The Retail Savings Bonds are issued by the South African government and can be purchased by individuals, including minors, as well as Trusts and Estates. The Retail Savings Bond Series comprises bonds with 10-year and 15-year terms. Inflation-linked Retail Savings Bonds provide inflation protection and an additional real interest rate payable on the interest payment dates until maturity. The minimum amount that can be invested is R1 000.00 and the investment may not exceed R5 million.
Inflation-linked Retail Savings Bond Series comprises bonds with 10-year and 15-year terms.
If you are looking to invest in government bonds, the following is a simple way of understanding how they work.
First, let’s look at the inflation-linked Retail Savings Bond Series comprising bonds with 10-year and 15-year terms. These bonds provide inflation protection and an additional real interest rate payable on the interest payment dates until maturity.
Inflation-linked Retail Savings Bonds provide inflation protection and an additional real interest rate payable on the interest payment dates until maturity. The minimum amount that can be invested is R1 000.00 and the investment may not exceed R5 million.
The Retail Bonds are linked to the Consumer Price Index (CPI), with a floor of zero%. This means that if inflation is higher than 0% after you have purchased your bond, you will still receive a positive real return on your money. If deflation occurs below zero%, we will continue paying you interest at 0%.
Both types of Retail Savings Bonds are available to individuals, including minors, and Trusts and Estates.
The bonds are available to individuals, including minors, as well as Trusts and Estates.
The RSA Retail Savings Bonds are denominated in South African Rand and are quoted in a price format (i.e. the price is expressed relative to an amount of R100). Individuals may choose to receive interest either annually or semiannually (the frequency will then apply to all future coupon payments).
Interest on the RSA Retail Savings Bonds is paid on the interest payment dates, which are set by the Board from time to time, but not less than twice per year.
Conclusion
You can buy Government bonds online by clicking here and following the steps.
