They are different investment instruments. SSB is a bond backed by Spore govt rate of default almost zero guaranteed capital. Also when look at percentage also factor in the currency. Can have high rate but inflation MYR become small. I share before Msia bank FD I put after mature come out the interest no power as things are so expensive.

For KWSP, Spore also got equivalent CPF OA at 2.5 and SA at 4 and a whole lot of CPF life annuity to get monthly payment until you die.

As for 1 SGD to 4 MYR in 10 years don't say cannot happen. During my times 1 SGD to 2 MYR I thought that is crazy cannot go higher already and now year 2022 it breach 3 MYR !

This post has been edited by sgh: Jun 1 2022, 11:29 PM

Very hot indeed can also try bank FD for 12 months all going up. CIMB SG FD now is 1.6,1.68% not bad

Msia EPF system differs from Spore CPF. This explain why for Msian it is easier to lay hands on those funds unlike us. Furthermore 50 years already can touch whereas for us it is at age 55 make sure fulfill X dollars (this year is 192,000) go into some Retirement Account to earn interest to be put into CPF Life annuity plan at age 65 onwards to draw a monthly allowance from that plan. After deduct the 192,000 any remaining then can take out. Then the monthly allowance start at age 65 onwards. What if you got short life?

So Spore expect their citizen live super long life and hence come out with this CPF Life annuity scheme which means to lay hands on those funds you better live long life. I dunno if this is good but for me come on I prefer Msia EPF to lay hands early at age 50 instead. Work like dog whole life must wait until age 65 and furthermore those is monthly allowance not lump sum withdrawal also. Spore smart let the same batch of old ppl feed each other. Those short life rugi and subsidize those live long life in that annuity plan.

CPF Life annuity plan actually bear interest from what I was told. So when you pass away, your nominees get back your "capital" put in. The interest earned is in the big pool to fund other surviving member monthly payout. This lead me to think the monthly payout we get is our capital+interest although it is not stated explicitly in the website

Don't under-estimate that interest portion, 192K is only for this year and it will increase every year. Imagine this 192K put into the CPF Life annuity with compounding interest that amount is not small. And since it is a big common pool of all ppl of same batch that is a lot of monies! This scheme is very good for government as they just administer the scheme they no need to cough out govt monies to feed this group of old ppl. Basically each one is supporting each other. But there can be a freak (small most likely) scenario is same batch of ppl majority live super long over age 90 then the common pool of monies may have problem continue to pay monthly perhaps even reducing the payout or maybe govt need pump in monies.

Above is what I read in the other Spore forum so please don't treat it as the truth. But the points flagged make sense. A big pool of monies cannot be sit there just to distribute monthly payout it has to be invested to grow the pool logical?

Not sure need to open a new topic but since this is about Singapore Savings Bond, a close relative to this is called Spore T-bill. How it works is below

1. Every 2 weeks Spore govt issue a new/reopen T-bill of 6 months maturity
2. Retail investors can participate by applying. During apply there is competitive and non-competitive bids. Why this work is becuz the 'interest' (they call cutoff yield) of the T-bill is not known in advance. It will only be known once the auction has taken place. The auction involve some primary dealer banks bidding.
3. Once the auction results is out, up to 40% of the T-bill size is first given to ppl on non-competitive bids. If over then pro-rated. The remaining 60% will be alloted to those who place competitive bids. The upcoming 09 Jun 2022 size is 4.1 billion of which 1.64 billion will be for non-competitive bids to get FIRST before the rest is alloted to the competitive bids for those with lowest to the cutoff yield onwards. Compared to SSB latest of only 350 million this T-bill size is so much larger so chance of not getting is lower?

E.g Auction result come out is 1%. Minimum invest is 1000. So you get $10/2 = $5 since it is for 6months. You then hold the T-bill in your CDP until 6 months later mature return you back your $1000. The $5 is your discount for the T-bill but I think of it as upfront interest like Maybank FD. Put get interest already a few days later

Pro and con
1. Cannot redeem each month like SSB. You can sell in secondary market but may lose capital
2. No need pay $2 for apply like SSB. I test using POSB,DBS mobile app
3. You get your "interest" upon know auction results few days later. That is the discount you get actually
4. No 200k SSB limit but per auction limit at 1 million

The last 26 May 2022 auction result is 1.80% for 6 months.

Problem with SSB is over subscribed you cannot get full allotment. For T-bill the amount size are much bigger so chance to get full allotment higher but it is only 6 months so yes not really for long term which SSB provide and the flexibility to withdraw every month if needed. Just sharing the alternatives.

Very optimistic even higher than MAS t-bill 4.6%. I will bid lower maybe 4.5%

Reason also party cuz Spore investor dump in CPF OA to buy T-bill also. You know CPF monies a lot stuck inside now take and invest wow new ball game.

This is why I prefer Msia EPF but then give more monies small same story in the end

No I did not but read a lot of hwz readers try need visit branch paper based indeed

Ppl who want to use cpf need to do own calculation due to the way cpf calculate interest based on the lowest balance of the month. So the month you take X out that X have no cpf interest. Hence the T-bill must be higher to cover that loss. Same concept applies when T-bill mature that month and you put back will not enjoy any cpf interest too

Online application using CPF for T-bill is a hotly sought after feature which the banks have not implemented yet all so manual now

T-bill rate has been spoiled by those using CPF OA so they bid low as long as above 2.5% they happy. Now CIMB SG 6 month onwards FD is 4% and above so I have placed there instead. Looking at other bank FD, Bank of China, ICBC China banks FD not bad and theirs can terminate FD via mobile app no need call in or go branch which is what I like. BOC minimum placement 5000 and ICBC 500 all best the Msian banks in Spore just their rates slower to match CIMB RHB etc

CIMB and RHB in Spore fight for monies so always promotion. RHB High Yield Savings Account and CIMB Starsaver are their other offerings. But in Spore got Standard Chartered and other countries bank fight business with them. Maybank also not bad but they open too many branches every month need feed many employees so their promotion not as good as CIMB and RHB. Got Msia Hong Leong Bank but their minimum quite high so I cross them out

With 6 month FD hit 4% t-bill no longer attractive so if apply I will put competitive bid above 4%

So this time round you will bid 5% ?

Read SSB may up rates soon to above 3%. When it comes I will be back in again.

Bank FD 4% and above that time so I go for FD. Now T-bill alot of CPF investment so rate drop below 4%. Recent climb backup to 3.98% hmmm