Up to Date with Rates

·         The Federal Reserve cut rates by 25bps for the second time this year, citing downside risks to the US labour market. Looking ahead, Powell reiterated that the Fed would remain data-dependent, highlighting that a rate cut in December is not a foregone conclusion. This has caused market participants to scale back their rate cut expectations. The Fed will also end quantitative tightening in December. 

For more details, check out our recap of the Fed meeting here.

·         In Europe, the ECB left its three main policy rates unchanged. With the European economy in a “good place”, given a robust labour market and solid balance sheets in the private sector, the ECB is adopting a meeting-by-meeting stance with no rate path pre-commitment.

·         In the UK, the BOE held its Bank Rate at 4.00%. The decision reflected subsiding inflation (3.6% in October), led by cooling prices and wages. The BOE expects to reduce rates gradually if this progress on deflation continues.

·         In Japan, the BOJ kept its benchmark rate at 0.50% for the 6^th consecutive meeting. With stronger economic growth and higher wages expected for 2026, the BOJ is leaning towards hiking rates in the future. Governor Ueda’s recent meeting with Japanese prime minister Takaichi gradually solidifies the BOJ’s intent to gradually hike rates.

·         For the period from 11 August 2025 to 28 November 2025, the 2-year Singapore Overnight Rate Average-Overnight Index Swap (“SORA-OIS”) increased by 9 basis points to 1.45%, the 5-year SORA-OIS increased by 19 basis points to 1.75% and the 10-year SORA-OIS increased by 17 bps to 2.05%. Overall, there has been a slight pickup for the medium tenors, in line with major non-US rates.

·         Over the same period, yields for both the 6-month and 1-year SGD T-bills decreased by 29 and 36 bps respectively, and is currently at 1.33% and 1.28%. The 5-year Singapore Government Securities increased by 7 bps to 1.74%, while the 10-year Singapore Government Securities increased by 7 bps to 2.02%.

·         In the recent 6-month T-bills auctions, the bid-to-cover ratio were at a low, consistently trending downwards below 2.39x levels over the past few auctions. Falling benchmarks continue to weigh on the cut-off yields, which saw rates fell to 1.39% in the latest 20 November 2025 auction. 

·        

Favourite Bond Investment Ideas

MMFSSP 5.000% 30Oct2028 Corp (SGD)

These bond yields of around 4.8% are among the highest within the SGD fixed-rate bonds universe. We see compelling value in these bonds, especially if gold prices remain resilient.   Money Max Treasure Pte. Ltd. is the financing vehicle of Money Max Financial Services Ltd (Money Max). These bonds are guaranteed by its parent MoneyMax. 

Money Max is a regional leader in pawnbroking and secured financing, with over 100 outlets in Singapore and Malaysia. Listed on the SGX, MoneyMax has been experiencing steady growth, as seen in its gradual expansion into Malaysia over the last few years. MoneyMax’s revenues and profitability came in decently strong for 1H25, on the back of strong appreciation of gold prices. We believe MoneyMax’s operating momentum should continue in 3Q/4Q25 off the broad strength in gold prices. Meanwhile, MoneyMax’s credit metrics remains stable, with a current ratio of 1.19x and an assets-to-liabilities ratio of 0.6 6x, suggesting a decent balance sheet, while we believe the Group can comfortably meet its debt obligations. 

Related article: MoneyMax announces SGD 3-year bonds at an IPG of 5.10%.

QNMSP 3.950% 10Jul2028 Corp (SGD)

These Q&M bonds offer one of the higher yields, around 3.55%, in the SGD space, providing decent yield pickups against SGD bonds of similar tenors.  Q&M is one of the biggest private dental groups in Singapore, with additional dental clinics in Malaysia. For the half year of 2025 (1H2025), Q&M saw stable topline supported by steady profit after tax growth. The core dental business remains robust, benefitting from organic growth and strategic acquisitions.   

