Hello, Does anyone have an opinion on the platform india bonds? Is it safe and it is recommended
Investing through them from quite some time no issues…
Absolutely safe and reliable. The whole process is very transparent and you will be assigned a dedicated representative from India Bonds till the whole transaction is settled. Their platform is very intuitive and informative. Also note that, you actually do not pay any amounts to them directly. The money is transferred to the beneficiary account for the bonds that you intend to buy (eg. Indian clearing corporation ltd or others). So it is very very safe. Hope this helps.
Discl: I have been using India Bonds for quite sometime.
Tip: Whatever bond that you intend to buy, always negotiate hard for a better deal. Compare the bond price with other bond platforms too before finalizing the deal (eg. The Fixed Income, Goldenpi, Bondsindia etc.)
So we can negotiate a deal for the price? Are not the bonds come with a fixed coupon rate, which is nonnegotiable, and such websites are platforms which list the bonds, catering to retail investors?
And if we have a chance to negotiate, does that imply that we have to study about the bond’s issuer, their business, their credit rating etc? Sounds more or less like investing in a company.
And all this work is to gain a 1.5-2% more return, which when associated with a big capital is a considerable, so opting for direct purchasing of bonds is beneficial rather than going the debt MF, SDL, state/central owned companies, or sovereign bond route, along with buying when the interest rates are high?
Yes coupon rate is fixed and non-negotiable. When I say compare bond price across platforms, I meant negotiate hard on the yield (Yield to maturity) when one is buying bonds from the secondary market via these platforms. Each platform will quote different yields and go for the one which offers the highest yield. This is where you can negotiate hard by telling them you are getting so and so yield from x platform. Buying IPO bonds is an easy part, as they are sold at par and there is nothing to negotiate.
Discl: I always buy state government secured and guaranteed bonds that offer higher YTM.
Can a retail investor buy an NCD offered on private placement? If yes how?