Buying Thai government bonds

[Brunolem]

Has anyone ever bought Thai government bonds? 

 

If so, how do you do that? 

 

Not looking for a profit, just for some safety. 

 

Thanks for your input. 

[topt]

There have been a couple of threads over the years on this. A quick search and I found this one from over 10 years ago. My memory says there have been more recent ones - or mentioned in other financial threads.

https://forum.thaivisa.com/topic/273914-government-bonds/

 

 

[1FinickyOne]

my limited experience is that the rare times I have heard about them being issued through a bank, they get bought out rather quickly. 

[Brunolem]

1 hour ago, kenk24 said:

my limited experience is that the rare times I have heard about them being issued through a bank, they get bought out rather quickly. 

Yes, that's what I discovered today...

[ChouDoufu]

https://www.bangkokbank.com/en/Personal/Save-And-Invest/Mutual-Funds/Fixed-Income-Funds

 

https://www.bangkokbank.com/en/Personal/Save-And-Invest/Mutual-Funds/Money-Market-Funds

[Brunolem]

13 minutes ago, ChouDoufu said:

https://www.bangkokbank.com/en/Personal/Save-And-Invest/Mutual-Funds/Fixed-Income-Funds

 

https://www.bangkokbank.com/en/Personal/Save-And-Invest/Mutual-Funds/Money-Market-Funds

Thanks for that. 

 

One question: the brochure says that these investments are not deposits. 

 

But how are they considered when it comes to bank guarantees? 

 

As of now, deposits are guaranteed up to 5 million baht by the government, an amount that will be reduced to 1 million by August. 

 

In the case of a bank failure, would these investments be spared? 

 

For example, assuming a customer had 5 million baht in deposit in September... if the bank fails, he would lose 4 million baht. 

 

But if he had only 1 million baht in deposit and 4 million baht invested in these funds, he would lose nothing... is that right? 

[ChouDoufu]

can't say and don't want to give you false information.  would have to ask the bank rep.

[Brunolem]

10 hours ago, ChouDoufu said:

can't say and don't want to give you false information.  would have to ask the bank rep.

I will do that...and hopefully they will know...

[Oxx]

On 4/2/2020 at 9:26 PM, Brunolem said:

But how are they considered when it comes to bank guarantees? 

No guarantee.  They are not banking products, and are not provided by banks.  The banks are only selling agents.

[Brunolem]

1 hour ago, Oxx said:

No guarantee.  They are not banking products, and are not provided by banks.  The banks are only selling agents.

In fact, the bonds are guaranteed by the Bank of Thailand, which is as safe as can be. 

 

Unfortunately, it is next to impossible to get your hands on these bonds... 

[Oxx]

7 minutes ago, Brunolem said:

In fact, the bonds are guaranteed by the Bank of Thailand, which is as safe as can be. 

 

The fixed income funds linked to do not invest exclusively in Thai government bonds.

 

In any case, once you wrap them up in a mutual fund, the guarantees become worthless.  In the case of inept fund management, or of fraud one can lose one's money.