Bonds

Government Securities (Bonds)
Get the convenience and comfort of investing in Bonds with maximum yields.

Bonds are securities containing a statement of debt from the issuer along with a promise to repay the principal debt of the company at a predetermined time.


SERVICE TYPE
Bank Commonwealth provides transaction services for the purchase and resale of bonds issued by the Government of Indonesia on the primary and secondary markets in a wide selection of bond series denominated in Rupiah (Rp) and US Dollar (USD). Bank Commonwealth provides 2 channels for Government Bond transactions, namely offline through branches for purchases on the secondary market and online through the CommBank SmartWealth application for purchases on the primary market.


BONDS TYPE OPTION
• Bonds in Rupiah (Rp)
• Bonds in US Dollar (USD)
• Retail Bonds in the Primary Market (ORI, SR, SBR & ST)



ADVANTAGES OF BOND

  • Safe

    Principal and Coupons are guaranteed by the Government through law.
  • Competitive Coupon Rates

    The yield/coupon offered is higher than the average Deposit Interest rate.
  • Regular Coupon Payment

    Payment of yields/coupons periodically until product maturity.
  • Potential Capital Gain

    Has the potential to obtain capital gains from bond price movements.
  • Light Tax

    The tax charged is lower compared to Deposits.
  • Liquid

    Can be traded in the secondary market until the product matures


ADVANTAGES OF BOND TRANSACTIONS THROUGH BANK COMMONWEALTH

  • Easy

    Online transaction, anywhere through the CommBank SmartWealth application.
  • Affordable

    Starting from IDR1,000,000 (one million Rupiah), you can invest in Retail Bonds through the Primary Market and IDR10,000,000 (ten million Rupiah) for Bonds through the Secondary Market.
  • Free Transaction Fee

    Free sale and purchase transaction fees for all Bond series offered by Bank Commonwealth .
  • Free Storage

    Free storage (custodian fee) for the first year.
  • Flexible Transaction Time

    Bond transactions can be carried out every trading day until 14.30 WIB.
  • Integrated Administrative Reports

    The customer will receive proof of transaction confirmation and a monthly report from the Custodian Bank. Customers can also request proof of withholding taxes on capital gains and bond coupons (upon request).


BOND RISK

  • CREDIT RISK

    Investment in Products contains credit risk from the Product Issuer. In this case, the Product Publisher cannot pay its obligations (coupon and principal value of the Product) on a predetermined date.
  • INTEREST RATE RISK

    In general, product price movements are inversely proportional to interest rates; this means that if the benchmark interest rate rises, the price of the product has the potential to decrease. On the other hand, if the benchmark interest rate falls, the product price has the potential to increase.
  • MARKET RISK

    Product owners face the risk of potential losses due to a downward trend in Product prices within the secondary market. Losses (capital loss) can occur if the Product is sold within the secondary market before maturity at a lower selling price than the purchase price.
  • LIQUIDITY RISK

    In unfavorable market conditions, customers cannot conduct purchase and resale transactions if there is no demand and/or supply in the secondary market for the Products that they wish to transact.
  • CURRENCY RISK

    This risk occurs if the currency of the Product owned or purchased by the customer is different from the currency of the customer's investment source. Customers may incur losses as a result of currency movements.
  • RISK OF REGULATION CHANGES

    Changes in regulations relating to Products, including but not limited to Product taxation, may affect the return value of Products that will be received by customers.
  • RESPONSIBILITY RISK

    All interest and product principal are paid by the Product Issuer to the Custodian Bank where the Product is deposited. Delay in payment of interest and principal of the Product by the Product Issuer  may result in delay of payment to the customer of the Product.

TRANSACTION NOMINAL TERMS

 

Retail SBN in Primary Market

Online Secondary Market Bonds

Offline Secondary Market Bonds

IDR Bond

USD Bond

IDR Bond

USD Bond

MINIMUM TRANSACTION

IDR 1.000.000

IDR 10.000.000

USD 1,000

IDR 100.000.000

USD 10,000

MULTIPLE

IDR 1.000.000

IDR 1.000.000

USD 1,000

IDR 100.000.000

USD 1,000



BOND TRANSACTION PROCESS IN BANK COMMONWEALTH


• RETAIL SBN IN THE PRIMARY MARKET

Registration Process

Ensure that you already have a registered Securities Account Number and SID via Bank Commonwealth

  • Step-1
  • Login to CommBank SmartWealth application
  • Click “+” to view SBN Online option
  • Step-2 :
  • Choose SBN Online Menu
  • Step-3:
  • Select the account that you want to register and ensure the inserted data is valid
  • Step-4:
  • Receive an email stating the success of your registration

 

Buying SBN Process

  • Step-1
  • Choose Product List menu
  • Step-2
  • Choose the product that you wish to buy
  • Step-3
  • Define the amount purchase and choose the registered account number
  • Step-4
  • Success transaction confirmation
  • Step-5
  • Make the purchase via Internet Banking, Bank Commonwealth branch or other Perception Bank

 

BOND IN SECONDARY MARKET ONLINE
(click here for Tutorial on How to Buy and Sell Government Bonds in CommBank SmartWealth application)

A. BUY
  • Press “+” sign on your device screen

  • Select Bonds Product Menu

  • Select the Bonds series you want to trade and press the “BUY” button

  • Enter the amount you want to transact and select a savings account number

  • Make sure the transaction you entered is correct

  • Enter the OTP sent to the mobile number registered with the Bank Commonwealth

  • Your Transaction is in Process

  • Monitor your transaction status on the “Activity” menu or via email registered with Bank Commonwealth

 

B. SELL

  • Choose Investment Menu

    Graphical user interface, application  Description automatically generated
  • Choose product that you wish to sell then click “Sell”

    Graphical user interface, application, Teams  Description automatically generated
  • Insert nominal amount that you wish to sell and choose the account

    Graphical user interface, application  Description automatically generated
  • Confirm your sale transaction and click “Sell”

    Graphical user interface, application  Description automatically generated
  • Confirm the sale, then an OTP code will be sent to your Smartphone

 

  • Insert OTP

    Graphical user interface, application  Description automatically generated
  • Your transaction is in process

    Graphical user interface, application  Description automatically generated
  • Monitor your transaction status on the “Activity” menu or via email registered with Bank Commonwealth
  • Graphical user interface, application  Description automatically generated

    Graphical user interface, application  Description automatically generated



BONDS IN THE SECONDARY MARKET THROUGH THE NEAREST BANK COMMONWEALTH BRANCH

  • Step-1: Make sure you already have a Savings Account at Bank Commonwealth
  • Step-2: Open an Investment Account through CommBank SmartWealth application or the nearest Bank Commonwealth Branch
  • Step-3: Understand and select the Bond series you want to trade and complete the Bond transaction form.



Disclaimer
Bond products are not deposit products issued by the Bank. Bond product liability is the full responsibility of the issuer. Bond products are not issued and are not guaranteed by the Bank. This product is also not included in the scope of the object of the guarantee program from the Deposit Insurance Corporation (LPS). This product has investment risks, including loss of all capital and foreign exchange risk, therefore the decision to invest in this bond product is entirely the responsibility of the customer, which is made consciously and without coercion from any party. The Bank does not have any liability for investment losses in bond products.