Sorry, T-bills. It’s time to look elsewhere for yields
A ‘wall of money’ could soon flow into S-Reits as retail investors turn away from T-bills, analysts say
INTEREST in Singapore’s Treasury bills (T-bills) surged over the past two years, as rising interest rates elevated demand for yield and stable returns.
T-bills also found favour as investors sought the safety of the government-backed, fixed-income instrument – which carry little to no default risk – amid heightened global macroeconomic uncertainty.
But with yields gradually falling after the US Federal Reserve in September 2024 cut interest rates for the first time in more than four years, demand has been dwindling.
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