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Bonds / Certificates of Deposit

Enjoy steady income generated by the interest paid throughout the life of the Bond / Certificates of Deposit
  • Bond is an investment product. The investment decision is yours but you should not invest in this product unless the intermediary who sells it to you has explained to you that the product is suitable for you having regard to your financial situation, investment experience and investment objectives.
  • Bonds and Certificates of Deposit (CD) are NOT equivalent to a time deposit. CD is not a protected deposit and is not protected by the Deposit Protection Scheme in Hong Kong.
  • Issuer's Risk - The bond and CD are subject to both the actual and perceived measures of credit worthiness of the issuer. There is no assurance of protection against a default by the issuer in respect of the repayment obligations. In the worst case scenario, you might not be able to recover the principal and any coupon if the issuer defaults on the bond and CD.

Additional risks are disclosed in the Risk section. Please refer to it for details.

Purchase bonds/ certificates of deposit

At HSBC, we currently offer Bond/CDs issued by governments including PRC, US and HKSAR, local quasigovernment bodies, supranationals and well-known corporations around the world denominated in major currencies.

  • Potential for capital gains when you buy and sell Bond/CD.
  • Steady income is generated by the interest paid throughout the life of the Bond/CD.

Important Notice : Updated Product Risk Rating 
To keep you updated on the recent risk rating changes of Bonds / Certificates of Deposit. View detail [PDF]

To strengthen online security, from mid April 2018 you'll need a Mobile Security Key or Security Device to access your investment accounts and trade online. Apply for one now. View www.hsbc.com.hk/e2fa for details.

How to invest?

HSBC Internet Banking Users 

Not yet a HSBC Personal Internet Banking User?

Need help?

Important notice: From mid-July 2018, we will be sending notification to you on execution of trades you conduct online or via our mobile apps. Please ensure that you have provided us with a valid mobile phone number to receive such notification via SMS, or you will not be able to trade online or via our mobile apps after mid-July. You can update your mobile phone number via Personal Internet Banking or any HSBC branches in HK. View www.hsbc.com.hk/inv-sms/ for details.

Browse our range of bonds/CDs by quick search categories:

Why bonds / certificates of deposit ?

Yield Enhancement

Investing in Bonds may improve your return than sitting on cash. Find out more here.

Potential for capital gain from price appreciation occurs when market interest rates fall or when perceived creditworthiness of the bond's issuer strengthens.

Regular Income Source

Bonds deliver stable and predictable coupons as streams of income, while offer predictable repayment of principal at maturity.

Risk Diversification Tool

Bonds exhibit low correlation to other asset classes, hence the inclusion of bonds can bring relative stability to a portfolio.

How to invest/get started with HSBC

Start purchasing Bond/CD now

If you have an HSBC Premier/HSBC Advance/Personal Integrated Account1 investment services account, or a Securities Account, you can buy/sell Bond/CD2 through any HSBC branch, our phone banking service3 or HSBC Personal Internet Banking.

 

1“Personal Integrated Account” is used interchangeably in customer communications including account statement, bank forms / advices, internet banking platform etc.

 

2Trading of RMB bonds is specifically designed for HSBC Premier/HSBC Advance/Personal Integrated Account customers who also hold a RMB savings account.

 

3Phone banking provides service to customers on selling bonds only.


For more information:

Go to our web site at www.hsbc.com.hk

Call (852) 2233 3733

Visit any HSBC branch

How much does it cost?

Service charges
Service Charges  Handling fees - Bonds  Handling fees - CD
Safe custody
Waived
Waived
Interest Collection  Waived  Waived 
Redemption at maturity  Waived 
Waived 
Transfers into HSBC  Waived  Waived 
Transfers out of HSBC  Through Central Money Market Unit (CMU): HKD500 per note/bond per transfer Through Euroclear/other overseas clearing houses/bank: HKD1,000 per note/bond per transfer
Through Central Money Market Unit (CMU): HKD500 per note/bond per transfer Through Euroclear/other overseas clearing houses/bank: HKD1,000 per note/bond per transfer

How much does it cost?

Service charges
Service Charges  Safe custody
Handling fees - Bonds  Waived
Handling fees - CD
Waived
Service Charges  Interest Collection 
Handling fees - Bonds  Waived 
Handling fees - CD
Waived 
Service Charges  Redemption at maturity 
Handling fees - Bonds  Waived 
Handling fees - CD
Waived 
Service Charges  Transfers into HSBC 
Handling fees - Bonds  Waived 
Handling fees - CD
Waived 
Service Charges  Transfers out of HSBC 
Handling fees - Bonds  Through Central Money Market Unit (CMU): HKD500 per note/bond per transfer Through Euroclear/other overseas clearing houses/bank: HKD1,000 per note/bond per transfer
Handling fees - CD
Through Central Money Market Unit (CMU): HKD500 per note/bond per transfer Through Euroclear/other overseas clearing houses/bank: HKD1,000 per note/bond per transfer

4Customers will need to pay if there are any out of pocket costs incurred.

Risks

Risk disclosure:

  • Bonds / CD are mainly medium to long term fixed income products, not for short term speculation. You should be prepared to hold your funds in bonds / CD for the full tenor; you could lose part or all of your principal if you choose to sell bonds / CD prior to maturity.
  • It is the issuer to pay interest and repay principal of bonds / CD. If the issuer defaults, the holder of bonds / CD may not be able to receive back the interest and principal. The holder of bonds / CD bears the credit risk of the issuer and has no recourse to HSBC unless HSBC is the issuer itself.
  • Indicative price of bonds / CD are available and bonds / CD price do fluctuate when market changes. Factors affecting market price of bonds / CD include, and are not limited to, fluctuations in Interest Rates, Credit Spreads, and Liquidity Premiums. The fluctuation in yield generally has a greater effect on prices of longer tenor bonds / CD. There is an inherent risk that losses may be incurred rather than profit made as a result of buying and selling bonds / CD.
  • If you wish to sell Bonds / CDs, HSBC may repurchase it based on the prevailing market price under normal market circumstances, but the selling price may differ from the original buying price due to changes in market conditions.
  • There may be exchange rate risks if you choose to convert payments made on bonds / CD to your home currency.
  • The secondary market for bonds / CD may not provide significant liquidity or may trade at prices based on the prevailing market conditions and may not be in line with the expectations of holders of bonds / CD.
  • If bonds / CD are early redeemed, you may not be able to enjoy the same rates of return when you use the funds to purchase other products.


For Renminbi (RMB) products:

  • There may be exchange rate risks if you choose to convert RMB payments made on the bonds to your home currency.
  • RMB debt instruments are subject to interest rate fluctuations, which may adversely affect the return and performance of the RMB products.
  • RMB products may suffer significant losses in liquidating the underlying investments if such investments do not have an active secondary market and their prices have large bid/ offer spreads.

You could lose part or all of your principal if you choose to sell your RMB bonds prior to maturity.

Additional information

Important Note:

Effective 10 December 2018, settlement day of the Singapore securities markets is 2 business days after trade execution day (T+2). For buy orders, debit of the purchase amount from your account and deposit of the purchased securities will take 2 business days after trade execution day. For sell orders, sales proceeds will be credited to your account 2 business days after sale execution day.

Note: Actual settlement date is subject to market arrangement which may be beyond the stated date due to different lead time required or suspension of business or trading.

This information is not and should not be construed as an offer to sell or the solicitation of an offer to purchase or subscribe for any investment. HSBC has based this list on information obtained from sources it believes to be reliable but which it has not independently verified. HSBC makes no guarantee, representation or warranty and accepts no responsibility or liability as to its accuracy or completeness. The information is subject to change without notice.