Wanted to know your views on upcoming IREDA tax free bonds. Whether I should invest or not?
Parmardevang-Why you felt that these bonds have an edge and thought of investment?
I was planning for safe investment for quite some time. I missed last two such issues. I have been investing in equity and SIPs, so wanted to have some balance on debt as well.
Parmardevang-Good to know that you want to balance your portfolio with debt:equity. But here in case of tax-free bonds you will not create wealth by compounding your returns. But they pay coupon on yearly base. What you do with that coupon? If not utilized properly then growth of debt portion will go for toss. Nothing is SAFE in this world of investment. Even these days no one believes on the ratings of rating agencies. Try to understand your requirement. Try to draw a line of what you do with coupon you receive on yearly base. Then jump into it. Many go for such tax-free bonds as the eye-catching word is TAX-FREE.