Home    /    Bonds    /    Market linked Debenture

Bonsindia
Bonsindia

What are Market Linked Debentures (MLDs)?

Average returns0%

Average Yield8.90%

Min. Investment₹1,00,0000

What are Market Linked Debentures (MLDs)?

Market Linked Debentures or MLDS can be stated simply as debt securities where the return on investment the investor gets totally depends upon the market index’s performance.

Market Linked Debentures are basically fixed-income structured products that give no periodic coupons but pay only at maturity.

Best Market Linked Debentures (MLDs) for your investment

Top Bonds

Coupon(%):

Rating:

Yield(%):

NUVAMA WEALTH FINANCE LTD

NUVAMA WEA...
INE918K07IR8

Price
₹ 1,000,000

Coupon
0%

Rating
AA-

Yield
20%

KANAKADURGA FINANCE LIMITED

KANAKADURG...
INE104W07146

Price
₹ 1,000,000

Coupon
0%

Rating
BBB

Yield
13.5%

MUTHOOT CAPITAL SERVICES LIMITED

MUTHOOT CA...
INE296G08018

Price
₹ 1,000,000

Coupon
0%

Rating
A+

Yield
13.38%

SATYA MICROCAPITAL LIMITED

SATYA MICR...
INE982X07309

Price
₹ 1,000,000

Coupon
0%

Rating
A-

Yield
12.85%

AVANSE FINANCIAL SERVICES LIMITED

AVANSE FIN...
INE087P07238

Price
₹ 1,000,000

Coupon
0%

Rating
A+

Yield
12.38%

Best Market Linked Debentures (MLDs) for your investment

Coupon(%):
All BondsIndia

Rating:
All  BondsIndia

Yield(%):
All  BondsIndia

NUVAMA WEALTH FINANC...
INE918K07IR8

Price
1,000,000

Coupon
0%

Yield
20%

Rating
AA-

KANAKADURGA FINANCE ...
INE104W07146

Price
1,000,000

Coupon
0%

Yield
13.5%

Rating
BBB

MUTHOOT CAPITAL SERV...
INE296G08018

Price
1,000,000

Coupon
0%

Yield
13.38%

Rating
A+

SATYA MICROCAPITAL L...
INE982X07309

Price
1,000,000

Coupon
0%

Yield
12.85%

Rating
A-

AVANSE FINANCIAL SER...
INE087P07238

Price
1,000,000

Coupon
0%

Yield
12.38%

Rating
A+

Types of Market-Linked Debentures

market-linked debentures (PP-MLDs) is a structured financial instruments offering a blended product of fixed-income and market-linked returns and guaranteeing the payback of the principal amount at the time of maturity. These are popular mld investment options for risk-averse investors. These investors aim to protect their principal amount invested and are ready to get a comparatively lower interest rate than other market-linked debentures.

are the debentures in which the investor will not get the principal amount he invested while buying it because the issuer company clearly works as per the conditions that at the time of adverse market conditions, the company is not liable to pay to its investor even the principal amount.

  • Market Linked Debentures are generally issued for a tenure ranging from 13 months to 60 months. Market Linked Debentures (MLDs) are debt instruments wherein the investors are generally sophisticated investors as this product is complex and has a high investment value.
  • MLDs come with a Capital Protection feature wherein here it is guaranteed that you will get back at least the principal amount on maturity, even if the movement in the other market is severely adverse i.e., your downside is protected because in the worst case, you will get zero return but will get your investment amount back. On the other hand, if the movement in the other market is favorable, you will get commensurate returns.
  • The ticket size of MLDs generally is Rs. 25 lahks or more. MLDS unlike binds do not pay regular fixed income. It pays the income only on maturity. It provides investors falling in the HNI category to invest in customized product.
  • Bonds and debentures - Investors are found looking for bonds and debentures. It is a good idea to have a mix asset in your portfolio to minimize risks and increase returns.
  • A percentage of investment in bonds and debentures can be a good choice for risk-averse individuals. Generally, a widely traded asset is chosen as the underlying asset so that it is not easy to manipulate
  • NCD investment – your decision related to NCD investment can prove fruitful incase you choose the issuer having good credit ratings. The level of risk is high in unsecured Non-Convertible Debentures (NCDs).
  • As an individual it is better to seek Expert Advice at BondsIndia prior to NCD investment and investment in other securities.
Why invest in BondsIndia?
BondsIndia