We like that the demand for dental services has been sticky and demonstrate lesser fluctuation much regardless of market cycles, which should translate to resilient operating performance. Coupled with the ability to secure another S$370 million from its notes programme, we think the yield looks attractive for investors seeking exposure in the healthcare space.

Related article: Credit Update: Q&M shows stable dental results in 1H25

MSFSSP 5.100% 29Oct2029 Corp (SGD)

With a current yield around 5.014%, Aspial’s bonds present a compelling option.   We like Aspial’s issues for the same reasons as MoneyMax, allowing investors to capitalise on possible resilient gold prices. With a slightly higher levered profile compared to MoneyMax, these issuances might appeal to more aggressive investors.  Aspial Lifestyle Limited (Aspial) is an investment holding company in Singapore. Operating in the same space as previously highlighted MoneyMax, Aspial dominates Singapore’s jewellery sector with names such as Maxi-Cash, Lee Hwa, and Goldheart Jewellery. Do note that these bonds are a result of Aspial’s recent exchange offer for its 2027 bonds which was completed on 17 October 2025. For our full take, you can check out the article covering this matter with the link below. 

In 1H25, Aspial reported strong turnover with double digit growth in operating profits for each business segment. While Aspial carries a relatively high debt level, we do not think a default is likely. This is due to its positive operating performance (which we think is likely to continue), and its ability to secure short-term funding from banks using its assets. 

Related article: Aspial Lifestyle announces exchange offer for its 2027 bonds 

SOCGEN 6.100% 13Apr2033 Corp (USD)

Societe Generale (SocGen) continues to be a solid issuer. With plentiful outstanding SocGen bonds, the yield to worst of around 5.085% for this issue could be attractive to investors seeking decent yield on a longer timeframe.  SocGen is a premier global French banks that offers a diversified range of financial services to clients worldwide. 

Societe Generale reported solid top-line and bottom-line results in 3Q25 (30 September 2025), with net income surging to 1.52 billion in 3Q25 (3Q24: 1.37 billion). This was the result of better cost management, alongside stronger operational performances across its business segments. Its CET1 ratio improved to 13.7%, mainly driven by earnings growth. This represents a decent buffer against regulatory requirements of 11.2%. SocGen continues to have a loan book of broadly high-quality assets, well-diversified across wholesale and retail segments. NPL ratio remains low at 0.6%. Funding and liquidity profile is also stable, supported by strong customer deposits, with an NSFR of 117% and a LCR of 147%. Profitability is strong with a ROTE of 10.7% with higher operating and net income YoY. 

HSBC 8.113% 03Nov2033 Corp (USD)& HSBC 7.399% 13Nov2034 Corp (USD)

While there are many outstanding HSBC bonds, we like the HSBC 7.399% 13Nov2034 Corp (USD) & HSBC 8.113% 03Nov2033 Corp (USD) for their high coupon of over 7%, and decent yields of 5+%. These bonds compare favourably in terms of yield pickups compared to its higher-rated bank bond peers while also offering investors the opportunity to lock in yields over the intermediate term. 

HSBC continues to be a solid issuer, supported by its leading position in Asia. In its latest third quarter update, as of 30 September 2025 HSBC reported steady results. Excluding non-business-related legal provisions, profit before tax came in at US$9.1 billion, up 3% YoY. Its CET1 ratio remains steady at 14.5%, giving a steady buffer against regulatory requirement of 11.2%. HSBC’s loan book continues to consist of high-quality assets, mainly from customer deposits. Its cost of risk remains moderate, with ECL charges running at around 40 bps of average gross loans on an annualised basis. Funding and liquidity remain stable, with an NSFR of 144% and a LCR of 139%. The bank grew more profitable, with a ROTE of 17.6%. 

