What Are Bonds?
In simple words, a Bond is a contract between the lender and borrower. Or by the definition, A Bond is a Fixed Income instrument that represents a loan by an Investor to the Borrower (Company or Government). Bonds have a fixed interest payment day and fixed maturity date, on which the company repays the principal amount to the lender.
Different Types Of Bonds That Can Address Your Financial Needs
Followings are the types of the Bonds
Government Bonds
Corporate Bonds
Inflation-linked Bonds
Sovereign Gold Bonds
Convertible Bonds
RBI Bonds
Government bonds are debt securities devised and issued by the national government to support debt obligations and to raise funds for government spending. Government bonds are the best bonds to buy in India because they are low-risk investments that come with fixed-income benefits.
Reasons To Invest In Bonds And Debentures
Bonds are fixed-income securities that allow the investor to reduce the overall portfolio risk. Fixed-income corporations or government-backed securities offer attractive interest rates and steady income throughout the life of the security – till bond maturity.
Capital Protection
Both government and corporate bonds in India are designed to protect the absolute value of the investor’s investments. Because bonds are less risky than equity, it is extensively preferred by both institutional and individual investors to park their funds as well as generate consistent returns.
Get a diverse range of bonds and debentures under one umbrella
At Swyom Capital, we assist, organise, and manage the end-to-end online process of bond investment in India. We effectively manage your investments right from the start – bond selection to transfer of assets to your DEMAT account.
Why partner with
swyom capital?
Real-time Implementation
At Swyom Capital, you get best-in-class execution speed. From Notes to deal execution to transfer of funds and shares, every single process is executed in an organised manner and in the shortest period
Trust
Swyom Capital is one of the most trusted wealth management brands in India. We are featured in top media outlets.
Data And Analytics
Analysts at Swyom capital adapt to the ever-changing market demands, browse through numerous bad-to-good investment opportunities and find one that is backed by research – based on fundamental analysis.
Guaranteed Returns
We not only help you understand how to buy bonds in India but also enable you to derive better value from your bond holding with guaranteed higher fixed returns.
Assistance
Expert associates at Swyom capital provide best-in-class assistance and handhold clients through every step of the process. Additionally, we simplify the process to suit clients' needs.
Get Frequent Updates
We provide you with the latest updates on your bond holdings, interest payments, and the overall state of the bond market. We help you stay on top of the bond investments.
No Hidden Charges
At Swyom capital, transparency is one of our core values. In case of asset sale or purchase transactions, we don’t implicitly impose hidden fees and no hidden service charges to clients.
Get Right Price
Experts at Swyom Capital provide the best buy-sell quote on trades. The ever-expanding client base and trade volume allow us to provide the appropriate rate in the industry.
Premium Support
Experts at Swyom Capital are equipped to answer most of your questions - such as how to buy government bonds in India, or how to buy bonds in India. We are always here for you. We are here to help you get the most out of our services.
FAQ’s
In simple terms, a bond is a loan to a company or government. The bondholder receives a fixed rate of return over a specific timeframe. The borrower employs the capital to fund its business operations. For instance, long-term government-backed bonds historically earned around 5% in average annual returns.
Fixed income and higher returns – are advantages and a leading reason to buy bonds in India. Bond investment in India allows investors to reap potential long-term capital gains. To diversify investments and receive tangible, regular returns, the investor has the option to opt for government bonds India-based or corporate bonds in India or a mixture of debt funds. Investors can leverage price appreciations of bonds if the perceived creditworthiness of the bond’s issuer strengthens or demand exceeds.
Bonds as an asset class are ideal for investors with a medium to long-term investment horizons. Bond investment in India is not for short-term investors. It is ideal to buy bonds online and hold the investment until they mature. If the investor sells the investment early in the bond market in India, then the respective investor could lose a significant part of their investment.
There is a significant amount of risk associated with investing in bonds online if your respective investment is denominated in currencies other than your home currency (INR). In case of a significant disruption, the foreign exchange market encompassing the currency rate may slide and move sideways – causing serious trouble. A sliding currency rate means – upon maturity, the net proceeds (principal amount) may be significantly lower – especially when the amount is converted into your national currency.