Blogs
Considering Portfolio Diversification: Don’t forget to add Bonds!
Reasons to Diversify your Portfolio with Bonds “Buy all, I want them all,” an ecstatic Monty told his broker over the phone. On the advice of a ‘fin-fluencer,’ he invested all of his pocket money in pharma stocks, believing that the sector would rally post-covid. Observing this incident brought back memories of his time in the US […]
How To Calculate Bond Yield Online?
Return on investment is one of the key drivers for your investment decision. In the case of bond investment, bond yield represents your return on investment. It is the percentage return on a bond investment and is represented as the ratio of the annual coupon payments to the bond’s current market price. The higher the […]
Why Invest In Bonds?
Introduction Over the past two years, India’s investment market has seen a sharp rise in the number of retail investors beginning to populate their portfolios. There has been an influx of liquidity into India’s financial markets, including equities, derivatives and commodities. However, not all financial instruments are made the same. Equities with higher returns are […]
What are RBI Floating Rate Saving Bonds?
Introduction The Government borrows funds from the public to finance its various economic and developmental activities. This borrowing takes the form of bonds. The Government issues bonds to the public at a guaranteed interest rate. When the public invests in these bonds, they lend money to the government and earn guaranteed investment returns. There are […]
What Is A Perpetual Bond
Introduction Bonds can be issued by corporations or governments to serve as a source of financing. Those that buy bonds are effectively providing the issuers with a loan. In this case, the issuer promises the bond purchaser periodic interest payments in exchange for the loans. A bond’s maturity date is when your investment will be […]
Difference between Coupon Rate and Bond Yield
Coupon Rate Vs Bond Yield: What are the Differences? The coupon rate and bond yield are important concepts associated with bonds. If you want to invest in bonds, you should know about the bond coupon, bond yield, bond investment return, and the major differences between coupon rate and bond yield (Coupon Vs Yield). A coupon […]
Factors Affecting Bond Prices
A bond can be viewed as a debt security issued by a company or governments to finance their capital expenditures and fund growth projects. Simply put, it is a form of loan taken by corporations or governments. Bonds usually offer regular and fixed returns, which make them one of the most stable investment options in […]
What is Bond Yield?
Introduction Investors prefer having at least one debt-based investment to give their portfolio a hedge against equity market fluctuations. One such investment option, bonds, is considered a relatively safe form of investment. Investors who are slightly risk-averse and are satisfied by getting lower returns usually prefer bonds to those who prefer high returns with unknown […]
10 Things To Keep In Mind When Buying A Bond
Bonds are a great way to invest your money and earn some extra income, but how does one choose the right bonds that can help maximize returns? What are some key factors one should keep in mind while investing in bonds? This blog post will explore ten things you should consider before purchasing a bond. […]