend to compress.

 

[DevilPlate]

4.5 is too low yield spread against risk free rate for SSB/SGS. Hard pass.

CICT js issued yday 10y SGD bond at 3.75%

10y SGS 3.2x%
Make sense? ....no, but it is what it is

Also 2y SGS 3.3x% and why banks lending out mortgage loan at fixed 2y at 2.9 to 3.1%?

 

[BBCWatcher]

But this one easier to sell compared to SGS

Really? Each SGS bond auction is much bigger, isn't it?

I guess it's really a question of trading volumes. Maybe more people want to hang onto SGS bonds and are less interested in trading them. Or maybe (more likely I think) they sell them but directly to the 3 primary dealers, in which case the trading volumes aren't as visible but still exist.

 

[DevilPlate]

Really? Each SGS bond auction is much bigger, isn't it?

I guess it's really a question of trading volumes. Maybe more people want to hang onto SGS bonds and are less interested in trading them. Or maybe (more likely I think) they sell them but directly to the 3 primary dealers, in which case the trading volumes aren't as visible but still exist.

Hearsay primary dealers only entertain min 250k

 

[d5dude]

Just received an IOI solicitation from my RM for this thing, guide yield for the SGD tranche is 4 - 4.5%. I figure the final yield will likely end up close to the lower end at 4%, judging from the way IG and junk bonds have been trading recently.

https://eservices.mas.gov.sg/opera/...c.aspx?shrID=00cee8ac343840069afeb72690123abc

Just took a quick glance at the prospectus, I think I will pass on this.