{"id":9317,"date":"2018-04-22T09:07:20","date_gmt":"2018-04-22T03:37:20","guid":{"rendered":"https:\/\/www.apnaplan.com\/?p=9317"},"modified":"2018-04-22T09:07:20","modified_gmt":"2018-04-22T03:37:20","slug":"srei-equipment-finance-ncd-april18","status":"publish","type":"post","link":"https:\/\/www.apnaplan.com\/srei-equipment-finance-ncd-april18\/","title":{"rendered":"9.60% SREI Equipment Finance NCD &#8211; April\/May&#8217;18 \u2013 Should you Invest?"},"content":{"rendered":"<p style=\"text-align: justify;\"><strong>SREI Equipment Finance<\/strong> has come out with public issue of non-convertible debentures (NCD) offering up to 9.60% interest rate. The issue opens on April 25 and closes on May 16, 2018.<\/p>\n<p style=\"text-align: justify;\">SREI Equipment Finance is joint venture of SREI and BNP Paribas and deals with financing of Infrastructure equipment in organized sector.<\/p>\n<h2 style=\"text-align: justify;\">SREI Equipment Finance NCD \u2013 Significant Points:<\/h2>\n<ul style=\"text-align: justify;\">\n<li><strong>Offer Period:<\/strong>\u00a0April 25 to May 16, 2018<\/li>\n<li><strong>Annual Interest Rates for Retail Investors:<\/strong>\u00a08.50% to 9.60% depending on tenure<\/li>\n<li><strong>Price of each bond:<\/strong> Rs 1,000<\/li>\n<li><strong>Minimum Investment:<\/strong> 10 Bonds (Rs 10,000)<\/li>\n<li><strong>Max Investment Limit<\/strong> for Retail Investor: Rs 10 Lakhs<\/li>\n<li><strong>Credit Rating:<\/strong> \u201cBWR AA+\u201d (BWR Double A Plus) (Outlook: Stable) and \u201cSMERA AA+\/Stable\u2019 (SMERA Double A plus\/Stable)\u201d<\/li>\n<li><strong>NCD Size:<\/strong> Rs 500 crore with option to retain over-subscription upto\u00a0Rs 1000 crore<\/li>\n<li><strong>Allotment:<\/strong> First Come First Serve<\/li>\n<li><strong>Listing:<\/strong> Bonds would be listed on BSE and will entail capital gains tax on exit through secondary market<\/li>\n<\/ul>\n<blockquote><p><strong>Also Read<\/strong> \u2013 <a href=\"http:\/\/www.apnaplan.com\/know-ncd-investment-tips-tds-and-taxation\/\">Know NCD \u2013 Investment Tips, TDS and Taxation<\/a><\/p><\/blockquote>\n<h2 style=\"text-align: justify;\">SREI Equipment NCD &#8211; Investment Options:<\/h2>\n<p style=\"text-align: justify;\">There are 11 options of investment in SREI Equipment Finance NCD.<\/p>\n<figure id=\"attachment_9318\" aria-describedby=\"caption-attachment-9318\" style=\"width: 757px\" class=\"wp-caption aligncenter\"><img loading=\"lazy\" decoding=\"async\" class=\"size-large wp-image-9318\" src=\"https:\/\/www.apnaplan.com\/wp-content\/uploads\/2018\/04\/SREI-Equipment-Finance-NCD-April-2018-Investment-Options-1024x523.png\" alt=\"SREI Equipment Finance NCD - April 2018 - Investment OptionsSREI Equipment Finance NCD - April 2018 - Investment Options\" width=\"757\" height=\"387\" title=\"\" srcset=\"https:\/\/www.apnaplan.com\/wp-content\/uploads\/2018\/04\/SREI-Equipment-Finance-NCD-April-2018-Investment-Options-1024x523.png 1024w, https:\/\/www.apnaplan.com\/wp-content\/uploads\/2018\/04\/SREI-Equipment-Finance-NCD-April-2018-Investment-Options-300x153.png 300w, https:\/\/www.apnaplan.com\/wp-content\/uploads\/2018\/04\/SREI-Equipment-Finance-NCD-April-2018-Investment-Options-768x393.png 768w, https:\/\/www.apnaplan.com\/wp-content\/uploads\/2018\/04\/SREI-Equipment-Finance-NCD-April-2018-Investment-Options.png 1207w\" sizes=\"(max-width: 757px) 100vw, 757px\" \/><figcaption id=\"caption-attachment-9318\" class=\"wp-caption-text\"><strong>SREI Equipment Finance NCD &#8211; April 2018 &#8211; Investment Options<\/strong><\/figcaption><\/figure>\n<blockquote><p><strong>Also Read:<\/strong>\u00a0<a href=\"http:\/\/www.apnaplan.com\/tax-free-incomes-investments\/\">25 Tax Free Incomes &amp; Investments in India<\/a><\/p><\/blockquote>\n<h2 style=\"text-align: justify;\">SREI Equipment Finance NCD &#8211; Who can Apply?<\/h2>\n<p style=\"text-align: justify;\">This issue is open to all Indian residents, HUFs and Institutions.