12-Month Treasury Bill Auction on Jan 26 – Estimated Yield 3.9% – 4.1%? Is it better to buy than 6-month Treasury bills, fixed deposit or Singapore savings bonds?

Happy Chinese New Year to all readers! In case you missed it, we’re having a 12-month T-Bill auction this month. 12-month T-Bills are incredibly rare – this is one of only four in 2023. So if you want to apply, make sure you get your cash requests by 9:00 pm on January 25. I wanted to discuss my return projections in this article and why I think returns may be lower than expected.

12-month Treasury bill yield may not be good

If you’ve been through a physical bank branch this week, you’ve probably seen long lines. Those queues are not for people trying to get new notes, they are for people trying to buy 12 month T-Bills with CPF-OA. Crazy things. Now, if you’re going to spend an hour in line just to buy T-Bills with CPF-OA…