Treasury Bills: Getting a yield that is close to fixed deposits for low balances of $1,000

Many risk-adverse salary-man/women tend to only know of fixed deposits and savings accounts as the main instruments we can use to put away our savings and to see them grow. But if you had checked out the interest rates given by your local bank, you will be appalled at the low interest rate being paid by them. It is even lower than inflation, i.e. your savings is shrinking every year in terms of the amount of things you can buy as the Consumer Price Index is increasing.

I learnt from surfing the Hardwarezone forum that Treasury Bills are another form of instrument available to us small investors to pool our monies into relatively low risk and reasonable yielding instruments. The Singapore Government borrows money from the market by issuing Singapore Government Securities. These come in the form of treasury bills (typically with period of 3 months to 1 year) or Bonds.

You can get reasonably safe returns that are even safer than Fixed Deposits by applying for Treasury Bills at the local banks or buying it through a financial intermediary such as Philips Securities through POEMS.

Make your money work for you. Consider treasury bills issued by the Singapore Government through MAS.