Categories: BondsFixed IncomeInfrastructure BondTax SavingTaxes

SERI Tax Saving Infrastructure Bond – Details & Review

If you have still not invested in Infrastructure Bond for FY 2011 – 12, you are further spoiled for choice. SERI is latest entrant offering 8.9% – 9.15% interest per annum.

The table below gives the details of the issue:

Face Value	Rs. 1,000/- per bond
Minimum Application	Rs. 1,000/- (i.e. 1 Bond)
Issue Schedule	Issue Open Date : December 31,2011 Issue Close Date : January 31, 2012 Related Post What is Lien Amount in SBI? How to remove Lien amount in SBI? Are you worried and confused about Lien amount in SBI? Well you are not alone.… 9% Piramal Capital & Housing Finance Ltd NCD ★ July’21 ★ Should you Invest? Piramal Capital & Housing Finance, has come out with Piramal Capital & Housing Finance Ltd… 10% IIFL Home Loan NCD ★ July’21 ★ Should you Invest? IIFL Home Loan, the Housing Finance company from IIFL Group has come out with IIFL…
Options for Subscription	1	2	3	4
Frequency of Interest Payment	Annual	Cumulative	Annual	Cumulative
Coupon (% p.a.)	8.9 % p.a.	8.9 % p.a. (Annual compounding)	9.15 % p.a.	9.15 % p.a. (Annual compounding)
Maturity Amount	Rs. 1,000	Rs. 2,346.73	Rs. 1,000	Rs. 3,718.40
Tenor	10 years	10 years	15 years	15 years
Buyback option	At the end of 5 yrs+ 1 day	At the end of 5 yrs+ 1 day	At the end of 5 yrs+ 1 day	At the end of 5 yrs+ 1 day
Maturity Amount (5 Yrs Buyback)	Rs. 1,000	Rs. 1,531.58	Rs. 1,000	Rs. 1,549.54
Lock-in period	5 years from the deemed date of Allotment
Issuance & Trading	Bonds shall be issued both in dematerialised form and physical form. However, trading allowed only in dematerialised mode after the expiry of Lock-in Period of 5 yearsWould be listed on BSE only

The returns of SERI Infrastructure Bond is comparable to REC & IFCI Infra bonds and you have an option to invest in any of the three. But still I would prefer Government backed companies – REC & IFCI given that everything else is same.

You can read about yields and other details about infrastructure bonds here.

Amit

Hi Readers! I am Amit, the mind behind Apnaplan.com I am MBA from NITIE, Mumbai and BIT from Delhi University. This blog is my online diary where I write about my tryst with my investment decisions. In the 400+ posts on this blog you will find articles on Personal Financial Planning, Investments, Retirement Planning, Insurance, Loans, Fixed Deposits, Provident Funds, Stock Markets, Gold, Silver, Real Estate Investment, Credit Cards, Credit Score, Taxation, Inheritance Planning and Reviews on various Financial Products.