The effective interest rate for November 2022 Singapore Savings Bonds (SBNOV22 GX22110A) is 3.21% if you held it for 10 years. The interest rate is at record high level!
The minimum amount which you can purchase the Singapore Savings Bond is S$500. If you decide to hold and sell the current issue (SBNOV22 GX22110A) after 1 year, the effective interest rate is 3.08%. There is no lock in period and thus you can sell it anytime.
| Year from issue date | Interest % | Average return per year %* |
| 1 | 3.08 | 3.08 |
| 2 | 3.15 | 3.11 |
| 3 | 3.18 | 3.14 |
| 4 | 3.19 | 3.15 |
| 5 | 3.21 | 3.16 |
| 6 | 3.23 | 3.17 |
| 7 | 3.25 | 3.18 |
| 8 | 3.26 | 3.19 |
| 9 | 3.28 | 3.20 |
| 10 | 3.30 | 3.21 |
*At the end of each year, on a compounded basis.
Singapore Savings Bonds is a good investment to complement your other savings and investments due to the fact that it is near to zero risks.
Tracking Singapore Savings Bonds via Stocks Café
My favourite website, Stocks Café has allows adding of Singapore Savings Bonds into your portfolio. If you didn’t know, I signed up as a Friend of Stocks Café as my most favourite feature of Stocks Café is the automated tracking of dividends payout.
This is the third year that I continue to use Stocks Café to track my dividends.
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)
Singapore Savings Bonds versus Fixed Deposit
I believe you have read from the news that UOB Bank currently offers fixed deposit rates as high as 3.0% per annum.
Singapore Savings Bonds win slightly against UOB’s Fixed Deposit by a mere 0.08% p.a.
I will prefer Singapore Savings Bond given that you can redeem it anytime as compared to Fixed Deposit where there is a locked in period.
Will SBNOV22 GX22110A be oversubscribed? Let us wait till the end of the month to find out!