<\/p>\n<ul style=\"text-align: justify;\">\n<li>Category I \u2013 Institutional Investors \u2013 20% of the issue is reserved<\/li>\n<li>Category II \u2013 Non-Institutional Investors, Corporates \u2013 20% of the issue is reserved<\/li>\n<li>Category III \u2013 Retail Individual Investors including HUFs \u2013 60% of the issue is reserved<\/li>\n<\/ul>\n<p style=\"text-align: justify;\">Only Category III Investors can apply for allotment of NCDs in the physical form for Series IV, Series VII\u00a0and Series X NCDs.\u00a0However, Series I, Series II, Series III, Series V, Series VI, Series VIII, Series IX and Series XI NCDs\u00a0would be allotted compulsorily in dematerialized form to all categories of Investors.<\/p>\n<p style=\"text-align: justify;\"><strong>NRIs cannot apply for this NCD.<\/strong><\/p>\n<h2 style=\"text-align: justify;\">Why you should invest?<\/h2>\n<ol style=\"text-align: justify;\">\n<li>AA+ Credit rating means very less likely hood of credit default<\/li>\n<li>Part of well known conglomerate &#8211; SREI<\/li>\n<li>The <a href=\"http:\/\/www.apnaplan.com\/highest-interest-rate-on-bank-fixed-deposits-fd\/\">interest rates are 2% higher than your regular Bank FDs<\/a><\/li>\n<li>No TDS if invested in Demat Form<\/li>\n<\/ol>\n<blockquote><p>Also Read:\u00a0<a href=\"http:\/\/www.apnaplan.com\/highest-interest-rate-on-recurring-deposits-rd\/\">Highest Interest Rate on Recurring Deposits<\/a><\/p><\/blockquote>\n<h2 style=\"text-align: justify;\">Why you should not invest?<\/h2>\n<ol style=\"text-align: justify;\">\n<li>The interest rates trend is rising. In last two months <a href=\"https:\/\/www.apnaplan.com\/sbi-recurring-deposit-features-interest-rate-jan-2013\/\">SBI has raised its interest rate on fixed deposit by 0.75%<\/a>. It seems like the interest rates would go up more in near future. Hence should not lock your investment for long term.<\/li>\n<li>The profits of the company declined as compared to the previous year<\/li>\n<li>There are NCDs available in secondary market which have higher yields with similar rating. The problem is low liquidity and hence is difficult to buy in large numbers.<\/li>\n<li>The present <a href=\"http:\/\/www.apnaplan.com\/category\/fixed-income\/bonds\/tax-free-bond\/\">Tax Free Bonds<\/a> are offering yields up to 6.5% in secondary market, which is better investment for People in highest tax bracket.<\/li>\n<li>You can also invest in\u00a0<a href=\"http:\/\/www.apnaplan.com\/company-fixed-deposit\/\">high rated company fixed deposits<\/a><\/li>\n<\/ol>\n<h2 style=\"text-align: justify;\">How to Apply?<\/h2>\n<p style=\"text-align: justify;\">You can apply online by ASBA facility provided by banks. It\u2019s the easiest way to apply and also avoids a lot of hassle in terms of KYC and paper work.<\/p>\n<blockquote><p><strong>Learn:\u00a0<\/strong><a href=\"http:\/\/www.apnaplan.com\/ipo-asba\/\">How to apply for NCD issues using ASBA?<\/a><\/p><\/blockquote>\n<p style=\"text-align: justify;\">In case you don&#8217;t want to do it online, you can <a href=\"http:\/\/www.sreibonds.com\/non-convertible-debentures-ncds\" target=\"_blank\" rel=\"noopener\">download the application form from company site<\/a> or Financial Institutions and submit to collection centers.<\/p>\n<figure id=\"attachment_9319\" aria-describedby=\"caption-attachment-9319\" style=\"width: 997px\" class=\"wp-caption aligncenter\"><img loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-9319\" src=\"https:\/\/www.apnaplan.com\/wp-content\/uploads\/2018\/04\/SREI-Equipment-Finance-NCD-\u2013-April-2018.png\" alt=\"SREI Equipment Finance NCD \u2013 April 2018\" width=\"997\" height=\"540\" title=\"\" srcset=\"https:\/\/www.apnaplan.com\/wp-content\/uploads\/2018\/04\/SREI-Equipment-Finance-NCD-\u2013-April-2018.png 997w, https:\/\/www.apnaplan.com\/wp-content\/uploads\/2018\/04\/SREI-Equipment-Finance-NCD-\u2013-April-2018-300x162.png 