1. Prior to 2022, interest rate on fixed deposit and government bonds was quite low. In Singapore, 1 year FD give less than 1% interest. 10 year government bonds give a yield of 2%.

2. Interest rate has moved up in recent months. UOB bank now gives 3.4% on 12 month fixed deposit and 10 year government bonds gives a yield of 2.9%. 

3. For investors who prefer to avoid risk, the interest on fixed deposits and the yield on 5 year or 10 year government bonds are now quite attractive. (There were not attractive when interest rate and yields were low prior to 2022).

4. I personally prefer to invest in quality stocks that provide an attractive dividend yield. These are stocks of big companies that have a price earning ratio below 7 times and a dividend yield above 7%. I can find some of these stocks from the Hong Kong market. They are China stocks listed in Hong Kong. 

Tan Kin Lian