How do I calculate the estimated payable amount for a bond purchase? – Support

For Wholesale Bonds

The formula is: [(Nominal Value * Indicative Price) / 100] + Indicative Accrued Interest + Processing Fee (based on nominal value)

Example:

Bond Name: AAREIT 4.350% 05Dec2019 Corp (SGD)

Nominal Value: SGD 250,000

Indicative Price: SGD 105.69

Indicative Accrued Interest: SGD 4,772.92

Order Placement Date: 11th of Nov 2016

Processing Fee: 0.5% of nominal value, or subject to min SGD 35

[(SGD 250,000 * 105.69) / 100] + SGD 4,772.92 + (250,000 * 0.5%)

= 264,225.00 + 4,772.92 + 1,250.00

= SGD 270,247.92 (estimated amount payable)

= SGD 278,355.36 (final estimated amount after 3% buffer)

Important Note:

We will include 3% buffer into the final estimated payment amount when you place the buy order online. This buffer is to cater for changes in market prices, accrued interest and / or fluctuation in currency conversion. The residue amount will be credited back to your cash account.

For bond express transaction involving no foreign exchange conversion, no buffer is taken.

For Retail Bonds

The formula is: [(Nominal Value * Indicative Price) / 100] + Indicative Accrued Interest + Processing Fee (based on nominal value)

Example:

Bond Name: CIMBMK 5.800% Perpetual Corp (MYR)

Nominal Value: MYR 1,000

Indicative Price: MYR 102.424

Indicative Accrued Interest: MYR 21.13

Order Placement Date: 2nd of April 2019

Processing Fee: 0.5% of nominal value, or subject to min MYR 8.80

[(MYR 1,000 * 102.424) / 100] + MYR 21.13 + min of [(1,000 * 0.5%) OR MYR 8.80]

= MYR 1,024.24 + MYR 21.13 + MYR 8.80

= MYR 1054.17

Important Note

We will include 3% buffer into the final estimated payment amount when you place the buy order online. This buffer is to cater for changes in market prices, accrued interest and / or fluctuation in currency conversion. The residue amount will be credited back to your cash account.

For bond express transaction involving no foreign exchange conversion, no buffer is taken.