T-bills 3.98% pa yield and March strategy.

This blog is a continuation of my blog published last night titled: March dividends & SSB 3.15% pa The latest 6 months T-bill auction’s numbers are in.

Cut-off yield: 3.98% pa

In a recent blog, I said that the US$ has strengthened against the S$ and yields have also moved higher on the front end of the curve. My expectation was for a higher cut-off yield for the 6-month T-bill and the auction did not disappoint. I applied for the T-bill, putting in a non-competitive bid with some SRS money raised from the sale of my investment in SATS in early February. That was fully allotted. I also put in a competitive bid with some CPF-OA money. Why a competitive bid in that instance? I did not want to tempt Murphy’s Law with a non-competitive bid when the CPF-OA pays 2.5% per risk free. My bid yield was very close to 4% pa and, fortunately, my competitive bid was also fully allotted….

Author: jeserje

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