Details on savings bonds for individual investors released

Details on savings bonds for individual investors released

POSTED: 30 Mar 2015 16:00
UPDATED: 30 Mar 2015 16:05

The Singapore Savings Bonds programme will be launched in the second half of this year, and investors can put in a minimum sum of S$500, says the Monetary Authority of Singapore.

SINGAPORE: More details have been released on the proposed Singapore Savings Bonds for individual investors.

In a news release on Monday (Mar 30), the Monetary Authority of Singapore (MAS) said the Savings Bonds programme - which will only be available for individuals - will be launched in the second half of this year.

Investors can put in a minimum of S$500, and in subsequent multiples of S$500, for 10 years. There will be a limit to the total investment amount so that it can maximise participation and to ensure a broad reach, said MAS.

Investors can opt for a monthly issuance of their money, and they can choose to withdraw all of their money any time, with no penalty. This means investors need not have to decide upfront on how long they wish to invest.

Those in the Savings Bonds programme will earn interest that is linked to long-term Singapore Government Securities rates. The Savings Bonds’ interest rates will increase over time. This means the average interest rate will be higher the longer the Savings Bonds are held.

Furthermore, the Savings Bonds programme is principal-guaranteed, which means investors will always get their investment amount back in full.

The MAS said it will provide information on how to apply for the Savings Bonds programme closer to the launch date.

- CNA/xq


- wong chee tat :)