Other Wealth Management Products

We offer specialised services for wealth management products to support your long-term financial planning.

Capital Gain Bonds

Capital Gain Bonds are also known as 54EC bonds, issued by Government-backed / public-sector entities which allow an investor to save income tax on long-term capital gain by investing the gains.

The investment into these bonds has to be made within 6 months from the date of long-term capital gain. They have a fixed lock-in period of 5 years and can be either held in Physical or Demat form.

Features of Capital Gain Bonds

Issued by IRFC, PFC, REC and HUDCO.
5-year lock-in period.
Redeemed at the end of the tenure.
Not traded on the stock exchanges.
Secure investments backed by public sector enterprises.
Minimum investment is Rs.10,000 & maximum investment amount is Rs.50 lakhs for a financial year.
Ownership not the bonds cannot be transferred from one person to another.

How 54EC Bonds Provide Tax Exemption

Invest your long-term capital gain into 54EC Bonds within 6 months to claim tax exemption under Section 54EC.Hold the bonds for 5 years; only the amount you invest becomes tax-exempt, and the remaining gain stays taxable.

Capital Gain Bond Issuers

1. IRFC Capital Gain Bonds

Indian Railway Finance Corporation is one of the main financing arm of the Indian Railways.
It was established in December of 1986 for mobilising funds from domestic and foreign capital markets.
IRFC is a Schedule A’ Public Sector enterprise under the purview of the ministry of Railways.

Company Name	Rating	ROI (%)	Tenure	Minimum Application	Maximum Application	Tax Status	Transferability	Mode of Interest	Interest Payable on
IRFC	AAA	5.25%	5 Years	2 Bonds	500 Bonds	Taxable	Not allowed	Annually	15th Oct

2. PFC Capital Gain Bonds

The Power FInance Corporation (PFC) is controlled by the Ministry of Power.
The PFC was given the title of Navratna CPSE in October of 2021, and it plays a crucial role in the rise of Indian as a global player.
It’s a leading non-banking financial corporation to finance the Indian power sector.

Company Name	Rating	ROI (%)	Tenure	Minimum Application	Maximum Application	Tax Status	Transferability	Mode of Interest	Interest Payable on
PFC	AAA	5.25%	5 Years	2 Bonds	500 Bonds	Taxable	Not allowed	Annually	15th Oct

3. REC Capital Gain Bonds

Rural Electrification Corporation Limited (REC) is a Navratna Company functions under the control of the Ministry of Power.
It’s a public infrastructure finance company that came into being in 1969 to serve India’s growing demands of the power sector.
The company finances and encourages rural electrification projects across India.

Company Name	Rating	ROI (%)	Tenure	Minimum Application	Maximum Application	Tax Status	Transferability	Mode of Interest	Interest Payable on
REC	AAA	5.25%	5 Years	2 Bonds	500 Bonds	Taxable	Not allowed	Annually	30th June

4. HUDCO Capital Gain Bonds

HUDCO 54EC bonds are government-backed bonds that provide capital gains tax exemption on the sale of land or building.
Investment must be made within 6 months, with a ₹50 lakh annual limit and a 5-year lock-in.
They offer a fixed return, and the funds support infrastructure and urban development.

Company Name	Rating	ROI (%)	Tenure	Maximum Application	Tax Status	Transferability	Mode of Interest	Interest Payable on
HUDCO	AAA	5.25%	5 Years	500 Bonds	Taxable	Not allowed	Annually	30th April

Floating Rate Saving Bonds

A Floating Rate Savings Bond (FRSB) is a government-backed bond issued by the Reserve Bank of India (RBI) where the interest rate is not fixed. Instead, it changes every 6 months based on a benchmark rate.

It is a safe investment option issued by RBI where the interest you earn keeps adjusting periodically. If market interest rates go up, your bond interest also increases; if they fall, your interest reduces.

Key Points

Issued by RBI – very safe investment.
Interest rate changes every 6 months (Floating Rate). investment threshold.
7-year maturity period.
Interest paid twice a year.
No maximum investment limit.
Not tradable (cannot be sold in the market).

Eligibility for Floating Rate Savings Bonds

The following investors meet the requirements to purchase RBI Bonds:

The investor must reside in the nation (India).
The buyer of the bond may be a major purchasing it in his or her own name or purchasing it on behalf of a minor.
One must be capable of making the investment on their own or with others.
A Hindu undivided family might potentially be the investor.
NRIs, or non-resident Indians, are not permitted to invest in these bonds.

Corporate Fixed Deposit

A corporate fixed deposit (FD) is a term deposit offered by companies, like Non-Banking Financial Companies (NBFCs) and Housing Finance Companies (HFCs), where you deposit a lump sum for a fixed period to earn a predetermined interest rate. These typically offer higher interest rates than traditional bank FDs, and they come with varying tenures and features.

Features of Corporate Fixed Deposit

Higher interest rates: Corporate FDs typically offer higher interest rates than bank fixed deposits, providing a better opportunity for wealth growth.
Customizable tenure: Investors can choose a tenure that best suits their financial goals, often ranging from a few months to several years.
Flexible interest payouts: Choose your interest payout frequency—monthly, quarterly, half-yearly, yearly, or opt for a cumulative plan where interest is reinvested till maturity.

Other Wealth Management Products

Capital Gain Bonds

Features of Capital Gain Bonds