Invest in NCD

Issue Highlights

Credit Rating CRISIL AA-/Negative (pronounced as CRISIL double A minus rating with Negative outlook)” and “ACUITE AA/ Negative (pronounced as ACUITE double A rating with Negative outlook)
Allotment First Come First Serve Basis*

Key highlights of Issue Structure*

Frequency of Interest Payment Annual NA Monthly Annual NA Monthly Annual NA Monthly Annual
Minimum Application ₹ 10,000 (10 NCDs) across all Series
Face Value/ Issue Price of NCDs (₹/ NCD) ₹ 1,000
In Multiples of thereafter (₹) ₹ 1,000 (1 NCD)
Tenor 24 months 24 months 36 months 36 months 36 months 60 months 60 months 60 months 120 months 120 months
Coupon (% per annum) for NCD Holders in Category I, II, III & IV 8.75% NA 8.75% 9.10% NA 9.15% 9.55% NA 9.30% 9.70%
Effective Yield (per annum) for NCD Holders in Category I, II, III and IV 8.75% 8.75% 9.10% 9.09% 9.10% 9.54% 9.54% 9.55% 9.70% 9.69%
Mode of Interest Payment Through various mode available

3 Things One Should Keep in Mind While Investing in NCD

Coupon payment

The coupon rate basically determines the amount of interest rate that you are going to get per annum.

Tenure of investment

The tenure of investment basically is for 24 months which is 2 years, right up to 10 years. It is very important when you want to understand the cash flow available to you.

Rating of the instrument

The rating of the instrument basically tells you the quality of the instrument. When someone is investing in NCD, he needs to understand the paper quality that he is investing into?

Who can invest in NCD?

NCDs may be held by individuals, banking companies, Primary Dealers (PDs), other corporate bodies registered or incorporated in India and unincorporated bodies, and Foreign Institutional Investors (FIIs).

Minimum Investment Required for NCD

The minimum investment amount varies from issue to issue. Usually the minimum investment is ₹ 10,000. The maximum value under retail category is ₹ 10 Lakhs. For values over ₹.10 Lakhs bidding should be done under HNI category.

Why Invest

An opportunity to lock-in your investment at higher interest rates

Listed on open stock markets and exchanges

Can be issued by companies with good credit rating only

Issuance process is very easy and supported digitally while trading is done through Demat

Interest earned is paid by direct bank transfers