ManiMoney

Government bonds are debt securities issued by a country’s government in its own currency. A government bond is a debt instrument that helps the government to raise capital when required. Both state and central government borrow funds from the market in order to feed their financial deficits. Government executes financial deficits by taking money from [...]

Municipal bonds are debt instruments that are issued by public entities, such as municipalities, cities, states or counties, to fund their capital expenditures. The capital expenditure of public entities includes costs associated with the construction of schools, bridges, highways and other public interest projects. Since muni. bonds offer tax exemptions, they are typically bought by [...]

‘The Indian bond market, however, is today at par with some of the leading markets of Asia like Korea. The grapevine is that in a few years, the Indian bond market will be counted as a renowned market of the world.’ A decade back, banks like ICICI and IDBI began issuing step bonds. While those [...]

Faced with stock market fall and safety of investments in various instruments, many investors are resorting to options which are safe and Government backed with decent returns. Apart from Bank FD, PPF, NSC, KVP, there is an option of investing in Bhavishya Nirman Bonds which are issued by NABARD, which claims to give attractive return [...]

RBI bonds are debt instruments issued by the Reserve Bank of India. They also are referred to as Relief Bonds. These are five-year instruments that can not be liquidated prior to the maturity date on the bond. As of 2010, the interest rate on RBI bonds is 8.5 percent interest. The Indian Tax Act of [...]

With bank interest rates falling and nothing that even remotely resembles the facility of social security within sight, the government’s announcement for retail purchase (minimum up to Rs 1,000) of government security bonds has come as a great relief to pensioners. The bonds offer high returns with almost nil risk factor and are welcomed by [...]

Corporate bonds are longer-term debt instruments issued by companies to raise money for business expansion. These debt instruments usually have a maturity date of at least a year after issue. Corporate bonds with a shorter maturity are known as commercial papers. If you are willing to take some risk and do some research, corporate bonds [...]

Majority of investors claiming tax benefits under Section 88 of the Income Tax Act avails conventional options of taking insurance and investing in Public Provident Fund and National Savings Certificate. A total sum of Rs 100,000 that can be claimed as rebates, the aforementioned option account for only Rs 70,000, and the balance Rs 30,000 [...]

First of all, take note that you must be a non-resident Indian (NRI) in order to legally invest in Indian bonds. An NRI is one who was born in India but resides in another country. Following are the four options: Many NRIs invest in mutual funds. A mutual fund is a type of bond that [...]

Bonds are debt instruments that are issued by companies, municipalities and governments to raise funds for financing their capital expenditure. By purchasing a bond, an investor loans money for a fixed period of time at a predetermined interest rate. While the interest is paid to the bond holder at regular intervals, the principal amount is [...]