What is a Commercial Paper?
Commercial Paper is a short-term, unsecured debt instrument issued by creditworthy corporations and financial institutions. Companies issue commercial paper as a cost-effective alternative to bank loans, enabling them to manage short-term liquidity requirements.
Why Invest in Commercial Papers?
Short-Term Investment
An attractive option for investors seeking liquidity and flexibility, due to their short maturities (1 – 12 months).
Higher Yields
Offers a fixed interest rate with a yield that is often higher than savings accounts or government securities like Treasury Bills.
Consistent Source of Income
Provides a consistent source of income for investors seeking short-term opportunities with potentially higher yields. With fixed interest payments and a predetermined maturity, they often offer reliable returns within a specific time frame.
Creditworthy Issuers
Issued by companies which are publicly listed and/or have strong credit ratings. The financial information about the issuer is disclosed, providing investors confidence in the issuer’s ability to repay.
Diversification
Delivers portfolio diversification by providing exposure to corporate debt, distinct from other asset classes like public equities and bonds.
Risks of Investing in Commercial Paper
Credit Risk: While commercial paper is generally issued by reputable and creditworthy companies, it remains an unsecured instrument. There is no collateral and carries the risk of issuer default. Investors should therefore carefully assess the financial health and creditworthiness of the issuing company before committing to such investments.
Who Can Invest in Commercial Paper?
Commercial paper has traditionally been issued in large denominations available only to institutional investors and accredited investors.
SDAX is breaking tradition, making commercial paper accessible to retail investors, enabling them to invest with just S$1,000!
Institutions
Accredited Investors
Retail Investors
A Typical Commercial Paper Return Profile
3% to 6%
coupons
1 to 12 month
maturities
SGD and USD
currencies
Meet Our Issuer Companies
At SDAX, we take pride in partnering with reputable issuers, prioritising strong risk-adjusted returns. Our stringent selection process ensures that investors gain access to vetted, high-quality investment opportunities backed by strong fundamentals. Meet the companies that have passed our rigorous due diligence process.
Past Investments Showcase
SDAX has successfully raised over S$650 million in Commercial Papers to-date, securing one of the largest market shares in Singapore. Below is a showcase of our past commercial papers, reflecting the diversity and strength of the issuances facilitated through our platform.
TECHCOOP 6-month SGD Commercial Paper Series 001
About the Issuer Farmgate Pte. Ltd. (“Farmgate”, the “Company” or the “Issuer”) (UEN: 202528980G) is a Singapore-based company specialising in the international trading of agricultural commodities and processed products, primarily […]
- Loan Quantum: SGD 1,230,000
- Tenor: 182 days
- Gross Returns (p.a.): 6.00%
- Minimum Investment: SGD 10,000
MPMR 1-year SGD Secured Medium Term Note Series 025
About the Issuer Muscat Precious Metals Refining Company LLC (registration number: 1455743, “MPMR”) was incorporated in the Sultanate of Oman on 6 November 2022, and operates a precious metal refinery […]
- Loan Quantum: SGD 1,490,000
- Tenor: 364 days
- Gross Returns (p.a.): 9.00%
- Minimum Investment: SGD 10,000
Vin’s 3-month SGD Commercial Paper Series 002
About the Issuer Tat Hong Equipment Service Co., Ltd. (registration number: CR-291251, the “Issuer”) is the first foreign-owned tower crane service provider established in the People’s Republic of China (“PRC”) […]
- Loan Quantum: SGD 5,480,000
- Tenor: 91 days
- Gross Returns (p.a.): 4.30%
- Minimum Investment: SGD 10,000
Tat Hong Equipment Service 3-month SGD Commercial Paper Series 009
About the Issuer Tat Hong Equipment Service Co., Ltd. (registration number: CR-291251, the “Issuer”) is the first foreign-owned tower crane service provider established in the People’s Republic of China (“PRC”) […]
- Loan Quantum: SGD 31,250,000
- Tenor: 91 days
- Gross Returns (p.a.): 4.40%
- Minimum Investment: SGD 10,000
CGS SG 3-month SGD Commercial Paper Series 012
About the Issuer CGS International Securities Singapore Pte. Ltd. (UEN: 198701621D) is licensed by the Monetary Authority of Singapore and is a wholly-owned subsidiary of CGS International Securities Pte. Ltd. […]
- Loan Quantum: SGD 9,820,000
- Tenor: 91 days
- Gross Returns (p.a.): 2.00%
- Minimum Investment: SGD 10,000
CGS SG 3-month USD Commercial Paper Series 012
About the Issuer CGS International Securities Singapore Pte. Ltd. (UEN: 198701621D) is licensed by the Monetary Authority of Singapore and is a wholly-owned subsidiary of CGS International Securities Pte. Ltd. […]
- Loan Quantum: USD 9,480,000
- Tenor: 91 days
- Gross Returns (p.a.): 4.35%
- Minimum Investment: USD 10,000
Launch of The Straits Trading Shareholders' Club Partnership with SDAX
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Some of Our Completed Listings
TECHCOOP 6-month SGD Commercial Paper Series 001
About the Issuer Farmgate Pte. Ltd. (“Farmgate”, the “Company” or the “Issuer”) (UEN: 202528980G) is a Singapore-based company specialising in the international trading of agricultural commodities and processed products, primarily sourced from Vietnam and exported to China, Japan, North Africa, and the Middle East. It is a wholly owned subsidiary
MPMR 1-year SGD Secured Medium Term Note Series 025
About the Issuer Muscat Precious Metals Refining Company LLC (registration number: 1455743, “MPMR”) was incorporated in the Sultanate of Oman on 6 November 2022, and operates a precious metal refinery in Oman. MPMR is currently the only licensed refinery in Oman and it can refine up to 50 kilograms of
Vin’s 3-month SGD Commercial Paper Series 002
About the Issuer Tat Hong Equipment Service Co., Ltd. (registration number: CR-291251, the “Issuer”) is the first foreign-owned tower crane service provider established in the People’s Republic of China (“PRC”) since 2007, and has been listed on the Main Board of The Stock Exchange of Hong Kong Limited since 13
Tat Hong Equipment Service 3-month SGD Commercial Paper Series 009
About the Issuer Tat Hong Equipment Service Co., Ltd. (registration number: CR-291251, the “Issuer”) is the first foreign-owned tower crane service provider established in the People’s Republic of China (“PRC”) since 2007, and has been listed on the Main Board of The Stock Exchange of Hong Kong Limited since 13
CGS SG 3-month SGD Commercial Paper Series 012
About the Issuer CGS International Securities Singapore Pte. Ltd. (UEN: 198701621D) is licensed by the Monetary Authority of Singapore and is a wholly-owned subsidiary of CGS International Securities Pte. Ltd. For more information, please visit the Issuer’s website. Get Started
CGS SG 3-month USD Commercial Paper Series 012
About the Issuer CGS International Securities Singapore Pte. Ltd. (UEN: 198701621D) is licensed by the Monetary Authority of Singapore and is a wholly-owned subsidiary of CGS International Securities Pte. Ltd. For more information, please visit the Issuer’s website. Get Started