Investment tools for retail investors


The power of Cumulative Fixed Deposits has compounded as the interest earned is reinvested during the tenure.

Rated by Fds credit rating agencies that help you analyze their financial stability to repay the lenders. The massive rally in the equity markets is since March 2020 and the high valuations of stocks.

And investors are in looking for more investment avenues. Flexibility in the Corporate Fixed Deposits has to select the tenure ranging from 12 months to 60 months. Non-cumulative fds are a source of regular income.

The interest pay-out frequency – monthly, quarterly, or yearly- can be selected according to your income requirements. The Reserve Bank of India (RBI) issues GOI bonds when the government borrows money.

NCDs can earn higher returns and are not risk-free and tax-free assets, corporate fds are term fixed deposits offered by corporate entities and nbfcs. Underlying bond indices they track – PSU, government.

Target Maturity Bond has defined maturities like three years, five. That ETFs invest in bonds that are tradable on the stock exchange are comparatively new to the investor community. Coupons they pay at periodic intervals as specified during issuance.

Unlike plain-vanilla bonds, melds do not pay any coupons before maturity. Years or ten years Maturity the pay-off consists of principal repayment and market-linked returns.

In these Investments defined maturity ETFs can help meet your medium to long-term financial goals.

As the name suggests, melds are debt instruments issued by corporate entities whose returns are linked to the performance of bond markets.

The risk-averse investor is safest as they provide capital protection and regular interest income.

Since issues are fast-filling also available for a limited period, investors need to keep track of fresh issues.

Now is everyone is pretty familiar with equity-linked ETFs that track the respective index or basket of stocks. Passive funds are ETFs that offer combined benefits of liquidity, transparency, and cost-efficiency.

Gains on melds are taxed like equity. A large part of the population has been vaccinated and governments have better preparedness for handling different mutations of the virus not be too far that central banks may start raising interest rates.

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