The Zhitong Finance App learned that the Hong Kong Government issued a new batch of silver bonds with a guaranteed interest rate of 4.25%. The Hong Kong Secretary for Financial Services and the Treasury, Mr Hui Ching-yu, pointed out at the press conference that the current bank bond interest rate refers to a basket of factors such as market conditions, similar product prices, and interest rates, and the Hong Kong government is confident that the product is attractive.
As to whether peripheral interest rate hikes affect product influence, Huang Zizhuo, head of the Hong Kong Capital Market and Securities Services Department of Hong Kong and Shanghai HSBC Bank Co., Ltd., one of the joint issuers, pointed out that the market expects the US to raise interest rates 1 to 2 times, involving 0.25% to 0.5%. Compared with Hong Kong's overnight interest rates and interest rates on 1 to 2 year bonds, he believes that this interest rate increase will not affect the quality of its own assets.
Zhou Guochang, general manager of the personal finance products department of Bank of China Hong Kong (02388), which is responsible for issuing joint arrangements, pointed out that the geographical tension continues. It is believed that stock and bond prices will still fluctuate. The stability, predictability, and liquidity of bank bonds are high. In addition, they can be redeemed at any time and 100% of the principal amount can be recovered, and a guaranteed interest rate of 4.25% is also appropriate. It is expected that more than 300,000 people will apply this year. The bank suggests that customers may consider applying for 20 to 30 lots of current bank bonds according to their own asset situation.
Xu Zhengyu also pointed out that this bank bond was based on a bond issuance plan at the beginning of the year, deepening public understanding, and showing interest in retail investments. As for the number of eligible subscribers, this year it was 2.47 million. Furthermore, in order to avoid a large number of bonds being held centrally by a small number of investors, an arrangement with a maximum allotment amount of HK$1 million, or 100 lots of bonds, will be maintained.
As for the maximum amount of bonds issued at HK$55 billion, Hong Kong Monetary Authority Vice President Chen Weimin pointed out that when allocating, it is necessary to balance the share of institutional and retail sectors. The amount issued this time already accounts for one-third of the annual HK$160 billion bond issuance plan, which is not too low.