January 6, 201511 yr In practice it's almost impossible for the average man in the street to buy these bonds. demand for them is such that preferred high wealth customers ensure they are reserved for them long before the issue date. The last time similar bonds were issued, Bangkok Bank sold out there supply about twenty minutes before the branches opened.
January 7, 201511 yr Author In practice it's almost impossible for the average man in the street to buy these bonds. demand for them is such that preferred high wealth customers ensure they are reserved for them long before the issue date. The last time similar bonds were issued, Bangkok Bank sold out there supply about twenty minutes before the branches opened. yes the wife found this out the last time,friday she has a fixed acc.maturing with one of the banks selling them,so lets see what they say when she asks to hold some till monday day they come on sale.she has been a good customer with them.
January 8, 201511 yr 4% for 10 years is not competitive compared with 3.5% at CIMB for just 14 months. 10 years is a long commitment. interest is i think compouned but we are not greedy so 4% will do,already got over a dozen accs.so as its the wife she will be happy to get 4%interest every yr.then invest that.makes sense? No, it doesn't, JMHO. Real inflation is already at this level. Then there is the forex (currency) and political risk. Companies are reacting to the doubling of the minimum wage. That was to be expected, wasn't it? => More unemployment, less growth. And then there is the global scenario where we might very well face a perfect storm when rates will be raised in tandem with oil prices... It's a terrible investment, but then,it would be better than just engaging in consumption and buying another car instead.
January 8, 201511 yr A couple of points: The interest paid on bonds is not compounded, it's a percentage of the bond value per year. 4% per year for ten years is not a bad return, it's circa the average UK savings rate for the past twenty years. Especially not bad given that the bonds can be sold on the secondary market, at any time.
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