SSBMAY23 rates announced by MAS this afternoon.

Year from issue date	1	2	3	4	5	6	7	8	9	10
Interest %	3.03	3.03	3.03	3.03	3.03	3.03	3.03	3.16	3.21	3.21
Average return per year %	3.03	3.03	3.03	3.03	3.03	3.03	3.03	3.04	3.06	3.07

Closing Date: 25 Apr 2023
Issue Size: $700M (unchanged)

Source: MAS official website

hwckhs on HWZ

Quotation of taxable book-entry Singapore Government Bonds



From BT 030423

This week's MAS Bill auction results:

Tenure	4-week	12-week
Cut-off yield	3.98%	4.02%
Median yield	3.4%	3.9%
Average yield	2.79%	3.46%
BTC ratio	2.2	2.18

Source:

4-week: https://www.mas.gov.sg/bonds-and-bills/auct...date=2023-04-10

12-week: https://www.mas.gov.sg/bonds-and-bills/auct...date=2023-04-10

Both 1-month and 3-month COY still around 4%.

OCBC CPFIS holders will now be able to apply for CPF-OA investment in SG T-bills as the system goes online today.

Reported from HWZ: https://forums.hardwarezone.com.sg/threads/...#post-146992278

Latest SSB rates reported in BT 040423:

This week's MAS Bill auction results:

Tenure	4-week	12-week
Cut-off yield	3.9%	3.9%
Median yield	3.7%	3.84%
Average yield	3.22%	3.32%
BTC ratio	2.08	2.42

Source:

4-week: https://www.mas.gov.sg/bonds-and-bills/auct...date=2023-04-14

12-week: https://www.mas.gov.sg/bonds-and-bills/auct...date=2023-04-14

Both 1-month and 3-month COY below 4%.

Sorry for being late. Messed up with my Bloomberg FXFA settings.

FXFA yield curves settings can be seen in this screenshot:



By the way, I bid 3.8%, based on MAS last published' data: https://eservices.mas.gov.sg/statistics/fda...ssuePrices.aspx

Offshore Euro Sing yields 3.55-3.61 whereas onshore last quoted 4.0085. So about right, halfway between the two.



MAS will publish its semiannual policy review this Friday. All eyes on SGD NEER slopes and bands.

This post has been edited by TOS: Apr 12 2023, 06:40 PM

Ahya missed by 5 basis points...

% of Competitive Applications at Cut-off Allotted	Approximately 45%
% of Non-Competitive Applications Allotted	100%
Bid-to-Cover Ratio	2.56
Cut-off Yield (Price)	3.75% p.a. (98.13)
Median Yield (Price)	3.65% p.a. (98.18)
Average Yield (Price)	3.31% p.a. (98.35)

Source: https://www.mas.gov.sg/bonds-and-bills/auct...date=2023-04-18

This post has been edited by TOS: Apr 13 2023, 03:27 PM

MAS policy statement: https://www.mas.gov.sg/news/monetary-policy...atement-14apr23

SG Straits Times: 6-month Treasury bills still popular as investors seek ‘safe’ investments

https://www.straitstimes.com/business/6-mon...afe-investments

OCBC 8 month 3.88% CPF FD has been temporarily halted...

https://www.ocbc.com/personal-banking/depos...deposit-account

Soured from lzydata/HWZ.

This post has been edited by TOS: Apr 16 2023, 06:15 PM

Hurry up for CPFIS applicants!

SG 1 year T-bill auction will close at 12 pm today for DBS (OCBC is 9 pm).

This post has been edited by TOS: Apr 18 2023, 02:57 PM

This week's MAS Bill auction results:

Tenure	4-week	12-week
Cut-off yield	3.82%	3.8%
Median yield	3.7%	3.75%
Average yield	3.15%	3.27%
BTC ratio	2.03	2.37

Source:

4-week: https://www.mas.gov.sg/bonds-and-bills/auct...date=2023-04-21

12-week: https://www.mas.gov.sg/bonds-and-bills/auct...date=2023-04-21

Both 1-month and 3-month COY below 4%, dropped by 10 bps from last week.

yo rarely see you here in SG Treasury market thread. I remember you once told me you don't have CDP account in SG.

Auction for 6 month T-bill is done biweekly (once every 2 weeks), auction for 1 year T-bill is done quarterly (Jan, April, July, October) Today (for CPF) and tomorrow (for cash application) will be the deadline for the second 1 year T-bill issuance for this year.

You can refer to MAS's issuance calendar here: https://www.mas.gov.sg/bonds-and-bills/auct...suance-calendar

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Comparing 6 month and 1 year rates for RHB MCA vs MAS T-bill, the rates are pretty similar, but SG T-bill is better by 20-30 basis points (and add another 5-10 basis points to adjust for rate conventions, i.e. discount rate is always lower than bond-yield equivalent which is the FD rate quote convention), so they still earn some spreads.

