There are plenty of ways a company can raise funds from the public, one of which is by issuing bonds. This financial instrument helps companies get the necessary financial aid to expand the business, add a new category in the product line, or move the operations smoothly without any interruption. As the bond market is advancing in India at a rocket speed, there are numerous bond platforms that facilitate people to park their funds without a hitch. BondsIndia, one of the leading fixed-income investment in India, deals with financial securities like bonds, G-Sec strips, 54EC bonds, and a few others in the same market line. Now that bond platforms are online, digital transactions happen in microseconds, ensuring safety and security to the investors. Well, the questions that every investor asks, in general, are “why should I invest in bonds online or buy bonds anyway?” “Can’t I invest in something else like equities or mutual funds?” or “how to purchase bonds in India?”. To answer these sorts of quandaries and quests, let’s comprehend the bond market first.
What are Bonds and Bond Markets?
A bond is simply a certificate or a document issued by private organizations, government entities, and other institutions to investors for raising working capital and meeting the unattended demands in return for semi-annual or annual interest payments and repayment of the whole principal amount upon maturity. Here, business entities, instead of approaching banks for credit money, prefer to increase the funds via public through investment bonds.
The most common investments we witness in India are in mutual funds or fixed deposits. Some investors try equities, from which again, they expect prompt gains in less time. The bond market can give you a healthy return if invested for a stipulated time frame like a minimum of 3-years or more. However, the interest gained on bonds will be taxable as per the income tax slab rates. This makes investors withdraw from investing in bonds.
There are a lot of important things you’ll be missing out on gaining if you skip bond markets from your investment trajectory. Like, they offer portfolio diversification, stable returns unlike equities, secure investments, liquidity, etc.
Reasons to Buy Bonds From BondsIndia
If there’s an investment vehicle that’s less risky and safe for investors who are looking for capital protection and wealth building, it’s going to be “bonds” under fixed income securities. As they say, don’t put all the eggs in one basket, this rule applies to investments as well. Even during the darkest hour, bonds give you the desired hope and financial support you are looking for. Be it economic shakeout or stagflation, bonds never disappoint you when it comes to financing your needs during an emergency. So, here are a few reasons listed below, explaining why you should opt for buying bonds from BondsIndia.
Simple Investment Process: Unlike offline modes, where an investor gets clogged up with plenty of paperwork and document submissions, with BondsIndia, you can buy bonds online and open a free trading account in 3 following simple steps – complete your KYC, choose your bond, and make your investment. It takes a few minutes to onboard on to this amazing trading platform. As and when you enter BondsIndia, you see several types of bonds like Tax-Free bonds, PSU bonds, zero-coupon bonds, convertible bonds, perpetual bonds, etc, in which you can invest and accumulate your wealth by enjoying the interest you get periodically.
Provides Market Insights: There might be a lot of online bond trading platforms in India, but you rarely come across a platform like BondsIndia that provides real-time market insights. You can find out what are the top bonds to invest in India. The best part is that you can see the bond’s performance month-wise or year-wise. In addition to that, there’s a deal of the day section that covers the best bond deals trending in the market. Bond price or face value, coupon rate, yield, maturity date, type of bond, and IP frequency are some of the details you can find on the platform. These clear-cut details help investors make informed investing decisions.
Get Daily Updates: Keeping a tab of every market update is like you’ve got your work cut out for you. It’s an arduous job for any investor to make a note of changes that happen very often. Unless you are an analyst, preparing sheets to know the pulse of the market isn’t part of the job description. So, to alleviate this situation, BondsIndia provides daily updates on the platform, where you can compare the performance with other bonds that are trading online. Through this, you get the impression of which bond to choose to park your money into. If you are new to the bond market and willing to make your first move, BondsIndia is a one-stop solution for all your investing queries and answers that you are looking for.
Say Adios to Offline Bond Trading: Today, with the advancement in modern technology and affordable internet, investors can access markets and all the necessary insights related to them with just a click. Online bond platforms like BondsIndia simplify the way one buys and sells bonds. Whether you are far away from your abode, or at your friend’s wedding, online platform and start investing in the bonds you would like to opt for. As people barely step their foot out during these pandemic times, this online feature works like magic to the investors. Not only does it allow you to continue your uninterrupted online investments, but it also keeps the run-of-the-mill paperwork at bay.
Can Start Small: The bond market is open for investors of every income group. Though you are from the higher or middle or lower bracket, you can begin your investing journey on BondsIndia with as little as Rs 1000. However, the minimum investment value differs from one bond platform to another. So, this opportunity has opened the doors to all types of investors. Irrespective of your profession and how much you make monthly, platforms like BondsIndia welcomes you with both hands, giving you a green card to take your first step to invest in the bond market with an infinitesimal sum of money.
If you are an investor who wants to play safe, bonds are your perfect go-to investment choice. Although bonds might not commit to giving you substantial gains, they will surely serve your financial hurdles during urgent times. So, what are you waiting for? Start investing with BondsIndia, choose the bonds you want to invest in, and make your investment in bonds, including the secondary bonds market.