Invest in government and corporate bonds for stable returns with capital protection.
Invest in Bonds NowA bond is a fixed-income debt instrument where you lend money to an issuer (government or corporation) for a fixed period. In return, the issuer pays you periodic interest and returns your principal at maturity. Unlike equity markets, bonds offer predictable, contracted returns, making them ideal for risk-averse investors.
Issued by RBI on behalf of GOI. Sovereign guarantee - zero default risk. Ideal for ultra-conservative investors.
Issued by top-rated Indian corporations. Higher coupon than govt bonds. Rated AAA to BBB by CRISIL/ICRA.
Issued by NHAI, REC, IRFC. Interest is 100% exempt from income tax. Great for HNIs in high tax brackets.
Govt-backed bonds denominated in grams of gold. 2.5% interest p.a. + gold price appreciation.
| Parameter | Bonds | Fixed Deposit | Equity |
|---|---|---|---|
| Safety | High | High | ️ Market risk |
| Returns | 6-9% p.a. | 5.5-7.5% p.a. | 10-15% p.a. (historical) |
| Liquidity | Medium (secondary market) | Low (penalty on break) | High (T+2 settlement) |
| Tax on Interest | Some tax-free options | Fully taxable | 10% LTCG above ₹1L |
| Min Investment | ₹1,000 | ₹1,000 | ₹500 (SIP) |
Need regular, predictable income without market volatility risk.
Want capital preservation with better returns than bank FDs.
Use bonds to reduce portfolio volatility and diversify from equity.