Singapore SGS Bond

[dappermen]

SSB duration is up to 10 years. can exit any month.

generally which offer better 6-mthly payouts/interests/coupon?
Return depends on market conditions when traded in the exchange woh - not all investors liked this and esp some dont even tasted share-trading at all


&
The T-bills have no coupon but are offered to the investors at a discount to the face value. Upon maturity, the investors will then receive the full face value of the bill as returns on the investment.

 

[fr33d0m]

generally which offer better 6-mthly payouts/interests/coupon?
Return depends on market conditions when traded in the exchange woh - not all investors liked this and esp some dont even tasted share-trading at all


&
The T-bills have no coupon but are offered to the investors at a discount to the face value. Upon maturity, the investors will then receive the full face value of the bill as returns on the investment.

yield is yield. It does not matter whether it is discount to face value or interest.

If your term is 6-month, you should invest in 6-month T-Bills.

SSBs are for people to look beyond 1 year or even 2 years or longer without suffering too much liquidity or return.

 

[dappermen]

SSBs are for people to look beyond 1 year or even 2 years or longer without suffering too much liquidity or return.

yes fully agreed!

i think most shd b looking byond a yr

 

[Nofear40]

yes fully agreed!

i think most shd b looking byond a yr

So suitable for cpf? Cannot take out anyway

 

[luvpraline]

For ppl want to sell the SGS bond in market readers share below flow is viable
1. Transfer the SGS bond from CDP to FSMOne
2. Use FSMOne platform to do the sell (read confirm can sell no need wait if got buyer)

PS Note I never try above flow before so just sharing based on posts in the other T-bill thread

Am keen to find out more about selling SGS bonds in secondary market too.. anyone with knowledge can share? Given the oversubscription for SSB.. plus the upcoming SGS bonds are 5, 10 year tenures.. it could be an alternative to SSB.

 

[dappermen]

So suitable for cpf? Cannot take out anyway

but can that beat cpf 2.5-4% per annumn on top of fees?



n i will never assume CPF rates are gonna stay permanently , it might change! NOTHING is permanence in this world
i felt CPF is stingy! it is high time 3-5%

 

[luvpraline]

If your SGS bonds are held in your CDP or SRS account, you can trade them on the SGX through your securities broker.

MAS' website seems to suggest that we can just sell them through any securities broker like selling stocks?

https://www.mas.gov.sg/bonds-and-bi...ties/Buy-and-Sell-SGS-on-the-Secondary-Market

 

[Nofear40]

but can that beat cpf 2.5-4% per annumn on top of fees?



n i will never assume CPF rates are gonna stay permanently , it might change! NOTHING is permanence in this world
i felt CPF is stingy! it is high time 3-5%

Won’t touch SA as 4% is good enough for me. Probably OA.

 

[dappermen]

Won’t touch SA as 4% is good enough for me. Probably OA.

ok then , gd strategy! if u wanna something risk-free

 

[Kojo0403]

Won’t touch SA as 4% is good enough for me. Probably OA.

yea no need touch SA.. it’s pegged to 10yr singapore bond + 1%.

fyi 10 yr bond is already at 2.96%. + 1% = 3.96%z

very soon SA will go above 4% by current trajectory.

 

[reddevil0728]

So suitable for cpf? Cannot take out anyway

Won’t touch SA as 4% is good enough for me. Probably OA.

Just to confirm if you are talking about sgs bonds or ssb, as you seemed to have quoted a post addressing ssb

 

[Nofear40]

Just to confirm if you are talking about sgs bonds or ssb, as you seemed to have quoted a post addressing ss

Just to confirm if you are talking about sgs bonds or ssb, as you seemed to have quoted a post addressing ssb

Oops.. talking about sgs. .

 

[reddevil0728]

ok yea. cause SSB can't use CPF.

 

[reddevil0728]

Is there an additional advantage of SGS Bonds being better off than SSB from the perspective of capital gains?

Assuming you get SGS bonds with a high coupon rate now.

When the feds eventually cut interest rate, the price of bonds with high yield should jump and is actually a good time to sell it?

 

[luvpraline]

I'm just concerned if there is an active secondary market.. I do have a reopened bond bought not long ago.. I logged into CDP to check the bond info.. there is zero activity recorded...

Is there an additional advantage of SGS Bonds being better off than SSB from the perspective of capital gains?

Assuming you get SGS bonds with a high coupon rate now.

When the feds eventually cut interest rate, the price of bonds with high yield should jump and is actually a good time to sell it?

 

[d5dude]

Am keen to find out more about selling SGS bonds in secondary market too.. anyone with knowledge can share? Given the oversubscription for SSB.. plus the upcoming SGS bonds are 5, 10 year tenures.. it could be an alternative to SSB.

I was the one who posted the info on the T bill thread (which was originally an SGS bill + bond thread), not keen on wasting my time searching for the posts and copying them over here so you can look for it over that thread if you are interested.

 

[silverbomb]

SGS Bond and SSB are similar can be super long term, but SSB can easily redeem (about 1 month wait) while SGS Bond need to find buyer to take over to cash out. this is the part where will be interesting to know more about how to buy and sell these in order to cash out when you need to (like suddenly) versus SSB

 

[reddevil0728]

I'm just concerned if there is an active secondary market.. I do have a reopened bond bought not long ago.. I logged into CDP to check the bond info.. there is zero activity recorded...

What do you mean zero activity recorded? Like u don’t see the holding?

 

[lzydata]

I suggest changing the title to spell out Singapore Government Securities (SGS) and also provide links to the T-bills and SSB threads in the first post for those who are confused. And it seems many are.

 

[reddevil0728]

I suggest changing the title to spell out Singapore Government Securities (SGS) and also provide links to the T-bills and SSB threads in the first post for those who are confused. And it seems many are.

@sohguanh ^^