HSBC Hong Kong's Silver Bonds Sale Attracts 2.4 Million Investors

Monday, 30 September 2024, 11:30

HSBC Hong Kong's latest silver bonds offering has generated significant demand from 2.4 million residents. The bonds, designed for seniors, offer a guaranteed 4% annual return. Financial Secretary Paul Chan Mo-po emphasized the importance of these bonds for local infrastructure projects.
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HSBC Hong Kong's Silver Bonds Sale Attracts 2.4 Million Investors

Silver Bonds Sale Overview

The Hong Kong government’s recent sale of HK$50 billion (US$6.4 billion) in silver bonds saw a strong opening day as it opened for subscription. Aimed at buyers aged 60 and over, these bonds promise guaranteed returns of 4% annually while contributing to essential infrastructure projects.

Attractive Returns Amidst Rate Cuts

According to HSBC, the response to the latest batch of bonds has been overwhelmingly positive, driven by expectations of declining interest rates in Hong Kong. Sami Abouzahr from HSBC notes the appeal for senior clients seeking stable and guaranteed returns.

Infrastructure Bond Framework

This ninth annual offering marks the first time silver bonds are issued under the infrastructure bond framework. The proceeds are intended for critical projects such as the Central Kowloon Route and Hung Shui Kiu development, enhancing the economy and contributing to local livelihoods.

Investor Engagement and Digital Trends

With 2.4 million eligible residents, subscription concludes at 2 PM on October 14, and bonds will be issued on October 23. Each buyer can subscribe up to HK$1 million. This year, a surge in mobile and online banking orders has been noted, highlighting a shift in investor behavior.


This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.


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