Category: Debt Instruments
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The Truth About Inflation Indexed National Saving Securities (IINSS)
Introduction Just like stocks, mutual funds, bonds, and commodity investments, investors also use a class of debt investment called Inflation Indexed National Saving Securities (IINSS). In this blog, let us know more about these type of securities and how can it benefit the investors. But, before we move forward, let’s spare two minutes to refresh…
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What Is The Benefit Of Investing In Secured Bonds
Introduction Before we understand what is the benefit of investing in secured bonds, let’s take a quick minute to understand what are bonds / debt instruments. When a company wants to raise capital to expand its business, it has majorly two options: When the company takes loans as a means to raise capital from the…
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How Do Market Linked Debentures (MLDs) Make Returns
What are Market Linked Debentures Market-linked debentures, popularly called MLDs, are debt investment instruments. The returns on the investment are dependent on the performance of a specific market index rather than being fixed. These structured instruments typically only have one pay-out at maturity and no other monthly payments. This is because the returns earned from…
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What Is The Advantage Of Investing In A Zero Coupon Bond
What is zero coupon bond Zero Coupon Bond is a type of bond issued to the investors with zero interest rate. The edge of investing in these bond is that they are issued on a value lower than the face value of the bond. Explanation with an example Imagine you are given an opportunity to…