Here is a higher yielding, safe way to save your money that you have no idea when you will need to use it, or your emergency fund.
The Jul 2017’s SSB bonds yield an interest rate of 2.12%/yr for the next 10 years. You can apply through ATM or Internet Banking via the three banks (UOB,OCBC, DBS)
$10,000 will grow to $12,163 in 10 years.
This bond is backed by the Singapore Government and its available to Singaporeans.
You can find out more information about the SSB here.
Note that every month, there will be a new issue you can subscribe to via ATM. The 1 to 10 year yield you will get will differ from this month’s ladder as shown above.
Last month’s bond yields 2.16%/yr for 10 years.
Here is the current historical SSB 10 Year Yield Curve
What is this Singapore Savings Bonds? Read my past write ups:
- This Singapore Savings Bonds: Liquidity, Higher Returns and Government Backing. Dream?
- More details of the Singapore Savings Bond. Looks like my Emergency Fund nIsow
- Singapore Savings Bonds Max Holding Limit is $100,000 for now. Apply via DBS, OCBC, UOB ATM
- Singapore Savings Bonds’ Inflation Protection Abilities
- Some instructions how to apply for the Singapore Savings Bonds
Past Issues of SSB and their Rates:
- 2015 Oct
- 2015 Nov
- 2015 Dec
- 2016 Jan
- 2016 Feb
- 2016 Mar
- 2016 Apr
- 2016 May
- 2016 Jun
- 2016 Jul
- 2016 Aug
- 2016 Sep
- 2016 Oct
- 2016 Nov
- 2016 Dec
- 2017 Jan
- 2017 Feb
- 2017 Mar
- 2017 Apr
- 2017 May
- 2017 Jun
To get started with dividend investing, start by bookmarking my Dividend Stock Tracker which shows the prevailing yields of blue chip dividend stocks, utilities, REITs updated nightly
Kyith is the Owner and Sole Writer behind Investment Moats. Readers tune in to Investment Moats to learn and build stronger, firmer wealth foundations, how to have a Passive investment strategy, know more about investing in REITs and the nuts and bolts of Active Investing.
Readers also follow Kyith to learn how to plan well for Financial Security and Financial Independence.
Kyith worked as an IT operations engineer from 2004 to 2019. Currently, he works as a Senior Solutions Specialist in Fee-only Wealth Advisory firm Providend.
You can view Kyith's current portfolio here, which uses his Free Google Stock Portfolio Tracker.
His investment broker of choice is Interactive Brokers, which allows him to invest in securities from different exchanges all over the world, at very low commission rates, without custodian fees, near spot currency rates.
You can read more about Kyith here.
- New 6-Month Singapore T-Bill Yield in Late-Late-March 2023 Should Drop to 3.7% (for the Singaporean Savers) - March 23, 2023
- We Cannot Always Be Shifting the Goal Posts When Doing Retirement Food Planning - March 21, 2023
- CPF’s New Personal Retirement Income Planner Tells Me I Secured a $1,430 to $1,770 Real Monthly Income to Successfully Cover My Most Important Retirement Lifestyle - March 18, 2023
Lemonade
Thursday 6th of July 2017
Hi Kyith, Just wonder wouldn't I be better off if I invest my $ in STI ETF than having my $ in SSB? STI ETF would have a higher return in the long run.
Kyith
Saturday 8th of July 2017
Hi Lemonade, good question. Returns may be higher, but so are volatility. And different people understand volatility differently. Your purpose for this financial instrument may also be different.
For example, for Kyith i use it to park my spare cash waiting to be deployed. If i find an opportunity i could liquidate it knowing i have $50,000 to deploy. I cant say the same for STI ETF. The value may be 20% more, 20% less depending on where the volatility bring me.
Sgdividends
Friday 9th of June 2017
Need to leave for 10 years than get 2.12% pa....Wah I no patience.
Verseun
Friday 9th of June 2017
Correction - Not Hedgehog investing but Avid Hog
Verseun
Friday 9th of June 2017
Hi Kyith ,
I have been following your blog for a few years now and got introduced to Gannon and his rigorous approach in the previous (Hedgehog investing ) now known as Focused Compounding. I find your approach to investing as solid as well.
I also noticed that your main holdings are in REITs and having worked in a REIT for 4 years, understand that this is a good investment .
You also purchased quite alot of K1 Ventures recently, and I am just curious on the basis of your rather large investment , assuming your portfolio of 300-400k, that would be an over 10% allocation.
Thank you for sharing your insights .
Kyith
Saturday 10th of June 2017
Hi Verseun, thanks for visiting my blog. K1 Ventures is a special situation where the management have indicated to Guggenheim to buy back their warrants, preference shares. It is what value that we will get. As of now i view this as a wrong decision because i did not factored in costs and taxes that well in my figures.
I am curious that you said REITs are good investments, I suppose they might be limited returns but they do offer some niche advantages that its hard to find in other investments.
I am not as good as Geoff and Hoang. I can only fake it till i make it haha.