Sterling Asset Management is urging investors to plan carefully as the Government of Jamaica’s (GOJ) 9.25% bond approaches maturity on October 17. 

The bond, widely held by both retail and institutional investors, represents approximately US$75 million in value, making its maturity a significant financial event for the market.

 “With this bond maturing, investors across the board will soon have substantial funds in hand,” said Toni-Ann Neita-Elliott, VP Sales & Marketing at Sterling Asset Management. “But with global economic indicators suggesting a potential slowdown, and interest rates having fallen significantly since this bond was issued, careful planning has never been more important. Investors need to be strategic about where they reinvest to protect their capital and maximise returns.”

Sterling Asset Management will be reaching out directly to its clients who hold this bond. However, the firm encourages investors who may have purchased the bond through other institutions to begin planning their next steps now. Sterling is offering complimentary consultations to help investors evaluate their options, including reinvestment strategies and diversification plans designed to navigate a potentially unstable economic environment.

The current macroeconomic climate, characterised by global inflationary pressures, rising geopolitical tensions, and the possibility of a worldwide recession, highlights the importance of thoughtful investment decisions. “Investors cannot assume that market conditions will remain stable,” Neita-Elliott added. “The landscape is shifting, and now is the time to reassess portfolios, understand risk tolerance, and explore strategies that balance security with growth potential.”

Sterling’s guidance stresses that investors are unlikely to find returns similar to the maturing 9.25% bond without taking on higher risk or paying a premium that could erode real returns. The firm’s team of experts will work with investors to explore suitable alternatives, including fixed-income instruments, diversified portfolios, and other financial solutions that align with long-term goals while mitigating risk.

“Sterling has successfully guided clients through major bond maturities in the past, including similar large-scale events such as the NROCC bond in 2024. Our focus is on ensuring investors do not make rushed decisions and instead take informed actions that safeguard their capital while positioning them for future growth,” Neita-Elliott emphasised. 

Sterling encourages investors holding the GOJ 9.25% bond to review their financial objectives, assess their risk appetite, and consider professional guidance to ensure that proceeds from the maturity are allocated in a manner that balances safety and opportunity. In a shifting economic landscape, proactive and informed choices are more important than ever.