September 2018 Singapore Savings Bonds is 2.44%

The effective interest rate for September 2018 Singapore Savings Bonds if you held it for 10 years is 2.44%.

As usual, I will be applying for September 2018 Singapore Savings Bonds (GX18090T). Reading about the increasing retrenchment rate in Singapore as compared to last quarters reminded me to continue building my emergency fund. The best place is to build an emergency fund and collect interest is the Singapore Savings Bonds as one of the benefit is there is no lock in period for the bond.

If you didn’t know, Singapore Savings Bonds pays out interest every 6 months. Thus, if you have subscribed for September 2018 Singapore Savings Bonds, the next payout will be March 2019 and September 2019 respectively. If you own a DBS Multiplier Account, you can also apply the hack to earn a higher monthly interest from your DBS Multiplier Account. Read my previous post here on how to earn higher interest with your DBS Multiplier Account. (Read more: Earn More Interest With DBS Multiplier Account + Singapore Savings Bonds) Read More

Starhill Global REIT 4Q2017/18 Financial Results Continue to Disappoint

Starhill Global REIT Logo

Starhill Global REIT released its 4QFY17/18 financial results on 27th July 2018. The financial results are still depressed due to weaker contributions from the office portfolio and retail scene. In fact, this is similar to its 3QFY17/18 financial results which I wrote in the last quarter (Read more: Starhill Global REIT 3Q2017/18 Results Is Disappointing ). There are no signs of improvement.

$1.6 million of income available for distribution for 4QFY17/18 has been retained for working capital requirements. This is similar to 3Q2017/18 and it gives me the creeps whether Starhill Global REIT is running into some financial troubles. Total debt amounts to $1,134 million and the current gearing is 35.5%. 73% of assets are unencumbered.

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Summary of July 2018 Transactions

I have been holding on to the cash that I had from the delisting of AusNetServices from Singapore Stock Exchange (SGX). After a quick screening through my stock portfolio, I decided to increase my holdings of Frasers Logistics and Industrial Trust from 8% to 11%. The share price of Frasers Logistics and Industrial Trust hovers at S$1.04 to S$1.05 and may possibly go lower due to the weakening Aussie dollar against Singapore dollar. At the point of writing, S$1.00 translates to A$0.99. Given the current share price of S$1.05 and estimated dividend of 7.22 cents for FY18, this translates to a dividend yield of 6.88% which I deem to be pretty attractive.  Read More