Investing in the right financial instruments is crucial to secure your future. With numerous investment options available in the market, it becomes challenging to choose the one that suits your financial goals and risk appetite. Navi Finserv NCD Bonds are one such investment option that promises high returns with relatively low risk.
In this comprehensive guide, we will discuss everything you need to know about Navi Finserv NCD Bonds to make an informed investment decision.
What are Navi Finserv NCD Bonds?
Non-Convertible Debentures (NCDs) are fixed-income instruments that offer a predetermined interest rate to investors. Navi Finserv, a leading financial services company, offers NCD Bonds to investors seeking a regular income source. These bonds come with a fixed tenure, and the interest rate remains constant throughout the tenure.
What are the features of Navi Finserv NCD Bonds?
High-Interest Rate: Navi Finserv NCD Bonds offer an attractive interest rate of up to 8.35% per annum, which is much higher than traditional investment options such as Fixed Deposits.
Credit Rating: The NCD Bonds issued by Navi Finserv have been rated CARE AAA and BWR AAA by CARE Ratings and Brickwork Ratings, respectively. These ratings indicate that the bonds are safe and have high creditworthiness.
Tenure: The tenure of the Navi Finserv NCD Bonds ranges from 24 months to 120 months, giving investors the flexibility to choose the tenure that suits their investment goals.
Nomination Facility: Navi Finserv offers the nomination facility to its investors, ensuring that the investment is passed on to the nominee in case of the investor's unfortunate demise.
Tax Benefits: Navi Finserv NCD Bonds offer tax benefits under Section 80C of the Income Tax Act, 1961, making it an attractive investment option for investors seeking tax benefits.
Liquidity: The NCD Bonds issued by Navi Finserv are listed on the stock exchanges, making them easy to buy and sell. Additionally, the company offers a buyback facility to investors, ensuring liquidity.
How to invest in Navi Finserv NCD Bonds?
Investing in Navi Finserv NCD Bonds is a straightforward process. Investors can invest in these bonds through a demat account or physical form. To invest in NCD Bonds through a demat account, follow the below-mentioned steps:
Open a demat account with a registered stockbroker.
Check the eligibility criteria for investing in Navi Finserv NCD Bonds.
Fill out the application form online and upload the necessary documents.
Make the payment through net banking or UPI.
Investors can also invest in Navi Finserv NCD Bonds through the physical form by following the below-mentioned steps:
Download the application form from the Navi Finserv website.
Fill the form and attach the necessary documents.
Make the payment through a cheque or demand draft.
Conclusion:
Investing in Navi NCD Bonds can be a profitable investment option for investors seeking a regular income source with relatively low risk. The high credit rating, attractive interest rate, and tax benefits make it an ideal investment option. However, investors must understand the risks associated with investing in fixed-income instruments and make an informed decision.