MAS FRN: Information for Institutions

MAS FRN are tradable debt securities that pay a floating, semi-annual coupon. The issuance of MAS FRN supports the development of SORA-based markets. MAS FRN are issued through auctions, and is one of the instruments used in MAS' money market operations.

MAS considers the prevailing market conditions and its sterilisation needs, in deciding the timing and amount of MAS FRN to be issued.

Product Information

MAS FRN is one of the instruments that MAS issues.

Issuer Monetary Authority of Singapore
Tenor 6 months, 1 year and 2 years
Currency SGD
Interest rate Floating rate
Spread plus Compounded SORA

For more information on interest rate computation, please refer to the User Guide (362.4 KB).
Interest payments For the 6-month MAS FRN, interest payment would be at maturity. For longer tenor MAS FRN, interest payment would be paid out every 6 months.

Compare with SGS bonds, T-bills and MAS Bills

MAS FRN are issued to institutional investors through auctions, and issuance typically takes place 3 business days after. Auctions are announced on the MAS website 1 business day before each auction. The issuance size of each MAS FRN will also be published at the same time.

You can submit your applications through any of the approved primary dealers.

Frequency of issuance Monthly
Method of sale Uniform price auction – competitive bids only.
Bid format Spread to 2 decimal places.
Investment amount S$1,000, and in multiples of S$1,000.

There is no maximum amount an institution can hold.
Who can buy Institutional investors only
Settlement T+3 for auctions; T+1 in the secondary market on a delivery-versus-payment (DVP) basis.

Settled via the MAS Electronic Payment Systems (MEPS+).
Custody By book entry in the investors’ custody account. Institutions without a MEPS+ account need to open a securities custody account with a primary dealer. 
Secondary market trading Primary Dealers: e-trading platform or through brokers

Institutional investors: through brokers, and through Primary Dealers' dealer-to-client platforms

Trading hours are from 9am to 11:30am and 2pm to 4:30pm
Trading basis Prices to 3 decimal places.
Typical transaction size S$5 million for on-the-runs (benchmarks) and off-the-runs.

Auction Details

Maximum number of bids Unconstrained
Maximum allotment Unconstrained for primary dealers and non-primary dealers.
Underwriter Yes. Each primary dealer is obliged to tender for a minimum share of the issue on offer.
Post-auction subscription No
Cut-off time By noon on auction day.
When-issued trading Yes

Auction Timeline

Between the different stages of the auction process, the lag time is as follows:

Between this stage And this stage Lag time is
Announcement Auction 1 business day
Bids Results 1 hour
Results Settlement 3 business days

There is no capital gains tax in Singapore.

For resident financial institutions (excluding Financial Sector Incentive- Standard Tier companies) and corporations, interest income is taxed at a concessionary rate of 10% for MAS FRN issued up to 31 December 2023.

More on tax

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Upcoming Auctions

Auction Announcements

There are currently no auctions open for application.

View the issuance calendar

More Products

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T-bills

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Investor Guide

Find a Primary Dealer

View the list of primary dealers for SGS and MAS Bills.

eApps for Primary Dealers

For primary dealers only. Submit electronic bids and check auction results for SGS, MAS bills and MAS FRN.

Enquiries

If you have any questions or enquiries about this product, please contact us.