Debentures are long-term financial instruments which acknowledge a debt obligation towards the issuer. These are used by companies to raise long term funds through a public issue. NCDs get listed on the stock market and can be trade don’t he exchanges. Debentures are of two type convertible and non-convertible debentures. Convertible debentures: Debentures which have a feature of convertibility into shares after a certain point of time at the discretion of the owner are called convertible debentures. Non-Convertible debentures: Debentures which can’t be converted into shares after a certain point of time at the discretion of the owner are called convertible debentures.

Why to Invest in NCDs?

Non-convertible debentures are used as tools to raise long-term funds by companies through a public issue. To compensate for this drawback of non-convertibility, lenders are usually given a higher rate of return compared to convertible debentures. Besides, NCDs offer various other benefits to the owner such as high liquidity through stock market listing, tax exemptions at source and safety since they can be issued by companies which have a good credit rating as specified in the norms laid down by RBI for the issue of NCDs. In India, usually these have to be issued of a minimum maturity of 90 days.

Predictable Results

Bonds offer a predictable stream of payments by way of interest and repayment of principal

Higher returns

Bonds generally give higher returns than other fixed income instruments like fixed deposits

Portfolio Diversification

Bonds enable wide-based and efficient portfolio diversification and thus assist in portfolio risk-mitigation

Regular income

Many bonds have interest payout frequency of monthly, quarterly, half-yearly and annual giving a regular income to investors

NCD’s Offered By Us

Sr.no	Issuer	Rating	Coupon	Maturity Date

How can I buy NCD?

KYC ( Online or Offline )

Online KYC: You will be provided a link for online KYC. Kindly keep the following documents ready (All images less than 1024KB)

Pan Card (both First page and Address page)
Address Proof – any of the following documents

Aadhaar Card
Passport (both First page and Address page)
Driving License or
Latest Utility Bill (not more than 2 months old) or
Registered Lease Agreement or Sale Agreement)

Bank Account Proof (A clear scan photo of the Cancelled Cheque reflecting your name, bank name, branch name, bank account number and IFSC code)
Demat Account Proof (A clear scan photo of Client Master List or Holding or Demat Statement or Consolidated Statement reflecting your name, Depository Name, DP Name, DPID/Client ID)
Latest Passport Size Color Photograph

Offline KYC: You will be provided a link for online KYC. Kindly keep the following documents ready (All images less than 1024KB)

Mandate

Decide about the bond(s) and amount you want to invest and give us the mandate to block the quantum. This may take a day or two.

Payment

You will be provided a payment link through which you have to make the payment. Once payment is done the bonds will get reflected in your demat account in 3-4 working days.