The risk free 10 year bond will pay around 2.63% average interest per year if held to maturity and the principal can be returned any month if u wish to exit.
Why am I investing in SSB?
I tend to keep an emergency cash fund of at least 12 months expenses, its usually kept 100% liquid in my savings account so that I can use it anytime, however the interest rates are pretty low.
Given the flexibility of SSB, I decided to take a portion of the emergency cash fund to put into the SSB for the higher interest rates. The majority of the cash will still be in my savings account.
Easy Step By Step Guide to Applying for Singapore Saving Bonds Online (Using POSB)
At the main page of your internet banking, go to the top columns and select Invest
under the drop down, select Singapore Government Securities (SGS)
Select Singapore Saving Bonds Application and click Next
Select the first Issue Code, then Tick to accept the agreement and click Next
Key in the amount that you wish to invest
Select which savings account to deduct the money from
double Check all your details and if correct Submit to complete the application
You will get a confirmation and congrats, you are done ^_^
|CapitaCommercial Trust||1.30||15%||15.1||6.6%||100%||Commercial Reit|
|OCBC||8.82||15%||9.4||4.1%||38%||Banking & Finance|
|Sembcorp Industries||3.40||8%||9.7||4.1%||40%||Marine & Utilities|
|ST Engineering||2.98||8%||17.5||5.0%||88%||Defense & Engineering|
|STI ETF||2.92||7%||11.7||3.3%||39%||Exchange Traded Fund|
|UOB||19.20||13%||9.8||3.9%||38%||Banking & Finance|
|Total Weight||Portfolio PE||Portfolio Yield||Payout Ratio|