Who pay HDB to build?

[Arcachon]

Besides subsidising the development cost, the government is committed to subsidising low-interest rate public housing loans issued by HDB. However, in line with the government’s efforts to develop a vibrant bond market in Singapore by encouraging statutory boards and government-linked companies to access the capital market to finance their borrowings, the HDB launched a S$3 billion Medium Term Note (MTN) programme means to source for external funds (Housing and Development Board and Citibank, 1999). Having made its first move into the capital market as well as being the largest residential mortgagor in Singapore, it would not be surprising if the HDB decides to take a further step into the capital market by issuing residential mortgage-backed securities. If HDB mortgages are to be securitized, the interest in public housing values would be heightened since investors in the capital market would want to know the changes in value of the underlying asset of the mortgage-backed securities.

http://www.google.fr/url?sa=t&rct=j&...I_f1GHS56JJ4ow

http://www.hdb.gov.sg/fi10/fi10296p....9?OpenDocument

Date issued : 25 Apr 2012

The Housing and Development Board ("HDB") has issued Notes under its S$12 billion Multicurrency Medium Term Note ("MTN") Programme.

[Arcachon]

http://info.sgx.com/listprosp.nsf/5a8e36bd740e1bce48256604000bb31e/f641aaceb1264642482578cb0014413e/$FILE/Final%20IM.PDF

Established under the Housing and Development Act, Chapter 129 of Singapore


Definition of 'Medium Term Note - MTN'
1. A note that usually matures in five to 10 years.

2. A corporate note continuously offered by a company to investors through a dealer. Investors can choose from differing maturities, ranging from nine months to 30 years.

Investopedia explains 'Medium Term Note - MTN'
1. Notes range in maturity from one to 10 years. By knowing that a note is medium term, investors have an idea of what its maturity will be when they compare its price to that of other fixed-income securities. All else being equal, the coupon rate on medium-term notes will be higher than those achieved on short-term notes.

2. This type of debt program is used by a company so it can have constant cash flows coming in from its debt issuance; it allows a company to tailor its debt issuance to meet its financing needs. Medium-term notes allow a company to register with the SEC only once, instead of every time for differing maturities.


Read more: http://www.investopedia.com/terms/m/...#ixzz1u1pEjbPt


HDB Launches Medium Term Note Programme

Oct 22, 2009 - PropertyGuru.com.sg

The Housing and Development Board (HDB) has introduced a new development under a $7 billion Medium Term Note Programme.

The new issuance of Notes includes a 3-year Fixed Rate Note worth $500 million, with 1.55% coupon per annum. This must be paid semi-annually in arrears. The said transaction was launched with an initial size of $400 million and consequently expanded to $500 million due to warm investor response.

The notes will be given in $250,000 denominations. These will be offered to the investors who qualify under the Chapter 289, Sections 274 and/or 275 of Singapore’s Securities and Futures Act.

Application for the Medium Term Note Programme is made through the Singapore Exchange Securities Trading Limited (SGX-ST). Then, the Central Depository (Pte) Limited will clear the notes. The lead managers are the Hongkong and Shanghai Banking Corporation Limited, Singapore Branch and the Citicorp Investment Bank (Singapore) Limited.

Under the Medium Term Note Programme, HDB will occasionally, issue notes or bonds to finance its working capital requirements and development programmes.

http://www.propertyguru.com.sg/prope...note-programme

[hyenergix]

The only way for HDB to make money to return to bond holders with interest is to ensure HDB prices continue to appreciate and sell at a profit?

[DC33_2008]

They are in control.

The only way for HDB to make money to return to bond holders with interest is to ensure HDB prices continue to appreciate and sell at a profit?

[carbuncle]

The only way for HDB to make money to return to bond holders with interest is to ensure HDB prices continue to appreciate and sell at a profit?

Who to catch the inflated snowball?