August 2026 Singapore Savings Bond GX26080T: A Closed-Issue Cash-Flow Check

This August bond is already closed

The August 2026 Singapore Savings Bond GX26080T, also labelled SBAUG26, has a 2.06% ten-year effective annual return in the Monetary Authority of Singapore’s (MAS) issue-rate record. Its application window closed 28 July 2026, and it was issued 3 August. Those dates are in MAS’s issue listing. If you are reading this in September 2026, you cannot choose GX26080T as a new subscription. You can use its fixed coupon schedule to check an existing holding; for a new investment, check the live MAS offering.

The old version of this guide called the August issue “current,” told readers to apply for it, and compared it with undated bank deposit and Treasury bill quotes. Those directions had expired. The useful question now is what a holder actually receives if they keep or redeem this specific bond, and which figures should not be mistaken for guaranteed returns on a different issue.

The issue dates and the amount allotted

MAS offered S$300 million of the issue. Applications totalled S$196.556 million. After applying each saver’s overall SSB holding limit, S$179.421 million was within individual limits and the same S$179.421 million was allotted. MAS records zero random-allotted amount for this issue. So “the valid within-limit applications were allotted” is supported, while “everyone received every dollar they applied for” is too broad. About S$17.135 million of applied amount was beyond individual limits in the aggregate record.

SSBs are Singapore Government Securities designed for individual savers. The MAS programme page explains their government backing, interest payments and ability to redeem. Government backing protects the nominal principal under the bond terms; it does not protect its purchasing power from inflation or turn the coupon rate into a market-beating return.

Ten coupons, one effective-return figure

The official annual coupon schedule for GX26080T rises from 1.46% in year one to 2.72% in year ten. Coupon interest is calculated on original principal and paid every six months while the bond remains held. This is the schedule MAS publishes:

The ten coupons add to 20.82% of principal if you keep the bond for all ten years. Dividing that sum by ten gives a 2.082% simple annual coupon average. MAS’s 2.06% effective annual return reflects the timing of the semiannual cash flows. It is not another 2.06% payment stacked on top of the coupons. If you redeem earlier, use MAS’s return for the actual holding period and account for accrued interest rather than applying the ten-year figure.

Mei’s S$10,000 cash-flow example

Suppose Mei already owns S$10,000 of GX26080T. During year one, the 1.46% coupon produces S$146 in nominal interest, generally split into two S$73 payments at the scheduled half-year dates. Years one and two together pay S$321 before any redemption fee. The first five coupon years total 8.71% of principal, or S$871 on her S$10,000. Keeping all ten years yields S$2,082 in nominal cash interest; the S$10,000 principal is returned at maturity. These are cash flows under the published coupon schedule, not a reinvested balance or an inflation-adjusted profit.

For example, if Mei redeems after year two, she does not receive the later 2.72% tenth-year coupon. Her accrued interest since the last semiannual payment is included in the redemption proceeds under MAS’s Savings Bond FAQ. The exact amount depends on the month she exits. The MAS SSB calculator is built to show payments for a selected issue and redemption month; confirm it is set to GX26080T before relying on a displayed amount.

Redemption is flexible, but there is a bank fee

An SSB holder can request redemption in a monthly window before maturity and receives nominal principal plus accrued interest. The structure does not impose an early-redemption interest penalty. It is still inaccurate to call redemption “fee-free” or instant. Participating banks or SRS operators typically charge S$2 per application or redemption request, and the money is processed on the programme’s monthly schedule. MAS’s technical specifications explain cash versus SRS application channels and the S$500 minimum and increment.

Cash applications for a new SSB generally need a participating bank account and individual CDP account. SRS money can be used through the SRS operator. CPF savings cannot be used to buy SSBs under the MAS technical rules. That is a funding-method distinction, not a recommendation to move money out of CPF to buy this bond. For a present purchase, follow the current MAS issue page and your bank’s current application instructions; GX26080T’s July window is gone.

How to compare a new bond fairly

A new SSB issue will have its own coupon schedule and effective-return row. Compare the period you expect to hold, not just the latest ten-year headline. If you need the cash next year, the first-year coupon and monthly redemption process matter more than a later year-ten rate. A fixed deposit has its own lock-in and withdrawal terms; a T-bill is a different security with a set maturity and market-price risk if sold earlier. A comparison using July promotional rates in a September article would be stale within weeks.

First choose the amount and date you may need the money. Then record the current MAS issue’s first-year and relevant holding-period effective returns, the S$2 transaction costs, and any alternative account’s named rate and access terms as of the same date. An SSB’s nominal principal security is valuable, but future rate changes and inflation can still make another option more suitable. GX26080T remains a useful case study because every number above can be checked against the MAS issue record; it is no longer an offer you can apply for.