Getting locked into instruments before the new regime kicks in would be a good strategy.
According to experts, due to reduction in withholding tax, FIIs' investment in corporate bonds will pick up.
The labour ministry has notified the more flexible investment pattern of 2008 for the Employees Provident Fund Organisation (EPFO), but minus its provision for investment in equity.
The RBI had in the past expressed its concerns about allowing foreign investors in short-term paper, because it attracted hot money.
Inflation indexed bonds assure a positive return over inflation.
RBI would get the comfort of meeting its 8 per cent January Consumer Price Index-based inflation target, BofA-ML said, adding that 'we expect the RBI to cut 75 bp in 2015 from February with inflation on course to 6 per cent in January 2016'.
Earlier, the RBI cut its policy interest rate to 6.75 per cent.
Raghuram Rajan called for purposeful and effective action to counter the atmosphere of cynicism, which has slowed down the decision making process.
The non-watchlist stress emanated from over five year-old loans in the iron and steel, infrastructure and construction sectors.
India Inc has pitched for rate cut to boost economic activities.
The Reserve Bank is unlikely to lower the interest rates.
The market believes there will soon be another offer to buy the bonds.
For the wealthy, post-tax returns of debt funds would work out better
Between April 2 and July 8 this fiscal, the rupee has plummeted by 12.81 per cent, and hit all-time low of 61.21 per cent on Monday.
Rates on tax-free bonds are linked to government securities.
Restrict investment to Rs 50,000 for tax benefits, experts tell Sanjay Kumar Singh, but caution that taxation at maturity and compulsory annuities are dampers.
'My sense is that we should be braced for a correction.' 'It has already begun in the mid-caps for the past month, and will now spread to larger stocks as well.' 'Use the correction to upgrade the quality of your portfolio,' advises Akash Prakash.
Arun Jaitley had proposed to set up a Public Debt and Management Agency.
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The agency has kept its FY15 growth forecast unchanged at 5.6 per cent.
The Budget will obviously be crucial. But US President Donald Trump may have even more of an influence than Finance Minister Arun Jaitley when it comes to sentiment, argues Devangshu Datta.
Worried over a spike in interest rates in the wake of steps to support the falling rupee, the RBI on Tuesday announced a slew of measures, including Rs 8,000 crore bond buyback, to ease liquidity and ensure adequate credit flow to the productive sectors of the economy.
Banks are in need of government support to manage the stressed assets
The Reserve Bank of India unexpectedly raised its policy interest rate on Tuesday by 25 basis points (bps) but said that if consumer price inflation eases as projected, it does not foresee further near-term tightening.
Interview with former Reserve Bank of India governor by Duvvuri Subbarao.
The ripples from November 8 may be seen in next year's state budgets.
Foreign investors keeping off; inflows into bonds also likely to improve if RBI resumes rate cuts.
Finance Minister Arun Jaitley on Monday presented the Union Budget for 2016-17.
Investor sentiment got a boost following remarks from the Russian President Putin that allayed fears of an imminent military conflict in Ukraine
Banking stocks, including top ones like State Bank of India, ICICI Bank, HDFC Bank, Bank of Baroda and Bank of India, among others, have fallen sharply in the last one month.
'NiMo having skipped, the next best bet is a high-profile banker.' 'Ms Usha happens to be in the wrong place at the wrong time.' 'Ms Usha's crime? That's as thin as it gets.'
The yellow metal is a safe bet in the long run.
I-T lens on current account deposits over Rs 12.5 lakh. All the news and more post demonetisation.
