Before you invest, check the investment options. The debt investment products which can give best returns are available here,
Corporate deposits can give better returns as they reach out to people offering best returns to attract money for their financing requirements.
In the current scenario, corporate fixed deposits can give better returns. You can buy a fixed deposit from a credit rating company so that you get to know credibility before buying. Credit rating is provided by credit rating agencies considering all the company’s analysis of their finances and future projections of revenue growth.
Government issued bonds mainly in Rural Electrification Corporation Limited (REC) and National Highways Authority of India (NHAI) can be bought.Interest rates mainly will be tax free. Capital gains can be invested in these bonds.
Another option for the companies to raise funds is to issue NCD which is secured or non-secured. Secured NCD: Collateral is provided by the company, meaning if they are unable to repay the amount, companies collateral will be redeemed against the investments. Non secured NCD: If the company is not giving any collateral it is mentioned as “Non secured” and credit rating will be poor for such NCD’s. Both secured and Non secured will be credit rated by credit rating agencies. CARE, CRISIL are some of the credit rating agencies.