SINGAPORE BOND MARKET : An Idea For Transport and Infrastructure Bonds
In a bid to improve the public transport system, the Government will continue to subsidise and invest resources in it, said Prime Minister Lee Hsien Loong. http://transport.asiaone.com/news/general/story/parliament-significant-resources-needed-world-class-public-transport-system-pm#sthash.Q1aYEbwX.dpuf
I am not following the matter as closely as some other people with major peeves with the train system. I prefer the bus actually, because I suffer from slight claustrophobia.
Yet this whole infrastructure nationalisation business is intriguing to the least, because I recall the hype over infrastructure bonds over a year back and the SGX seeking new offerings then. http://www.bloomberg.com/news/2012-11-15/singapore-exchange-seeks-infrastructure-bonds-as-ipos-slump.html
Putting this together for the political incumbents in Singapore, what better way to foster national unity than to unite via national ownership ? Ownership = less complaints and more compliance ?
I do not know how many readers would remember Singtel ? But, I for one, would have fond memories of the government when I cashed out, and even more so for those New Singapore Shares that paid off handsomely although I will not speculate on its effect on the 2001 General Elections results. http://www.mof.gov.sg/ers/nss_ovw.htm
I am a political apatheist through nurture but I see an opportunity for Singaporeans to benefit through retail infrastructure bonds be it through LTA or a new SPV.
To ensure an equitable distribution perhaps by means of a rights issue or option to purchase which can be resold for folks who do not want to take it up ? And hopefully not the usual allocation by dwelling type because I am unemployed.
I have had enough of the CPF and/or Temasek debate/accusations in the mainstream/social media. Here is a chance to regain some goodwill ?
We already lost our chance at inflation linked retail bonds 2 years ago … (which is not such a bad thing, since they started counting internet prices into our CPI – please buy your vitamins on line !!)
Surely this cannot be a bad thing ?
Some secondary levels.
HDB 5Y 2.23%
HDB 10Y 3.25%
LTA 6Y 2.25%
LTA 9Y 2.85%
PUB 13.5Y 3.35%
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