CPF pays higher interest than treasury bills

Hi Mr Tan,
I have read your newspapers articles and about your website, find that you are a very knowledgable person in the finance field.

As a student, I have always wanted to know more about investments. My question is, can I get higher interest by investing in 3 months treasury bills or just leave my money in CPF for 3 months?

http://www.sgs.gov.sg/announce/bill-announce.html
http://www.sgs.gov.sg/announce/bill-result.html )

REPLY

It is better to leave your money in CPF as you earn 2.5% interest plus a bonus of 1%. Short term treasury bills pay less than 1% interest.