Hot New Issues 

Table 1: Covered new issuances over the past weeks

Issue	Issuer	Issuance Date	New Issue View
KREITS 3.280% Perpetual Corp (SGD)	Keppel REIT MTN Pte. Ltd.	27 Nov 2025	Keppel REIT announces SGD NC4 perpetuals at IPG of 3.55%
STHSP 2.550% 26Nov2035 Corp (SGD)	Starhub Ltd	26 Nov 2025	Starhub announces SGD 10 years Senior Unsecured Bonds at IPG of 2.80%.
CDREIT 3.700% Perpetual Corp (SGD)	CDL Hospitality Trusts	18 Nov 2025	CDL Hospitality Trusts announces SGD NC5 perpetuals at IPG of 4.00%
MMFSSP 5.000% 30Oct2028 Corp (SGD)	MoneyMax Treasure Pte. Ltd.	22 Oct 2025	MoneyMax announces SGD 3-year bonds at an IPG of 5.10%
OUECT 2.750% 08Oct2032 Corp (SGD)	OUE REIT Treasury Pte. Ltd.	8 Oct 2025	OUE REIT announces 7-year SGD green senior notes at IPG of 3.05%
CRCTSP 3.950% Perpetual Corp (SGD)	CapitaLand China Trust	19 Sep 2025	CapitaLand China Trust announces SGD NC3 perpetuals at an IPG of 4.25%
AREIT 2.343% 27August2032 Corp (SGD)	CapitaLand Ascendas REIT	27 Aug 2025	CapitaLand Ascendas REIT announces SGD 7Y senior bonds at an IPG of 2.60%
EQIX 2.900% 15Sep2032 Corp (SGD)	Equinix Asia Financing Corporation Pte. Ltd.	21 Aug 2025	Equinix announces SGD long 7-year green bonds at an IPG of 3.15%
FLTSP 2.450% 15Feb2034 Corp (SGD)	FLCT Treasury Pte. Ltd.	15 Aug 2025	FLCT announces SGD 8.5y senior unsecured bonds at IPG of 2.70%

·         25 November – City Development Limited (CDL) announced its intention to divest its bespoke hotel Osaka Shinsaibashi for JPY 14 billion (approximately S$117 million) as part of its capital recycling program. This is a credit positive move as part of the proceeds will be used to strengthen the company’s balance sheet.

·         22 November – Embraer Netherlands Finance B.V. is announcing the redemption of its 2028 notes (“EMBRBZ 6.950% 17Jan2028 Corp (USD)”) on 25 November 2025. The redemption price for the Notes will be the higher of face value or the present value of all remaining coupon payments and principal, using the U.S. 2-year Treasury yield +0.5%. Additionally, all interest earned up to the redemption date will be paid as well. 

·         21 November – Thomson Medical Life Sciences Berhad, a subsidiary of Thomson Medical Group Limited, announced steady first quarter earnings. Revenue grew 23% YoY to RM100.5 million, with profit before tax following suit, up 47% YoY to RM6.6 million. This is due to stronger contributions from Oncology segment as well as the reduction of discount to corporate customers at Thomson Hospital Kota Damansara.

·         20 November - Aoxin Q & M Dental Group is commencing a rights issue of up to 511,522,048 new ordinary shares at an issue price of S$0.030 for each Rights Share. The proceeds might be used to support strategic growth initiatives in the People’s Republic of China, invest in property, plant and equipment, and to strengthen the company’s balance sheet. The last day to apply and payment for the rights issue is 5 December at 5.30 p.m.

·         20 November – Azalea Investment Management announces that global ratings agency Fitch Ratings upgraded the ratings assigned to its Astrea VI Class B Bonds and Astrea 7 Class A-2 Bonds, while affirming the other ratings of its Astrea 7 and Astrea 8 private equity bonds.

·         20 November – City Developments Limited completes the divestment of its multifamily residential asset in the US, 1250 Lakeside, for US$143.5 million. This move reduced the gearing of the company, allowing for the redeployment of capital to maximise shareholder value.

Declaration: For specific disclosure, at the time of publication of this report, IFPL (via its connected and associated entities) holds positions in QNMSP 3.950% 10Jul2028 Corp (SGD). The analyst who produced this report holds NIL positions in the abovementioned securities.