Invest in Corporate Fixed Deposits

Corporate_fixed_deposits_NCDWith rising interest rates and volatile market investors are looking for save heavens. And the most popular instrument is Bank Fixed Deposits. But with rising interest rate coupled with tougher loan criteria from banks, companies have come out with attractive fixed deposit schemes with attractive interest rates. These are also known as Corporate fixed deposits and non-convertible debentures (NCDs).

A word of caution – the returns seems attractive but these investments are usually more riskier than bank fixed deposits and there have been several instances of default by companies in the past in India. So a due diligence on rating and past records is advised.

Below is a list of companies with their rating and interest rate offered for different tenures.

Company NameRatingInterest rate for 6 MonthsInterest rate for 1 YearInterest rate for 2 YearsInterest rate for 3 YearsInterest rate for 5 YearsAdditional Interest for Senior Citizens
Alembic Pharmaceuticals Ltd9.50%9.00%9.00%
Ansal Housing & Constructions Ltd10.00%11.00%11.00%11.50%
Ansal Properties & Infrastructure Ltd11.50%12.00%12.25%12.50%
Apollo Hospitals Enterprises Ltd9.00%9.25%9.50%
Canfin Homes LtdICRA-MAA+9.75%9.75%9.50%8.50%0.50% (upto 1 cr)
DHFL Aashray Deposit Scheme 365 DaysCARE-AA+; BWR-FAAA11.00%
DHFL Aashray Deposit SchemeCare AA+; BWR FAAA10.75% (400 Days)0.50%
DHFL-Aashray Deposit PlusCARE-AA+; BWR-FAAA10.50%10.50%10.50%10.50%0.50%
DHFL-Swayam Sidha Deposit 10.50% (500 Days)0.50%
Elder Pharmaceuticals Limited10.00%11.00%12.00%0.50%
Exim Bank of IndiaCRISIL-FAAA; ICRA-MAAA; FITCH- TAAA9.25%9.25%9.25%9.00%0.50%
Fenner (India) Ltd9.00%9.25%9.50%
Gabriel India Limited9.00%9.50%10.00%
GATI Ltd10.00%10.50%11.00%
HDFC LtdCRISIL-FAAA; ICRA-MAAA9.50%9.65%9.75%9.50%0.25%
HDFC Ltd-PLATINUM DEPOSITCRISIL-FAAA; ICRA-MAAA10.00% (15 Months)10.00% (33 Months)0.25%
HUDCOFITCH-TAAA; CARE-AA+9.40%9.40%9.10%9.10%0.25%
ICICI Home FinanceICRA-MAAACARE-AAA8.25%8.75%8.75%8.50%0.25%
J.K Laxmi Cement Ltd9.00%9.25%9.50%
J.K.Tyre & Industries Ltd9.00%9.25%9.50%0.50%
Jaiprakash Associates Ltd11.50%11.75%12.25%12.50%
Jaypee Infratech Limited11.50%11.75%12.25%12.50%
JK Paper Ltd8.50%9.00%9.50%
Kerala Transport Development Finance Corporation Limited10.25%10.25%10.25%10.00%0.25%
LIC Housing Finance LtdCRISIL- FAAA9.00%9.25%9.50%9.50%0.10% upto Rs. 50,000 and 0.25% for above Rs. 50,000
Mahindra and Mahindra Financial Services Ltd9.50%10.25%10.50%10.00%
NTPC LimitedCRISIL-FAAA7.50%7.75%8.00%
OCL Limited7.50%8.00%8.00%
Plethico Pharmaceuticals Limited11.00%11.50%12.00%0.50%
PNB Housing Finance LtdCRISIL – FAAA9.50%9.50%9.75%9.75%0.50%
Premier Ltd11.00%11.50%0.50%
Shriram Transport Finance UNNATI SchemeCRISIL-FAA+; ICRA-MAA+9.25%9.75%10.75%10.75%
SIDBICRISIL-FAAA; CARE-AAA9.50%9.25%9.25%9.00%0.50%
TN Power Finance & Infrastructure Dev Corp. Ltd9.25%9.50%10.00%10.00%0.25% upto 2 years and 0.50% for 3 years & above
United Spirits Limited11.00%11.50%

Note: All care has been taken that the above information is accurate. However you are advised to consult your financial advisor or respective companies before you make an investment.

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