Bond Investment in Singapore: How to Buy Bonds, Bond Funds and ETFs (2026 Guide)

Bond investment in Singapore works through four main routes: Singapore Government Securities (Singapore Savings Bonds, T-bills and SGS bonds) bought through DBS/POSB, OCBC or UOB; SGX-listed retail corporate bonds bought through a brokerage account; bond ETFs traded on SGX; and bond unit trusts bought through a fund platform or bank. As of early November 2026, a 6-month T-bill cleared at 1.95%, the 10-year SGS bond yielded 2.24%, and SGD investment-grade corporate bonds yielded around 2.7%.

Most SGD corporate bonds are sold in wholesale lots of S$200,000 to S$250,000, which in practice limits them to accredited and institutional investors. This guide shows what each route costs, which bonds and bond funds retail investors can actually buy, how CPF and SRS savings fit in, and what changes once you qualify as an accredited investor.

Bond Yields in Singapore Today (November 2026)

Singapore government paper currently yields roughly 1.8% to 2.4%, SGD investment-grade corporate bonds about 2.7%, and USD-denominated Asian and US bonds considerably more, at the cost of currency and, for high yield, credit risk. The table below gathers the latest figures from primary sources so you can compare like with like.

Three cautions apply when reading this table. First, the USD yields are not directly comparable with SGD yields: you carry exchange-rate risk, and hedging USD back into SGD typically costs roughly the difference in short-term interest rates between the two currencies, which with the 2-year US Treasury at 4.61% against 1.86% for the 2-year SGS bond is about 2.75 percentage points. Second, a fund's yield to maturity is not its future return; prices move with rates and defaults reduce what investors actually receive. Third, the Kilde figure is a realised net return after platform fees, not a yield to maturity, and past performance does not predict future results.

Kilde's view: The spread between the top and bottom of this table is compensation for specific risks, not free return. Before comparing numbers, write down which risks you are being paid for: interest-rate risk (duration), credit risk, currency risk and liquidity risk. A higher figure with a risk you cannot hold through a bad year is not a better investment.

SSB rates reset every month and 6-month T-bills are auctioned every two weeks, so check the current issue before applying; our guides below link to the latest rates.

What Are Bonds and How Do You Earn From Them?

A bond is a loan you make to a government or company. The issuer pays interest (the coupon), usually every six months, and repays the face value at maturity. You earn from coupons, and you can gain or lose on price if you sell before maturity, because bond prices fall when market interest rates rise and rise when they fall.

Three numbers matter more than the coupon when you compare bonds:

• Yield to maturity (YTM): the annual return you lock in if you buy at today's price, receive every coupon and hold to maturity, assuming the issuer pays in full. It is the fairest single number for comparing bonds with different prices and coupons.
• Duration: how sensitive the price is to interest rates. A duration of 5 years means the price moves roughly 5% for every 1 percentage point change in yields.
• Credit rating: the agencies' view of the issuer's ability to pay. Bonds rated BBB- or higher (Baa3 at Moody's) are investment grade; anything below is high yield.

The interest rate an issuer must pay depends on its creditworthiness, the bond's maturity, how easily the bond can be traded and the general level of rates set by markets and central banks. That is why a Singapore government bond yields less than a bank perpetual or an Asian high-yield issue: investors demand more for more risk.

Types of Bonds You Can Buy in Singapore

Retail investors in Singapore can buy government securities, a limited range of SGX-listed retail corporate bonds, bond ETFs and bond unit trusts. Wholesale corporate bonds, the bulk of the SGD corporate market, come in lots of S$200,000 or more and are effectively reserved for accredited and institutional investors.

Government Bonds: SSBs, T-bills and SGS Bonds

All three are issued and backed by the Singapore Government. SSBs suit flexible savings because you can redeem in any month without losing principal; T-bills suit cash you need back within a year; SGS bonds lock in a rate for 2 to 50 years but their price moves if you sell before maturity.

You apply through DBS/POSB, OCBC or UOB ATMs, internet banking or mobile apps, using cash, SRS funds or, for T-bills and SGS bonds, CPF Ordinary Account savings. SSBs are open to individuals aged 18 and above with an account at one of the three local banks and an individual CDP securities account. For the step-by-step process and the latest rates, see our guides to buying Singapore Savings Bonds and T-bills in Singapore. Interest on SGS bonds and SSBs is tax-exempt for individuals.

SGD Corporate Bonds: Retail vs Wholesale

Singapore's corporate bond market has two tiers. Retail bonds are approved for sale to the public, trade on SGX in S$1,000 lots and come with a product highlights sheet. Wholesale bonds are offered only to institutional and accredited investors or in denominations of at least S$200,000, and trade over the counter through banks and dealers.

