Against the backdrop of simmering geopolitical uncertainties and an increasingly volatile market, investors may prefer exposure to guaranteed investments – even if interest rates are declining.
When investing in fixed income products, especially those that claim to pay guaranteed returns, you need to weed out the potential scams – i.e. investments that sound too good to be true. You can refer to the MAS Investor Alert List, which provides a list of unregulated persons or companies as a first layer of check. Note that if a company is not on the list, it doesn’t necessarily mean it’s not a scam.
Next, you need to understand the entity that is providing the guarantee. Enjoying guaranteed principal and returns paid by the Singapore Government, which has a triple-A rated credit rating, is not the same as a Fintech firm trying to win market share.
In general, the closest thing to “guaranteed” in Singapore comes from instruments backed by the Singapore Government, which is rated AAA.
What Is The Risk-Free Returns?
The risk-free return refers to the interest rate you can expect to earn even if you don’t take on any risk. The closest proxy for the risk-free rate is the shortest-term Singapore Government Securities, which is the 6-month T-bill.
This also means any guarantee you get from other entities will carry a higher risk, which is why you are earning a higher return.
Nevertheless, investments that provide guaranteed principal and returns can be a good way for those who are risk-averse or unsure about investing to get started.
We look at 6 types of guaranteed investments in Singapore you can invest in. Such investments can also serve as a springboard to take on riskier investments as you gain knowledge and confidence.
#1 Singapore Government Treasury Bills (T-Bill)
Treasury bills are typically useful for investors seeking very short-term investments of 6 months to 1 year, with minimal investment risk.
A good proxy for the risk-free rate in Singapore is the return that the Singapore Government pays on its 6-month or 1-year Treasury bills. Singapore is one of the few economies in the world with a triple-A sovereign credit rating.
The latest 6-month T-bill auction, held on 23 April 2026, had a cut-off yield of 1.40% p.a. The latest 1-year T-bill auction, held on 16 April 2026, had a cut-off yield of 1.46% p.a.
These yields are a useful indication of the risk-free rate that investors can currently earn in Singapore. As a rule of thumb, investment products offering incrementally higher returns will typically come with higher risks.
Read Also: Treasury Bills (T-bills): What Are They And How You Can Buy Them
#2 Singapore Government Bonds
The Singapore Government also issues longer-term bonds, with tenors ranging from 2 years up to 30 years, as well as 50-year Green SGS (Infrastructure) bonds. These bonds typically offer higher yields than shorter-term T-bills, reflecting the longer time horizon and interest rate risk that investors take on.
According to the latest SGS benchmark yields published by MAS on 4 May 2026, Singapore Government Bonds were trading close to these rates:
| Singapore Government Bond Term (Tenor) | Yield (p.a.) |
| 2 years | 1.55% |
| 5 years | 1.72% |
| 10 years | 2.1% |
| 15 years | 2.09% |
| 20 years | 2.09% |
| 30 years | 2.14% |
Singapore also has 50-year Green SGS (Infrastructure) bonds, which are also considered Singapore Government Securities.
While you can invest in Singapore Government Securities directly via your bank account, you can also invest through an ETF such as the ABF Singapore Bond Index Fund, which primarily tracks bonds issued by the Singapore Government and Singapore government-related entities.
One difference when investing in the ABF Singapore Bond Index Fund is that it has a total expense ratio of about 0.24% to 0.25% p.a., which will eat into your returns. Investing in such bond funds also means there is no maturity date. The fund manager will continue to invest in bonds, and if you want your principal returned, you will have to sell your ETF units at the prevailing market price.
You can buy this ETF via any brokerage firm, including Interactive Brokers (IBKR), moomoo, POEMS, SAXO, and Tiger Brokers.
#3 Singapore Savings Bonds (SSB)
By now, you would have noticed a recurring theme: the safest investments that can guarantee your capital—and offer predictable returns—are those issued by the Singapore Government.
First launched in October 2015, Singapore Savings Bonds (SSBs) are designed to provide individuals with a flexible, low-risk way to earn step-up interest over a 10-year period. This means the interest rate starts lower in the initial years and increases over time, rewarding investors who hold the bond for longer. However, unlike most bonds, you can redeem your SSBs at any time (with a small administrative fee) without losing your principal.
Looking at more recent issues, SSB rates have moderated from their highs in 2022–2023 in line with global interest rate trends. For example, the May 2026 SSB offered a 1-year return of 1.40% and an average 10-year return of 2.14% p.a.
In general, the SSB offers superior liquidity, allowing investors to redeem it at any point without worrying about market price. This usually means that the SSB should pay interest rates similar to, but slightly lower than, those on comparable government securities that do not offer this feature.
