Fixed income products are ideal for individuals seeking steady returns with minimal risk. These instruments offer predictable income through interest payouts and are often preferred by conservative investors looking to preserve capital while earning fixed returns over time.

What is Fixed Income?

Fixed income refers to investment instruments that provide regular interest payments and return the principal at maturity. The two most commonly offered fixed income options are Fixed Deposits (FDs) and Non-Convertible Debentures (NCDs). These are structured to provide financial stability and are suitable for short-term and long-term goals.

Types of Fixed Income Products

Fixed Deposits (FDs)

• Offered by banks and financial institutions.
• Provide a fixed interest rate for a chosen tenure.
• Available with flexible terms and premature withdrawal options.

Non-Convertible Debentures (NCDs)

• Issued by companies to raise capital.
• Cannot be converted into shares.
• Generally offer higher interest rates than FDs and are available in secured or unsecured formats.

Features of Fixed Income Products

• Assured Returns: Earn a fixed rate of return, irrespective of market fluctuations.
• Capital Protection: Designed to safeguard your initial investment amount.
• Periodic Interest Payouts: Option to receive interest monthly, quarterly, or at maturity.
• Flexible Tenure Options: Choose investment durations based on your financial needs.
• Low Risk Profile: Suitable for risk-averse individuals or those planning for retirement or short-term goals.
• Rating Transparency (For NCDs): Credit ratings available to help assess issuer credibility and investment risk.

Conclusion

Fixed income options like FDs and NCDs offer a simple and secure way to earn regular income while keeping your capital intact. Whether you're planning for stability, diversification, or passive income, these products can support your goals effectively.

Interested in secure returns with peace of mind?