Since 2016, two MAS frameworks have let some wholesale issuers reach retail investors. Under the Bond Seasoning Framework, eligible wholesale bonds can be offered to retail investors after six months of listing on SGX, re-denominated into lots as small as S$1,000. Under the Exempt Bond Issuer Framework, issuers that meet higher thresholds can sell bonds directly to retail investors from the start without a full prospectus. In practice the retail list on SGX remains short and new retail offers are occasional: the T2026-S$ Temasek Bond (1.8% coupon, stock code TEMB), sold to the public in 2021, matures on 24 November 2026. That scarcity is why many investors reach SGD corporate credit through a fund or ETF instead.

What to check before buying a corporate bond: the issuer and its rating (or the reason it is unrated), the yield to maturity rather than the coupon, the call dates, where the bond ranks if the issuer fails (senior, subordinated, perpetual), and how often it actually trades.

High-Yield and Perpetual Bonds

Bonds paying 7% or more in today's market are usually high-yield corporate bonds, frontier-market sovereigns or bank and corporate perpetuals. The extra yield pays for a real chance of loss: the iShares USD Asia High Yield Bond ETF lost 12.95% in 2021 and 18.26% in 2022 before recovering in 2023 to 2025.

Perpetual bonds deserve particular care. They have no maturity date; the issuer may call them on set dates or keep paying a reset coupon indefinitely, and some bank perpetuals allow coupons to be cancelled or principal written down if the bank's capital falls too low. SGD perpetuals from issuers such as UOB and Singtel sit even in investment-grade portfolios, so read the terms rather than relying on the issuer's name.

{{cta-component}}

How To Buy Bonds In Singapore

Buying bonds in Singapore takes five steps: decide what you want to own, open the right account (a bank account with CDP for government bonds and SGX bonds, a brokerage or bond platform for corporates and ETFs), check the bond's terms, place the order in the right window, and track coupons and maturity. The route you choose matters more for cost than the bond itself.

1. Decide what you want to own. Government paper for capital stability, corporate bonds for extra yield on a known issuer, or a fund for diversification. If you are unsure, a fund or ETF removes the need to judge individual issuers.
2. Open the right accounts. Government securities and SGX-listed bonds settle into an individual CDP securities account linked to your bank account. For CPF Ordinary Account investing you need a CPF Investment Account with DBS, OCBC or UOB; for SRS money, an SRS account. If you have never traded on SGX, our guide on opening a CDP and brokerage account walks through it.
3. Check the bond. Read the product highlights sheet or factsheet: issuer, rating, coupon, maturity, call dates, yield to maturity and ranking.
4. Place the order. SSBs open for applications every month, 6-month T-bills are auctioned every two weeks and SGS bonds follow MAS's issuance calendar. Listed bonds and ETFs trade like shares with a limit order on SGX.
5. Hold and monitor. Coupons are credited to your CDP-linked bank account (or your SRS or CPF account if you paid with those funds). Note maturity and call dates, and the issuer's results if you hold corporates.

Where to Buy: Banks, Brokers and Platforms Compared

Local banks handle government securities, online brokers handle SGX-listed bonds and ETFs, bond platforms add wholesale and foreign bonds, and private banks serve accredited investors buying full wholesale lots. Most investors end up using two channels: a bank for government paper and a broker or platform for everything else.

If you need both government and corporate bonds from a single desk, the wealth arms of the local banks and international banks offer that to their clients; for smaller tickets, a bond platform covers both from one account.

What Fees Do You Pay on SGD Bonds?

The fees on SGD bonds are a one-off dealing cost for individual bonds (bank fee, broker commission plus SGX fees and GST, or a platform processing fee) and an ongoing cost for funds (the expense ratio, plus a platform fee where charged). Over five years, the gap between the cheapest and the most expensive route on S$10,000 is more than S$500.

Worked example: S$10,000 invested and held for five years, assuming the investment's value is unchanged when sold. Broker commission assumed at 0.08%, with SGX fees and 9% GST added; minimum commissions ignored.

The last two rows hold the same portfolio: LionGlobal's Short Duration Bond Fund is available both as an SGX-listed active ETF and as an unlisted unit trust. Bought with the full preliminary charge, the unit trust costs more than three times as much over five years. Some platforms waive preliminary charges, which narrows the gap, so compare the all-in cost on the channel you will actually use.

