This is my reading of the situaion. CIMB is the newest kid on the block. They have only 2 branches, no shared ATM network, and are trying to expand their presence (subject to approval by MAS). To make up for their limited presence and gain goodwill, they are offering slighter better products than the competition.

CIMB CapitalGuard Series 1 is one example. CIMB also offers the highest savings (not FD) rate of 1% pa with 100% liquidity if you open an a/c with min $250k. Besides CPF savings (which have higher interest rates but less liquidity), I think no one else in this tiny-red-dot offers a better deal for a 100% risk-free investment with full liquidity.

These are my personal views. Pls correct me if incorrect.

The CIMB structure is superior as

1) it gives 2 shots at earning the bonus interest.
2) The threshold is only 100% of the initial level.
3) Fewer stocks so higher chances to achieve it.

Of course, we also have to take into account the quality of the 2 companies.

* shorter tenure of 4.5 yr
* effective interest is 1.67 % pa
* total guaranteed interest over the tenure is 7.4 %
* additional possible potential bonus interest of 4.5 %, based on only two stocks (China Petroleum and BHP Billiton) performing better than initial valuation
* special bonus catch-up feature in case bonus is missed on specified date

Details at http://www.cimbbank.com.sg/index.php?ch=sg_per_wm&pg=sg_per_wm_sd&tpt=cimb_sg

This seems more attractive than POSB Invest Equity Series 1. Only concern here is POSB is less likely to go bust compared to CIMB.