This is a quick mid-month update on Singapore Savings Bonds Interest Rates for boys and girls who are gunning for Singapore Savings Bonds SSB May 2018.
Read on for recap on SSB Interest Rates for May 2018 issue and predicted SSB Interest Rates for Jun 2018 issue.
APPLY BY 25 APR 2018
Details of this issuance is summarised below.
- Bond ID: GX18050E
- Tranche size: S$200 million
- Issue date: 2 May 2018
- Maturity date: 1 May 2028
- Interest payment dates: 1 May, 1 Nov every year
SSB Interest Rates May 2018
The table below recaps the Singapore Savings Bonds Interest Rates for May 2018 issue. It ranges from 1.65% in Year 1 to 3.00% in Year 10. The average return starts from 1.65% to 2.39% in Year 1 and Year 10 respectively.
SSB Interest Rates June 2018 Predicted
As of 23 Apr, this month’s average 1Y, 2Y, 5Y and 10Y SGS benchmark rates are 1.67%, 1.90%, 2.08% and 2.39% (see table below). The average returns that SSB June 2018 will offer for Year 1, Year 2, Year 3 and Year 10 are based on them.
Comparing with Singapore Savings Bonds Interest Rates May 2018 (see table above), SSB Interest Rates June 2018 will be equally attractive baring any huge rate movement in the remaining few trading days of this month.
|Day of Month in Apr||1Y Rate||2Y Rate||5Y Rate||10Y Rate|
Reason: MAS uses SGS benchmark rates for the current month to calculate SSB interest rates for the next month’s issuance.
For the purpose of calculating the Step-up Coupon rates for Savings Bonds, the one, two, five and ten-year benchmark SGS yields are used as reference. These reference yields will be based on the simple average of the respective daily SGS benchmark yields from the month before the public notice of issuance (the “reference SGS yields”), as provided on the “Daily SGS Prices” page of the SGS website (https://secure.sgs.gov.sg/fdanet/SgsBenchmarkIssuePrices.aspx). Reference SGS yields for tenors between the benchmark issuances are interpolated using a hermite spline function. (Extracted from Para 4.2. of MAS Technical Note on Singapore Savings Bonds)