Finance

Unlocking Returns: Discover Singapore's First Active Bond ETF with a 3.5% Annualized Yield!

2025-09-09

Author: Mei

In a world where traditional investments offer little more than crumbs, it’s time to turn your gaze toward something groundbreaking. Enter the LionGlobal Short Duration Bond Fund, an innovative solution in Singapore's low-rate climate, boasting an impressive annualized return of over 3.5%!

Navigating the Low-Yield Landscape

As other investment avenues falter with meager yields—like the recent Singapore Government Treasury Bills clocking in at just 1.77%—investors are left scrambling for better options. The latest Singapore Savings Bonds hardly fare better, presenting a disappointing first-year rate of 1.71%. With even 30-year bonds holding steady at 2.11%, it’s clear that safe investments are struggling to keep up.

Bonds: A Safe Haven? Not Quite!

While bonds typically promise better returns, they often remain out of reach for the average investor. Most corporate bonds in Singapore demand hefty investments often starting at S$250,000, limiting diversification. The LionGlobal Short Duration Bond Fund changes the game by enabling access to bond investments from just S$1!

Revolutionizing Bond Investments in Singapore

Launching as Singapore’s inaugural Active Bond ETF, the LionGlobal Short Duration Bond Fund invites investors into a world of professionally managed portfolios. Unlike usual passive ETFs, this fund is curated by seasoned experts skilled in credit selection, allowing investors to enjoy strong yields without the daunting barriers often associated with bond investing.

Key Features You Can’t Ignore

Here’s what sets the LionGlobal Short Duration Bond Fund apart: - **Yield to Maturity:** A noteworthy 3.18% - **Duration:** An average of 2.25 years, reducing sensitivity to interest rate fluctuations. - **Credit Quality:** A solid weighted credit rating of A- - **Diversification:** Spanning over 200 bonds, making it hard to replicate individually.

Minimizing Forex Risk

For those considering USD-denominated bonds for higher yields, beware! Foreign exchange risks can erode returns. Luckily, the LionGlobal fund maintains an impressive 99.7% SGD exposure, ensuring stability and security.

A Low-Risk Investment for Steady Income

The fund also prides itself on price stability. Its focus on shorter maturities cultivates a lower-risk exposure, perfect for conservative investors aiming to optimize earnings. Quarterly dividends and a competitive management fee of just 0.25% further enhance its appeal!

Mark Your Calendars: Initial Offering Period!

The Initial Offering Period begins on September 8 and runs until September 23, 2025. Don’t wait! Subscribe through participating dealers or platforms like OCBC and Phillip Securities. Post-launch on September 29, it’ll be accessible for trading on SGX just like any other stock!

Grab Your Bonus!

Investors will be enticed by attractive promotions. For instance, FSMOne offers S$10 for every S$10,000 invested, capped at S$200 between September 8 and October 31, 2025. For the first 200 clients using POEMS, score S$10 for every S$5,000 invested, capped at S$500!

Don’t miss this golden opportunity to elevate your investment portfolio with the LionGlobal Short Duration Bond Fund!