For corporate bonds bought over the counter, the largest cost is often invisible: the dealer's spread between buying and selling prices. Ask for both prices before you trade.

Buying US Treasuries From Singapore

Singapore investors buy US Treasuries through international brokers, bond platforms and banks, usually from US$1,000 face value. With the 10-year Treasury yielding 4.92% and the 2-year 4.61% on 2 November 2026, USD yields are well above SGD yields, but your return in SGD depends on the exchange rate.

Two points decide whether Treasuries make sense for you. First, currency: if your spending is in SGD, a fall in the US dollar can erase years of extra yield, and hedging the currency costs roughly the rate gap you were trying to capture. Treasuries fit best if you have USD needs or already hold USD cash. Second, tax: interest on US Treasuries held directly by a non-US person is generally exempt from US withholding tax as portfolio interest, provided a valid Form W-8BEN is on file with your broker. US-listed bond ETFs work differently, so check how their distributions are taxed before choosing an ETF over the bonds themselves.

{{cta-component}}

Bond Funds and Bond ETFs in Singapore

A bond fund or ETF gives you a diversified portfolio of bonds in one purchase, with no maturity date and daily liquidity. SGX-listed bond ETFs cost roughly 0.20% to 0.50% a year; unlisted bond unit trusts usually cost more but offer active management, regular savings plans and, for selected funds, CPF eligibility.

The trade-off is that a fund never matures. An individual bond held to maturity repays face value if the issuer pays; a fund's price moves with rates for as long as you hold it. The Amova-managed ABF Singapore Bond Index Fund, for example, returned -2.50% in the 12 months to 30 September 2026, a year in which the 10-year SGS yield rose from about 2.0% to about 2.5%.

SGX-Listed Bond ETFs Compared

Five bond ETFs cover most of what Singapore investors use: Singapore government bonds, SGD investment-grade corporates, active short-duration SGD bonds, and USD Asian credit in investment-grade and high-yield versions. They differ mainly in currency, credit quality and duration.

Two practical notes. The N6M fund held about US$45 million in October 2026, so check trading volume and the bid-ask spread before placing a large order. And the USD funds remain USD funds when you buy the SGD counter: the SGD quote is a trading convenience, not a currency hedge. For how to place orders and compare ETF costs, see our guide to buying ETFs in Singapore.

How to Choose a Bond Fund

There is no single best bond fund in Singapore; the right one matches your currency, horizon and tolerance for price swings. Compare funds on five points rather than on past returns or the headline distribution yield.

1. Currency and hedging: SGD exposure, or USD and other currencies hedged back to SGD, for money you will spend in Singapore.
2. Duration: under 3 years if you may need the money soon or want limited sensitivity to rates; longer only if you can hold through rate rises.
3. Credit quality: average rating and the share of high yield. A fund paying far more than its peers is taking more risk somewhere.
4. All-in cost: expense ratio, plus any sales charge and platform fee on your channel.
5. Distribution policy: some funds pay out of capital, which reduces the net asset value. Read the income disclosure, and treat a distribution yield as an income rate, not as a return.

Bond unit trusts can also be bought with CPF Ordinary Account savings if they are on the CPFIS list, and our CPFIS guide explains the rules and limits.

Accredited Investors: Wholesale Bonds, High Yield and Private Credit

Accredited investors can buy wholesale corporate bonds in full lots through private banks and dealers, buy odd lots through platforms such as FSM Bond Express, trade fractional bonds on BondbloX, and access private credit. In return they give up some protections: wholesale offers do not need a full prospectus or a product highlights sheet.

The routes in practice:

• Full wholesale lots: typically S$250,000 for SGD bonds and US$200,000 for USD bonds, priced by the dealer. This opens the whole SGD corporate market, including most perpetuals and high-yield issues.
• Odd lots: FSM Bond Express lets accredited investors buy selected wholesale bonds from S$5,000 nominal.
• Fractional bonds: BondbloX, a Recognised Market Operator regulated by MAS, splits selected bonds into units of 1,000 for accredited, expert and institutional investors. We compare it with other platforms in our review of Kilde, BondbloX and other alternative investment platforms.
• Private credit: loans to companies that are not traded on any exchange, held to maturity.

Before using any of these routes, confirm your status: our guide to accredited investor rules in Singapore covers the thresholds and opt-in process, and our explainer on what MAS regulation actually protects sets out what changes once you opt in.

High-Yield Bonds vs Private Credit

Income-focused accredited investors often weigh high-yield bonds against private credit. Both pay more than investment-grade bonds because both carry credit risk, but they behave differently.

