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Invest in PAGIBIG Housing Bonds for only P5,000

The Home Development Mutual Fund (HDMF), commonly known as Pag-ibig, recently issued bonds that even small-time investors can buy and invest in. Last week, the Pag-ibig Fund announced that they are issuing to the public the new series of Bahay Bonds, a five-year mortgage-backed security aimed at raising P300-600 million that Pag-ibig can use to sustain its housing loan services to beneficiaries.

Pag-ibig Fund’s Bahay or Housing Bonds will pay a coupon rate of 4.80% per year. Each bonds costs only P5,000 making it easier for retail investors to participate in this bond offering.

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How to Invest in Pag-IBIG Housing Bonds?

Were you able to invest in the Philippines’ Retail Treasury Bond (RTB) offering?

The RTB issuance has been cut short because the government has already raised enough funds. If you were able to invest, good for you. You are now guaranteed a 6.80% net return (if you invested in the 3-year bond) of 7.20% (if you invested in the 5-year bond).

If you were not able to join the offering, don’t fret. There’s another guaranteed, government-backed security although it pays less than the RTB’s.

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