Online brokerage firm Tiger Brokers has announced the expansion of its portfolio of investment products to over 360 US treasury bonds, bills and notes on its proprietary trading platform Tiger Trade.
Tiger Brokers says the launch, in addition to the wide range of investment products from global markets already available to investors on its platform, is in response to continued investor demand for low-risk investments, as part of a wider “flight to safety” amid elevated inflation and macroeconomic uncertainties.
Ten-year US Treasury bond yields have been rising since August 2023, reaching 4.996% in mid-October, which was a new historical high since August 2007. With an end to the Fed's interest rate hike cycle being expected, in addition to economic cooling and the decline in inflation, ten-year US Treasury bond yields currently hover at around 4.45%, which continues to provide attractive allocation value.
CEO Ian Leong says: “We keep an ear to the ground to collect customer feedback and identify new areas where we can improve our services and become a world-class broker. In our unwavering commitment to solidify our leadership in Singapore's financial landscape, we've strategically broadened our platform to include a comprehensive range of US treasuries.”
“This deliberate expansion reflects our dedication to offering an extensive suite of investment products, showcasing substantial growth beyond our traditional strength in the US equities domain. Our aim is to offer a diverse array of investment products, becoming a one-stop solution for investors with varying risk profiles and preferences,” he adds.
Investors can also explore a range of ETFs such as the iShares 20 Plus Year Treasury Bond ETF (NASDAQ: TLT), iShares 1-3 Year Treasury Bond ETF (NASDAQ: SHY), SPDR Bloomberg 1-3 Month T-Bill ETF (NYSE Arca: BIL), Schwab Short Term US Treasury ETF (NYSE Arca: SCHO), on Tiger Trade that offer exposure to US treasuries.
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Leong notes that Tiger Brokers is also committed to empowering its customers through its “cutting-edge technical capabilities” that redefine the trading and investment experience. “By putting our customers' interests first and staying attuned to their evolving needs, we have introduced features that not only keep pace with industry standards, but also set us apart.”
The launch of US treasuries will be supported by advanced technical functions such as faster trading and settlement, with T+0 trading rules during US stock trading hours and T+1 settlement dates.
Tiger Brokers says it understands the significance of speed and flexibility in trading and has also implemented a rapid execution advantage for both limited and market orders, an extended order validity of up to a month and quick dividend payments and interest proceeds on the T+1 date.
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According to the brokerage, its expedited settlement process serves investors better, ensuring immediate fund availability post-bond sales and provides investors with increased flexibility to capitalise market opportunities promptly. This approach also allows for faster interest earnings on new investments, having a notable impact on large-scale and fixed-income investors.
Looking ahead, Tiger Brokers says it will continue to explore, develop and incorporate new solutions into its suite of offerings, so as to deliver on its commitment to meet all the unique investment needs of its customers.