Kilde's view: For investors who do not need daily liquidity, short-tenor secured private credit can deliver income with less rate sensitivity than long bonds and without daily price swings. The trade-off is real: the money is committed until the loan repays, outcomes depend on borrower selection and monitoring, and diversification across borrowers and markets matters more than in a bond index. Treat it as a complement to a bond portfolio, sized so that you never need to sell early.

On Kilde, accredited investors fund loans to non-bank lenders with tenors of 3 to 36 months and monthly coupons. As of October 2026, Kilde's statistics page reported an average net return of 12.46% over the past 12 months after platform fees and no permanent loss of investor capital after recoveries since launch. These figures are historical, returns are not guaranteed, and as with any loan investment you can lose part or all of your capital. Our private credit guide explains how the asset class works and what to check before investing.

{{cta-component}}

Pros, Cons and Risks of Investing in SGD Bonds

SGD bonds give predictable income, lower volatility than shares and, for government paper, very high credit quality, without currency risk for Singapore-based investors. The costs are modest returns (government yields of about 1.8% to 2.4% in early November 2026), price losses when rates rise, credit risk on corporates and a thin secondary market for many issues.

The main risks, and how large they can be:

Interest-rate risk. A bond's price moves roughly by its duration multiplied by the change in yields. As an approximation:

Holding an individual bond to maturity removes this risk if the issuer pays in full; a fund does not mature, so it never fully does.

Credit risk. Corporate issuers can default or defer. The Asian high-yield market's losses in 2021 and 2022 show how quickly high coupons can be outweighed by falling prices.

Liquidity risk. Many SGX-listed bonds and small ETFs trade infrequently. Use limit orders, and size positions so you are not forced to sell into a wide spread.

Reinvestment and call risk. When rates fall, issuers call bonds early and you reinvest at lower yields; perpetuals add the risk that a call never comes.

Currency risk. USD and other foreign-currency bonds expose SGD-based investors to exchange-rate swings that can exceed the yield difference.

Taxes, CPF and SRS for Bond Investors

Interest from bonds held by individuals in Singapore is generally not taxable and does not need to be declared, unless the bonds are held through a partnership or as trading stock. CPF Ordinary Account savings can buy T-bills, SGS bonds and some corporate bonds and bond funds; SRS money can buy all government securities, including SSBs.

• Income tax: IRAS lists interest from debt securities such as bonds as non-taxable for individuals, except where the bonds are owned by a partnership or held as inventory of a trading business. Interest on SGS bonds and SSBs held by individuals is likewise exempt.
• CPF Ordinary Account: you can invest your OA savings after setting aside S$20,000 in the OA. CPFIS-OA covers T-bills, SGS bonds and statutory board bonds; corporate bonds count towards the 35% limit on investible savings that also applies to shares. SSBs cannot be bought with CPF. Selected bond ETFs, including A35 and MBH, are CPFIS-OA included funds.
• SRS: SSBs, T-bills and SGS bonds can be bought with SRS funds through your SRS operator bank, as can most SGX-listed ETFs and unit trusts. Coupons are credited back to your SRS account.
• US bonds: US Treasuries held directly are generally exempt from US withholding tax on interest for non-US persons with a valid W-8BEN on file.

Tax depends on your circumstances; check with IRAS or a tax adviser if you trade frequently or hold bonds through a company.

Which Bond Option Fits You?

There is no single best bond to buy in Singapore; the right choice depends on when you need the money, whether you can accept price swings and whether you qualify as an accredited investor. Use the guide below as a starting point, then check current rates before committing.

• Choose SSBs if you want government-backed savings you can redeem in any month at face value, and you are investing under S$200,000.
• Choose T-bills if you are parking cash for 6 to 12 months, including idle CPF OA savings.
• Choose SGS bonds if you want to lock in a government yield for several years and can hold to maturity or accept price moves if you sell early.
• Choose SGX-listed retail corporate bonds if you want a specific issuer, have checked its credit and terms, and plan to hold to maturity.
• Choose a bond ETF if you want diversification at low cost and daily liquidity, and accept that the fund never matures.
• Choose a bond unit trust if you want active management, regular savings plans or CPFIS access, after comparing the all-in fees with the ETF equivalent.
• Choose US Treasuries if you have USD needs or USD cash and accept exchange-rate risk.
• Consider wholesale bonds, high yield or private credit if you are an accredited investor, can commit capital for the full term and can diversify across issuers.

If your priority is capital preservation above all, our comparison of the lowest-risk investments in Singapore covers deposits, money market funds and government securities side by side.

Sources

{{sources}}