We help you advise and invest is latest debt securities like government bonds, corporate bonds, tax-free bonds, PSU bonds and fixed maturity plans. The bond market is generally low volatile and suitable for investors who want to take very low risk and expect a stable return.
There are two types of bonds -primary market bonds and secondary market bonds.
The primary markets bonds are generally of low duration where the bond issuer directly sells the bond to investor.
The secondary markets bonds are generally of a longer duration of more than 5 years which includes government bonds. Further, investor has to hold the bond till maturity and the same is sold to the other investor who might be interested to purchase it. To buy and sell a secondary market bond a demat account is required for the investor where the bond is parked after the purchase. Bonds purchased in the primary market can be traded in the secondary market also.
Further, the government has also started to issue Sovereign Gold bonds which are denominated in grams of gold. Investor can purchase these bonds instead of buying physical gold and keep the same in their demat accounts. As the Gold price increases the bond selling price also shall increase and vice versa. The Sovereign Gold bonds have a maturity period of 8 years however; an investor can sell the Sovereign Gold bonds after completing the 5 year tenure if he gets any investor to purchaser these bonds in the secondary markets.
KYC documents required-
You must share your PAN card and Aadhar card copy for opening a demat account with any bank or broker. The demat account is opened with NSDL or CDSL repository and the bonds are maintained in the demat accounts.