April 2019 Singapore Savings Bonds is 2.18%

The effective interest rate for April 2019 Singapore Savings Bonds (GX19040X) is 2.16% if you held it for 10 years. As you can see from the chart above, the effective interest rate has dipped further from 2.18% to a pathetic 2.16%. Nevertheless, as usual, I shall be allocating a portion of my monthly salary into safe haven as the Singapore Savings Bonds acts as a form of emergency fund when the need arises.

If you didn’t know yet, SRS applications for Savings Bonds open from March and individual limit has doubled to $200,000. I personally felt that the introduction of SRS application for Savings Bonds is an excellent initiative as the SRS currently earns a petite interest rate of 0.05% per annum. In March, I have used partial of my SRS funds to purchase the Singapore Savings Bonds for the higher interest.

If you hold a DBS Multiplier Account, you can perhaps try the hack I previously wrote about to achieve a higher interest rate payout. (Read more: Earn More Interest With DBS Multiplier Account + Singapore Savings Bonds)

 

Summary of February 2019 Transactions

This is a short month and here we are at the end of the month again to summarize my stock portfolio again. Earlier this month, I was pretty busy with Chinese New Year activities such as spring cleaning and visiting friends and relatives. I did not make any buy or sell transaction this month. I have strictly followed my routine of purchasing the Singapore Savings Bonds. Other than using cash to purchase Singapore Savings Bonds, I have used my Supplementary Retirement Scheme funds to purchase as well since the Singapore Savings Bonds offer higher interest rate.

I shall be receiving the dividends payout from OUE Hospitality Trust, ParkwayLife REIT, CapitaMall Trust, Mapletree Commercial Trust on the 28th of February. This is additional “red packet” for me.

I have done an analysis of SPH REIT (Reviewing My Personal Analysis of SPH REIT) which I shall be monitoring closely. I am currently accumulating cash and shall enter into a position if the price is right. If you have noticed, most stock prices of REITs have gone up and this results in a lower dividend yield at the current price.

That is all my updates for February!

Reviewing My Personal Analysis of SPH REIT

When I wrote about SPH Reit two years ago, SPH Reit only has two assets in its portfolio which are Paragon and The Clementi Mall. Back then, there was news that SPH Reit will add Seletar Mall to its portfolio but till date, it has not actualize. As of today, SPH Reit has include two new properties in its portfolio, which is The Rail Mall and Figtree Grove Shopping Centre.

The Rail Mall

SPH Reit acquired The Rail Mall on 28th June 2018 at S$63.2 million. Based on what I have gathered, 40% of the tenants are F&B restaurant operators, 20%are supermarkets and the rest consist of services providers such as spa and massage parlours and tuition centres.

The Rail Mall has 41.5% of its leases expiring in FY19. Read More