How to Invest in Corporate Bonds in India
Putting money into corporate bonds has turned into a strategic move for Indian investors seeking to spread their investments and earn stable returns. Thanks to contemporary platforms like Aspero’s bond investing portal, the process is now more accessible, transparent, and user-friendly.
What Are Corporate Bonds
Corporate bonds are debt securities issued by businesses use to fund their operations. Investors loan capital to firms and, in return, earn periodic interest payments until the bond matures. These differ from government bonds and often offer higher returns due to the additional credit risk present.
Why Consider Investing in Corporate Bonds
1. Attractive Yields: Many premium-yield corporate bonds provide higher interest rates than fixed deposits or public sector instruments.
2. Regular Income: Bonds provide fixed returns through interest, suiting income-focused investors.
3. Tailored Risk Profiles: By choosing secured and investment-grade corporate bonds, investors can align their risk appetite to suitable bond products.
4. Capital Preservation: For conservative investors, highly rated bonds from NBFCs and other industries can be a secure option.
Steps to Invest in Corporate Bonds
1. Choose a Reliable Portal
Start by visiting Aspero’s bond investment section, which offers a curated marketplace of corporate and government bonds.
2. Complete KYC Verification
On Aspero, the onboarding process is secure and seamless. Complete your Know Your Customer (KYC) requirements to begin investing.
3. Filter and Pick the Best Options
You can explore a wide range of listed bonds by narrowing down for maturity, coupon rate, issuer type, and risk level. Compare returns and ratings for each bond.
4. Make Your Investment
After selecting your preferred bond, complete the How to Buy Municipal Bonds in India? investment through Aspero’s secure payment gateway. The bonds are transferred to your demat account.
5. Monitor Your Investments
Use your Aspero dashboard to track interest payouts, maturity timelines, and overall performance.
Important Considerations
1. Company Reliability: Check the company’s credit rating before investing. For low-risk investments, stick to AAA – A rated corporate bonds.
2. Interest Rate Sensitivity: Bonds are sensitive to market rate changes, which can influence resale value.
3. Exit Options: Check if the bond is listed and actively traded for easier exit.
4. Tax Planning: Interest income is taxable. Aspero’s blog offers tips for tax-efficient planning.
Conclusion
With the proper knowledge and tools, investing in corporate bonds is not only accessible but potentially lucrative. Platforms like Aspero simplify every step — from discovery to execution — making bond investment approachable for both retail and HNI investors.
Whether you're looking to explore secured bonds, build a stable income stream, or broaden your portfolio, Aspero’s bond investment platform is your one-stop solution.