Singapore Savings Bonds

Benefits

• Principal guaranteed: You will always get their investment amount back in full, i.e. no capital losses.
• Long term investment: You can invest for up to 10 years and earn interest that increases over time. The longer you hold your bond, the higher your return.
• Flexible redemption: You don’t have to commit upfront how long you want to be invested. You can get your funds back within a month, with no penalty for exiting your investment early.

How can you benefit?

• Saving for retirement: Savings Bonds are a safe and flexible option to maintain the value of your nest egg.
• Setting money aside for “rainy days”: You can earn step-up interest on your savings until you need the money.
• Diversifying your investments: Savings Bonds can help you diversify risks and achieve an efficient portfolio.

Features

Savings Bonds are a special type of Singapore Government Securities (SGS) with features that make them accessible and suitable to individual investors.

• Eligibility: Individuals only
• Term: 10 years
• Interest: Paid every 6 months. At issuance, rates are fixed based on the prevailing SGS yields and locked in for each issue
• Issuance: Monthly
• Redemption: Monthly, with no penalty. Principal and any accrued interest will be paid
• Investment amount: Minimum of $500, and subsequent multiples of $500 up to a cap to be announced
• Non-tradable: Savings Bonds are non-marketable securities and cannot be bought or sold in the secondary market