Singapore mobilises SGD810 mln of savings bonds in six months

The Singaporean Government’s aims to mobilise SGD2-4 billion in 2016.

MAS statistics showed that nearly half, or 49% of the investors, bought bonds with par values of SGD10,000 and below, while about 25% of them buying others valuing from SGD40,000 to the maximum of SGD50,000.

MAS added that up to 19% of bondholders had recently opened accounts with the Central Depository, suggesting a significant amount of first-time investors.

To realise the target of offering SGD4 billion of savings bonds this year, MAS said it will step up communication campaigns.

The agency will also cooperate with its partners to hold meetings to share experience in setting up financial plans for individual investors, especially targeting those who are at retirement age.

The Saving Bonds were first offered in September 2015 for October issuance. The non-tradable 10-year bonds may be redeemed by the bondholder every month, and the yield at redemption will match the average yield of a Singapore government bond that was issued in the month before issuance and that matures at the time of redemption.