300w, https:\/\/www.apnaplan.com\/wp-content\/uploads\/2018\/04\/SREI-Equipment-Finance-NCD-\u2013-April-2018-768x416.png 768w\" sizes=\"(max-width: 997px) 100vw, 997px\" \/><figcaption id=\"caption-attachment-9319\" class=\"wp-caption-text\"><strong>SREI Equipment Finance NCD \u2013 April 2018<\/strong><\/figcaption><\/figure>\n<h2 style=\"text-align: justify;\">Recommendation:<\/h2>\n<ol style=\"text-align: justify;\">\n<li>My recommendation is to<strong> invest some part of your Fixed Income investment in this NCD Issue<\/strong><\/li>\n<li>You should always <strong>have diversified portfolio<\/strong> be it fixed deposit, NCD or equity investment<\/li>\n<li>Its good idea to <strong>remain invested till maturity<\/strong> because liquidity on exchanges are low and hence you would get lower than market value<\/li>\n<\/ol>\n<p style=\"text-align: justify;\"><strong>If you plan to invest in this issue, do it early as most good NCD issues are over-subscribed before the end date.<\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>SREI Equipment Finance has come out with public issue of non-convertible debentures (NCD) offering up to 9.60% interest rate. The issue opens on April 25 and closes on May 16, 2018. SREI Equipment Finance is joint venture of SREI and BNP Paribas and deals with financing of Infrastructure equipment in organized sector. SREI Equipment Finance [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":9319,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_uag_custom_page_level_css":"","site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""}},"footnotes":""},"categories":[31,30,194],"tags":[2755,2756,2757],"uagb_featured_image_src":{"full":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2018\/04\/SREI-Equipment-Finance-NCD-\u2013-April-2018.png",997,540,false],"thumbnail":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2018\/04\/SREI-Equipment-Finance-NCD-\u2013-April-2018-150x150.png",150,150,true],"medium":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2018\/04\/SREI-Equipment-Finance-NCD-\u2013-April-2018-300x162.png",300,162,true],"medium_large":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2018\/04\/SREI-Equipment-Finance-NCD-\u2013-April-2018-768x416.png",768,416,true],"large":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2018\/04\/SREI-Equipment-Finance-NCD-\u2013-April-2018.png",997,540,false],"1536x1536":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2018\/04\/SREI-Equipment-Finance-NCD-\u2013-April-2018.png",997,540,false],"2048x2048":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2018\/04\/SREI-Equipment-Finance-NCD-\u2013-April-2018.png",997,540,false],"yarpp-thumbnail":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2018\/04\/SREI-Equipment-Finance-NCD-\u2013-April-2018.png",120,65,false]},"uagb_author_info":{"display_name":"Amit","author_link":"https:\/\/www.apnaplan.com\/author\/admin\/"},"uagb_comment_info":0,"uagb_excerpt":"SREI Equipment Finance has come out with public issue of non-convertible debentures (NCD) offering up to 9.60% interest rate. The issue opens on April 25 and closes on May 16, 2018. SREI Equipment Finance is joint venture of SREI and BNP Paribas and deals with financing of Infrastructure equipment in organized sector. SREI Equipment Finance&hellip;","_links":{"self":[{"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/posts\/9317"}],"collection":[{"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/comments?post=9317"}],"version-history":[{"count":0,"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/posts\/9317\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/media\/9319"}],"wp:attachment":[{"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/media?parent=9317"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/categories?post=9317"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/tags?post=9317"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}