RHB MCA data: https://www.rhbgroup.com/treasury-rates/mul...osit/index.html

MAS T-bill data: https://eservices.mas.gov.sg/statistics/fda...ssuePrices.aspx

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I have looked at RHB MCA for some time after you keep writing about it in almost every thread I read It's a good service in many dimensions, the biggest and most obvious issue is the MYR 20 card fee.

Another big hidden danger with RHB MCA is that your foreign currency money is part of BNM's FX reserve and is at the mercy of Malaysia's regulators. (Last time in late 90s, CLOB saga scared many Sporeans and illustrated what could happen in a crisis). But of course you may have different views on such matters, just a risk to point out.

Last thing is I don't believe in is the PIDM for foreign currencies. That is impossible for a simple reason: Malaysia can't print foreign currencies. Guaranteeing USD, EUR, SGD etc. is impossible when you cannot create the money in the first place. There is a reason why SDIC in Singapore doesn't guarantee foreign currency deposits in SG banks.

That said, if one can stomach the risks aforementioned, I think RHB MCA is a pretty good substitute for Wise and for investors moving money in/out of Malaysia. The rates and fees look reasonable.

This post has been edited by TOS: Apr 18 2023, 08:23 PM

Yes, PIDM covers foreign currency deposits, as they stated here officially: https://www.pidm.gov.my/en/how-we-protect-y...overage-for-dis

But there is one line in their 2021 (latest) annual report worth mentioning (in section 22, Financial Risk):



Source: https://www.pidm.gov.my/pidm2022/files/71/7...e4358445798.pdf (PDF page 80/89)

Interpreted in another way, that means they do not hold lots of foreign currencies to insure against your deposit lost in case banks go belly up. They don't provide much info on insurance premiums for foreign currency deposits anyway, so hard to tell lah.

Deadline for 1-year T-bill bid is 9 pm tonight. Here are the Bloomberg FXFA screenshots. Offshore yields data sourced from Bloomberg London.

Onshore: 3.76-3.81 %



Offshore: 3.43-3.52%



I will bid 3.5% p.a., anticipating the hot demand... US debt ceiling issue will force up US rates in coming months and make the safer SG T-bills "overpriced" for some time I guess.

ikanbilis must be too sad until can't post auction result here.

As expected, this 1-year auction is damn hot. 3 times bid-to-cover ratio. COY 3.58% p.a.

% of Competitive Applications at Cut-off Allotted	Approximately 64%
% of Non-Competitive Applications Allotted	100%
Bid-to-Cover Ratio	2.96
Cut-off Yield (Price)	3.58% p.a. (96.43)
Median Yield (Price)	3.5% p.a. (96.51)
Average Yield (Price)	3.27% p.a. (96.739)

Source: https://www.mas.gov.sg/bonds-and-bills/auct...date=2023-04-25

This post has been edited by TOS: Apr 20 2023, 04:07 PM

This week's MAS Bill auction results:

Tenure	4-week	12-week
Cut-off yield	3.99%	3.98%
Median yield	3.7%	3.78%
Average yield	3.4%	3.44%
BTC ratio	1.91	2.13

Source:

4-week: https://www.mas.gov.sg/bonds-and-bills/auct...date=2023-04-28

12-week: https://www.mas.gov.sg/bonds-and-bills/auct...date=2023-04-28

Cooler response than last week. Both 1-month and 3-month COY just shy of 4%.

-------------------------

6 month T-bill auction tomorrow. Auction bid deadline is 9pm today (for DBS/OCBC online application). Will share with you guys the Bloomberg screenshot later this evening.

Also today is last day to apply for SSB May 2023.

As promised, the Bloomberg FXFA screenshots:

6M offshore yields: 3.63-3.68% p.a.



6M onshore yield last quoted 4.12% p.a.



I will bid 3.7% p.a. based on MAS's data (3.75% p.a.): https://eservices.mas.gov.sg/statistics/fda...ssuePrices.aspx

I studied Bloomberg's FXFA function in greater detail.

Since I am looking at discrepancy of FX implied yield compared to current spot yields, Bloomberg recommends manually choosing the yield curves.



For both SGD onshore and offshore, recommended curve is SGD OIS SORA. For USD it is SOFR.



With this new setting:

Onshore rates are 3.47-3.49% p.a.



Offshore rates are 3.63-3.69% p.a.



At least the discrepancy is less than the previous setting. I will be using this new Bloomberg-recommended setting in my future posts. Also, in the future I will only mention the last quoted yield for the old setting here without screenshot since the last quoted yield is fixed when market is close anyway.

This post has been edited by TOS: Apr 25 2023, 07:15 PM