Receiving Interest Payments for SGS
Singapore Government Securities (SGS) bonds pay a fixed coupon, or interest, semi-annually during their tenor. When SGS bonds and T-bills mature, they are redeemed at face value.
When Coupons are Paid
You will receive the coupon payment for your SGS bonds on the first day of the month, every 6 months from the bond's issue date.
In the event that the payment date falls on a public holiday, the coupon will be paid on the next business day.
How the Coupon is Paid
If your CDP account is not linked to a bank account, CDP will send you a cheque for the coupon.
If you bought SGS using SRS/CPF funds, you will receive the payments in your SRS/CPFIS account instead.
You may have to pay accrued interest when you buy an SGS bond in the secondary market, or when you buy a reopened bond at an auction. Similarly, you may receive accrued interest when you sell a bond.
For SGS coupon accruals, the interest generally accrues from the previous coupon date (inclusive) to the settlement date (exclusive).
SGS trades ex-coupon 3 working days before the coupon date.
Redemption at Maturity
SGS bonds and T-bills are redeemed at face (par) value when they mature.
The face value of the SGS and the last interest payment will be automatically credited to your bank account. You do not need to take any action, and there is no transaction fee.