Fixed Income Products

Fixed Income Products

Our Fixed Income Offerings

Bonds

Bonds are debt instruments where you lend money to an entity (government or corporation) for a defined period. In return, the issuer promises to pay a fixed or floating interest rate (coupon) and repay the principal at maturity.

Fixed Deposits (FDs)

Fixed Deposits are a type of term deposit offered by banks and Non-Banking Financial Companies (NBFCs). They provide a higher interest rate than a regular savings account, with the funds locked in for a specified period.

SM REITs

Small and Medium Real Estate Investment Trusts (SM REITs) allow retail investors to invest in a portfolio of income-generating real estate properties, offering potential returns from rental income and property value appreciation.

Onboarding Process

Our seamless onboarding process is designed to get you started quickly and securely.

1

Create Account

Register on our platform with your basic details.

2

Complete KYC

Verify your identity by uploading the required documents.

3

Explore & Select

Browse through our wide range of products and choose what's right for you.

4

Invest

Initiate your investment with a few simple clicks.

Required Documents for Onboarding

  • PAN Card
  • Aadhaar Card or other address proof
  • Demat Account (For Bonds) - Client Master List (CML)
  • Cancelled Cheque

Know Your Customer (KYC)

KYC is a mandatory process of verifying a client's identity and address. It helps us to ensure the security of your transactions and comply with regulatory requirements. Your documents are handled with the utmost confidentiality and security.

Charges & Commissions

We believe in providing transparent and value-driven services. We do not charge any fees or commissions to our clients for transactions on our platform.

Our business model is based on receiving a commission from the issuers of the products (e.g., companies issuing bonds or banks offering FDs). This ensures that you can invest without any additional costs on your end.

Bond Yield Calculator

Calculate the current yield of a bond and see how price and yield are inversely related.

₹950

Current Yield:

8.42%

Credit Ratings

Credit ratings are an essential tool for evaluating the creditworthiness of a bond or a Fixed Deposit issuer. Agencies like CRISIL, ICRA, and CARE assign these ratings, which indicate the likelihood of the issuer meeting its financial obligations.

Rating Meaning
AAA Highest Safety.
AA High Safety.
A Adequate Safety.
BBB Moderate Safety.
BB Inadequate Safety.
B High Risk.
C Substantial Risk.
D Default or Likely to Default.

Bonds

High-rated bonds (e.g., AAA, AA) are considered to have low default risk and generally offer lower yields. Lower-rated bonds (e.g., BBB, BB) carry higher risk but may offer higher yields to compensate for the risk.

Fixed Deposits

FD ratings provide an opinion on the company or bank's ability to repay the principal and interest on time. They are crucial for investors looking for safety and predictability in their returns.

Monitoring & Review

We assist you in monitoring your investments and provide regular reviews to ensure your portfolio remains aligned with your financial goals. As an investor, you should keep an eye on the following:

  • Changes in Interest Rates: Monitor changes in the overall market interest rates, as this can affect the value of your existing bonds.
  • Credit Rating Changes: Keep track of any upgrades or downgrades to the credit rating of your bond or FD issuer.
  • Liquidity: Be aware of the liquidity of your investments, especially in case you need to sell your bonds before maturity.
  • Inflation: Review your real rate of return by factoring in the inflation rate.

Ideal Selection Strategy

Choosing the right product depends on your risk appetite, investment horizon, and financial goals. Here's a general guide:

View Risk Appetite Report

  • Bonds

    Ideal for: Investors looking for stable income and capital preservation. Good for diversification. Consider the credit rating and yield. A mix of high-rated and slightly lower-rated bonds can balance risk and return.

  • Fixed Deposits

    Ideal for: Conservative investors prioritizing capital safety. Best for short to medium-term goals. Choose FDs from highly-rated banks or NBFCs. Compare interest rates and premature withdrawal penalties.

  • SM REITs

    Ideal for: Investors seeking passive income from real estate without the hassle of direct ownership. Suitable for long-term investors with a moderate risk appetite. Diversify across different properties and locations.

Income Tax Implications

Understanding the tax implications of your investments is crucial for effective financial planning. Here is a general overview:

  • Bonds

    Interest Income: Interest earned from bonds is taxed as "Income from other sources" at your individual income tax slab rate.

    Capital Gains: Capital gains on selling bonds are taxed based on the holding period. Short-term capital gains (if held for less than a year) are added to your income and taxed at your slab rate. Long-term capital gains (if held for more than a year) are taxed at a lower, specific rate.

  • Fixed Deposits (FDs)

    Interest Income: Interest from FDs is fully taxable at your individual income tax slab rate. TDS (Tax Deducted at Source) may be applicable if the interest exceeds a certain threshold.

  • SM REITs

    Dividend Income: The dividend portion of the distribution from SM REITs is taxed at your individual income tax slab rate.

    Capital Gains: Capital gains on selling SM REIT units are taxed as per the same rules as bonds (short-term vs. long-term).

Frequently Asked Questions

What is the difference between a bond and a Fixed Deposit? ▼
Bonds are typically tradable on a market and can be issued by governments or corporations. FDs are offered by banks and are not tradable. Bonds may have variable returns, while FDs offer fixed interest rates.
Are my investments in SM REITs safe? ▼
SM REITs are subject to market risks, and their value can fluctuate. However, they are regulated and invest in a portfolio of properties, which helps in diversification and risk management.
How can I calculate the yield on a bond? ▼
The simplest way is to calculate the Current Yield: (Annual Coupon Payment / Current Market Price) x 100. For a more accurate measure, the Yield to Maturity (YTM) calculation is used.
What documents do I need for KYC? ▼
Generally, you will need a PAN card, an Aadhaar card (or other valid address proof), and your bank account details.
How is my privacy protected during the onboarding process? ▼
We use robust security protocols to protect your personal information. All documents and data submitted for KYC are encrypted and stored securely, in compliance with data protection laws.
What is the interest payment frequency? ▼
The interest payment frequency depends on the specific product. For bonds, it can be annually, semi-annually, or quarterly. For Fixed Deposits, interest is typically paid at maturity or at regular intervals as per your choice.
How will I receive my interest payments? ▼
Interest payments are directly credited to the bank account linked with your investment account via electronic transfer methods like NEFT or RTGS. You will receive a notification each time an interest payment is made.
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