Price Discovery
Real Time

BondsIndia

Seamless Digital KYC
100%

BondsIndia

Assured Transaction
Real Time

INVEST NOW

Get a call back from us!

How to Invest in Market Linked Debentures

Investment in Bonds can be done in a few easy steps with Quick KYC, Bond Selection and a convenient payment gateway.

BondsIndia

1

Complete your KYC

Click Here
BondsIndia

2

Select your Bond

Click Here

3

Make Investment

Click Here
BondsIndia
1Complete your KYC
Click Here
BondsIndia
2Select your Bond
Click Here
3Make Investment
Click Here

Transaction securely processed Via Exchange

Each transaction undergoes processing through BSE, NSE and RFQ exchanges with settlement facilitated by ICCL & NSCCL – both regulated by SEBI, ensuring a secure, risk-free, and fully protected financial transaction.

BondsIndia
BondsIndia
BondsIndia
 

Our Valuable Partners

We are grateful for the invaluable partnerships we have, That is built on trust, mutual support, and shared success. – (Time being)

         



BondsIndia
BondsIndia
BondsIndia

“Experience an efficient sales process that is strengthened by adherence to regulatory standards and the unwavering support of our trusted partners, ensuring a seamless and reliable journey for our valued customers. “

Features of Market Linked Debentures
  • Risk – Risk is associated with the market linked debentures as the return calculated on the investment is highly dependent on the underlying market index. Resulting if the market couldn’t perform well, then the investor may not earn interest.
  • Credit Risk of Issuer – For any debt instrument, either (PP-MLD) or (NPP-MLD), the amount of risk, whether higher or lower, is associated from the issuer’s end. While investing, an investor should calculate the creditworthiness of the company.
  • Liquidity – MLDs are not as liquid as other debt instruments like bonds because they don’t have any secondary market, and the investor cannot resell them.
  • Maturity – Market-linked Debentures have a fixed date of maturity, and the investor is only liable to get the principal amount along with earned interest at that point in time only.
  • Returns – The return on investment in MLDs depends on the market index. Here, the investor can earn higher returns on investment if the market performs well.

Frequently Asked Questions

It is the non-convertible debentures. It is an investment tool. The returns in Market Linked Debentures are not fixed.
Market Linked Debentures are majorly classified into two types – principal protected and non-principal protected.
The decision to invest in Market Linked Debentures solely lies with you. It is better to explore online the relevant information for a better decision.
Investors choose Market Linked Debentures for higher yield on investment.
The ticket size for investment in Market Linked Debentures is Rs. 25 lakh or more.
Yes, the yield in Market Linked Debentures is more than in bank FDs.
The minimum amount to be invested is Rs 1 lakh, effective January 1, 2023.
The market-linked debentures generally offer a higher yield than a bank’s fixed deposits.
You must create your account and complete the KYC online to buy bonds through BondsIndia.

Got more questions?

Book 5 Minutes Discussion with our Financial Expert

SCHEDULE A DISCUSSION

Upcoming Webinar

Webinar Closed

BondsIndia

Rebalancing your investment - the fixed income effect

BondsIndia

Sat, 07 Jan 2023

BondsIndia

12:00 - 01:00 PM IST

RESERVE MY SPOTREGISTRATION CLOSED

Upcoming Webinar

Webinar Closed

Rebalancing your investment - the fixed income effect

BondsIndia

Sat, 07 Jan 2023

BondsIndia

12:00 - 01:00 PM IST

RESERVE MY SPOTREGISTRATION CLOSED
bonds-india-image

Request a Call Back