The government announced on Friday that people subscribing to its latest batch of silver bonds could receive up to 13 lots each, as the number of applicants as well as the subscription amount hit record highs.

In a statement, the government said it received a total of 476,703 applications for its 11th batch of silver bonds – designed for senior citizens with a guaranteed annual coupon of 4.25 percent this time.

The total subscription amount reached HK$119.3 billion, representing an over-subscription rate of more than double the final issuance amount of HK$55 billion.

The government had originally aimed to issue HK$50 billion of the three-year silver bonds this year before raising it to HK$55 billion due to high demand.

The 88,422 investors who applied for 12 lots or fewer will receive the full allotment they sought, with each lot costing HK$10,000.

The remaining 338,281 investors who applied for more than 12 lots will first be allocated 12 lots – before a lottery draw is held to determine those who get the extra one.

Authorities said over 97,000 people would get an extra lot.

Commenting on the bond issuance this time, Financial Secretary Paul Chan said the new highs in both the number of applicants and subscription amount reflect the popularity of silver bonds among the elderly as a safe and stable investment option.

He also noted that the funds raised from this batch of bond issuance would be used to finance infrastructure projects and improve people's lives.

Chan said the government would continue to review the issuance arrangements of the silver bonds – after taking into consideration market conditions and subscription reactions.


Edited by Aaron Tam