Debentures
Fixed Income Securities
Debentures are long-term debt instruments issued by companies to raise capital. They offer fixed interest payments and are backed by the general creditworthiness of the issuer rather than specific assets.
Key Features & Benefits
Debentures provide a stable income stream and are suitable for investors seeking predictable returns.
Fixed Interest Payments
Regular interest payments at predetermined rates, providing stable income.
Higher Returns
Generally offer higher interest rates compared to traditional fixed deposits.
Convertible Options
Some debentures can be converted into equity shares of the company.
Credit Rating
Rated by credit agencies, helping investors assess risk levels.
Tradability
Listed debentures can be traded on stock exchanges, offering liquidity.