Silver bond issue hits new highs on multiple fronts
The government announced on Friday that people subscribing to its latest batch of silver bonds could receive up to 13 lots each, as the number of applicants as well as the subscription amount hit record highs. In a statement, the government said it received a total of 476,703 applications for its 11th batch of silver bonds – designed for senior citizens with a guaranteed annual coupon of 4.25…
The government disclosed on Friday that its latest silver bond batch attracted unprecedented interest, with over 476,000 applications and a subscription amount surpassing HK$119.3 billion. The 11th edition of these bonds, specifically tailored for senior citizens, offers a guaranteed annual coupon of 4.25 percent. The issuance rate exceeded double the intended HK$55 billion, underscoring the bonds' popularity.
Initially, the government planned to issue HK$50 billion, but it was increased to HK$55 billion due to high demand. Investors applying for 12 or fewer lots will receive their entire requested allocation, priced at HK$10,000 per lot. In contrast, the remaining 338,281 applicants, who sought more than 12 lots, will receive a base allocation of 12 lots, followed by a lottery draw to distribute the remaining available lots.
Over 97,000 people will receive an additional lot. Financial Secretary Paul Chan highlighted that the surge in applications and subscriptions reflects the appeal of silver bonds among the elderly as a secure investment. He also mentioned that the funds raised will be allocated towards infrastructure projects to enhance citizens' lives.
Chan stated that the government would reassess the bond issuance based on market conditions and subscription responses.
Written by urgent.news from RTHK English's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
Also reported by 1 other outlet
- Silver bond issue hits new highs on multiple fronts news.rthk.hk
