The Singapore Savings Bond (SSB) issue for February, tagged as SBFEB25 GX25020H, offers an effective interest rate of 2.82% if held for a decade. This is a slight dip compared to the 2.86% rate provided by the January issue, SBJAN25.
SSBs are favored by investors who prefer minimal risk, as they serve as a reliable means to grow savings steadily. The nature of these bonds ensures that the potential return increases the longer they are held. Individuals can invest up to S$200,000, which includes both cash and Supplementary Retirement Scheme (SRS) accounts.
Understanding Singapore Savings Bonds
So, what exactly are Singapore Savings Bonds? Issued by the Monetary Authority of Singapore, these government bonds provide a secure and flexible investment option for individuals looking to save. Their unique "step-up" feature is designed to encourage long-term savings by gradually increasing returns the longer the bonds are held.
