The Best Fixed Deposits of July 2019

The effective interest rate for August 2019 Singapore Savings Bonds (GX19080E) is 2.01% if you held it for 10 years. As written previously in my monthly post on Singapore Savings Bonds, the interest rate is the lowest in 12 months. But what if you only want to hold it for 1 year?

As shown in the table below, the interest rate is only 1.68% if you buy August 2019 Bond and redeem it after 1 year. This is lower than the interest rate of 12 months fixed deposits offered by banks which makes this month issue of the Singapore Savings Bonds unattractive.

If you have spare cash to lock down for 1 year, why not take a look at some of the fixed deposit promotions currently offered by the banks? Below are the 12 months fixed deposit offered by banks which beats August 2019 issue of the Singapore Savings Bonds: Read More

August 2019 Singapore Savings Bonds is 2.01%

The effective interest rate for August 2019 Singapore Savings Bonds (GX19080E) is 2.01% if you held it for 10 years. The interest rate is the lowest and the worst for the past 12 months. The minimum amount you can purchase for Singapore Savings Bonds is S$500 which I am likely to do so this month since the interest rate is super pathetic. This is my monthly routine of 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. Read More

July 2019 Singapore Savings Bonds is 2.16%

This post came late as I was taking a short break from blogging last week. Coincidentally, at the point of writing this post, Astrea V Pte Ltd lodged their Astrea V Bonds final prospectus today that offers 3.85% p.a.

Even though the interest rate offered by Astrea V Bond is higher as compared to Singapore Savings Bonds, Astrea V Bonds are far more complex to understand as compared to Singapore Savings Bonds. For those that wanted a risk free investment without much thinking involved, I will recommend to buy Singapore Savings Bonds.

For those still keen in Singapore Saving Bonds, the effective interest rate for July 2019 Singapore Savings Bonds (GX19070W) is 2.16% if you held it for 10 years. The interest rate is the lowest for the past 12 months. 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.

DBS Multiplier Account + Singapore Savings Bonds

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).

Singapore Savings Bonds versus Fixed Deposits

The interest rate of Singapore Savings Bond is also higher than most fixed deposits that banks can offer for 12 months. (Read more: CIMB Fixed Deposit Promotion Makes Your Money Work, Not You!)

Tracking Singapore Savings Bonds via StocksCafe

My favorite website, StocksCafe has introduced a new feature to allow adding of Singapore Savings Bonds into your portfolio. If you didn’t know, I signed up as a Friend of StocksCafe as my most favorite feature of StocksCafe is the automated tracking of dividends payout.

Tracking Singapore Savings Bonds via My Savings Bonds Portal

MAS has launched My Savings Bonds Portal where you can track your Singapore Savings Bonds purchases separately from your stock purchases. I have done up a simple guide here. (Read more: Guide to My Savings Bonds Portal)