Read Also: Complete Guide To Buying Singapore Savings Bonds (SSB)
#4 Fixed Deposits
Although not commonly considered an investment, fixed deposits offer another way to earn higher returns on your money than leaving it in a savings account. However, fixed deposit rates can change frequently and may differ depending on the placement amount, tenure, whether fresh funds are required, and whether the placement is made online or at a branch.
As a reference, the three local banks in Singapore are currently offering the following Singapore-dollar fixed deposit promotional rates:
| Bank | 12 months p.a. |
|---|---|
| DBS/POSB | Up to 1.00% |
| UOB | 1.15% to 1.20% |
| OCBC | 1.05% to 1.10% |
Of course, many other banks are offering their own fixed deposit schemes, as well as promotional rates that can be significantly better than the base rates. Many of them, including the three above, may come with certain conditions you must fulfil to qualify for the promotional rates.
In addition, deposits with all full banks and finance companies in Singapore are covered by the Singapore Deposit Insurance Scheme, which insures up to $100,000 per account.
Read Also: Beginners’ Guide To Fixed Deposits In Singapore
#5 CPF Top-Ups
To earn more attractive interest returns, you can also consider making CPF top-ups into your Special Account (SA) or Retirement Account (RA) via the Retirement Sum Topping-Up (RSTU) Scheme. These funds are guaranteed by the Singapore government and offer a minimum guaranteed return of 4.0% p.a.
You can also make Voluntary Contributions (VC) into your Ordinary Account, Special Account and MediSave Account. The floor rate on your OA is 2.5%, while the floor rate for the Special Account, Retirement Account, and MediSave Account is 4.0%.
Moreover, the first $60,000 of your CPF monies, with up to $20,000 in your CPF Ordinary Account (OA), will earn an additional 1.0% p.a. in interest returns. This means your top-ups may earn up to 5.0% p.a. if you top-up your CPF SA in the early years.
You also stand to receive up to $8,000 in tax reliefs when you make RSTU top-ups into your CPF SA, as well as an additional $8,000 in tax reliefs when you make cash-ups into a loved one’s CPF SA. No tax reliefs are provided when you make Voluntary Contributions to your CPF accounts.
However, before you do this, you need to understand that, unlike the investments listed in this article, which can be sold or redeemed early (notwithstanding that you may lose some value when you do this), topping up your CPF SA is irreversible. Once you top-up, you won’t be able to take it out of CPF until you hit 65, and even then it will be in the form of monthly CPF LIFE payouts, rather than a lump sum payout.
Read Also: What Would It Take For CPF Interest Rates To Increase Beyond 2.5% (For OA) And 4.0% (For SA and MA)
#6 Savings Plans
Savings plans offered by insurance companies, especially non-participating endowment plans, may guarantee both your capital and returns if held to maturity. However, some plans may guarantee your capital but not all of the returns, so it is important to distinguish between guaranteed and non-guaranteed benefits.
When investing in a savings plan, you are typically required to commit either a lump sum or regular contributions over a fixed period. Not adhering to the policy terms, such as surrendering the plan early, may result in losing part of your capital or a substantial amount of the returns you expected to receive. This is why you need to be sure of your liquidity needs before committing your funds.
These plans may also offer an insurance component that pays out in the event something unfortunate happens to you. They are typically protected under the Policy Owners’ Protection Scheme, administered by the Singapore Deposit Insurance Corporation, for guaranteed benefits subject to applicable caps
One recent example is DBS SavvyEndowment 22, a 2-year single-premium endowment plan that offers guaranteed returns of 1.72% p.a. and potential total returns of up to 1.88% p.a., comprising both guaranteed and non-guaranteed returns.
Similarly, many savings plans are offered periodically for a limited time and limited tranche size.
Moving On To Investments With Greater Risks
Once you’ve built a foundation or started your investing journey, you will have more knowledge and confidence to take on riskier investments for potentially higher returns. Riskier but still relatively safe investments, such as cash management accounts and/or Corporate bonds, may provide competitive returns for your spare cash while offering a high degree of liquidity.
As you progress in your investing journey and understand that taking calculated risks over the long term can be financially lucrative, globally-diversified stocks portfolio, properties and other alternative investments may become investment options that can deliver significantly higher returns.
This does not mean you stop being prudent with your investments. On the contrary, you need to be even more prudent when you’re embarking on riskier investments. Many of these riskier investments are volatile and require you to be able to stomach and ride out wild price swings at times to earn good returns over the long term.
Read Also: Step-By-Step Guide to Stock Investing in Singapore
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