Singapore Savings Bond (SSB) yields rise 3.16% — Time to lock in attractive returns for investors like you

September 6, 2023

SINGAPORE: Good news for investors! Higher returns await as Singapore Savings Bond yields rise to 3.16%, marking the fourth straight increase.

The latest SSB series opened on Sept 4, offering an appealing 3.05% interest rate in the first year. The real deal here is the 10-year mark, with a solid 3.48% interest rate, outperforming the previous series with a 10-year average return of 3.06%. This series also started strong with a first-year rate of 3.01% on Sept 1.

Want to get in on this?

SSB Average Return in 10 years — Photo: Screengrab from Singapore Savings Bond

You have until Sept 26 to join, and the bonds will be issued on Oct 2. It’s a big deal, with a whopping S$800 million in bonds up for grabs, a step up from the last series with S$600 million.

Here’s the twist!

SSB interest rates have been on the upswing since a low in May at 2.81%. The trend took off in November when it hit 3.47%, catching investors’ attention. These changes are in response to the Federal Reserve’s interest rate shifts.

Even though interest slowed down this year, experts like Gerald Wong, the founder and CEO of Beansprout, think there’s more to come.

Why? SSBs tend to follow Singapore government bonds, which have been climbing steadily.

Wong expects 10-year SSB yields to rise in sync with government bonds, but how long this will last is anyone’s guess.

Here’s how you can make the most of this opportunity.

How to Apply for Singapore Savings Bonds (SSBs)

Applying for SSBs is easy:

Internet Banking & ATMs: Use DBS/POSB, OCBC, or UOB internet banking portals and ATMs.
Mobile App (OCBC): OCBC customers can apply through the mobile app.
Supplementary Retirement Scheme (SRS): SRS account holders can apply through their SRS accounts.
SRS Operator’s Portal: Apply through the internet banking portal of your SRS Operator.

Operating Hours:

Monday to Saturday: 7 am to 9 pm (excluding Public Holidays).
On the opening day, from 6 pm to 9 pm.

Requirements:

You’ll need an individual CDP account for cash applications or an SRS account for SRS applications.
CPF funds are not eligible.

Singapore Savings Bonds are looking better than ever, offering competitive returns and opportunities for savvy investors willing to play the long game.

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