As stock markets become more volatile and fixed deposit (FD) rates decrease, many retail investors in India are turning to bond investing as a way to diversify their portfolios and find lucrative fixed income investments. However, choosing the right bond investment platform can be a challenge, as many online platforms in India lack the sophistication and features of popular online stock brokers like Zerodha and Groww.
To help investors find the best bond investment platforms in India, we’ve compiled a list of the top platforms and their key features. When choosing a bond investment platform, it’s important to look for a few key requirements, including secure transactions, credibility, reliability, and excellent customer support. Additionally, a good bond investment platform should provide investors with all the information they need to make informed investment choices, such as credit ratings, Yield to Maturity (YTM), yield or interest rates, and coupon rates.
Before that, here are the list of things to consider before choosing the platform
Things to Consider for in a Bond Investment Platform
Bond investments have been a long-standing practice among high net worth individuals (HNIs) in India. But with the rise of fintech startups, even retail investors can now invest in bonds with just a few thousand Rupees. However, before investing in any bond investment platform or app, it is crucial to consider a few aspects.
Promoters and Investors
Firstly, investors should research the founders and investors of the platform to gauge their credibility, reliability, and vision. It is important to ensure that the investment platform will survive until the bond matures. For instance, having industry leaders and well-known firms from the finance sector as investors can tell you a lot about the company’s trustworthiness, as in the case of Zerodha.
Clearance from Regulators
Regulatory clearance is another important factor to consider. While Government Securities, including Government Bonds, are issued by the Reserve Bank of India and are supervised by the same, SEBI regulates corporate bonds issued by both PSUs and Private sector companies. Most online bond investment platforms in India are subsidiaries of NBFCs and are hence under RBI’s watch.
Secure transactions are crucial, and investors need to be extra cautious while transacting online. They should ensure that their bond investment platform enables safe and secured transactions, as online banking frauds are still on the rise.
Availability of information is another crucial aspect, and a good online bond investment platform should provide investors with all the information they need to make informed investment choices. The information should include bond yields, coupon rates, taxation, credit rating, face value, accrued interest, and many more intricacies. Furthermore, it is essential to ensure that the platform has an extensive knowledge base to help investors learn more about the platform as well as bond investing.
Lastly, a bond investment platform needs to have a commendable customer support system in place to provide assistance and resolve any queries or concerns.
In conclusion, investors should consider the credibility of the founders and investors, regulatory clearance, secure transactions, availability of information, and customer support before investing in any bond investment platform.
GoldenPi is a leading fintech company in India that offers online bond investments to individual investors. With over 3,70,000 registered investors on the platform, GoldenPi claims to be India’s No.1 platform for online bond investments. The company has been around for over five years and is one of the earliest fintech companies in India to bring Bonds and Debentures to individual investors.
GoldenPi is backed by Zerodha’s Rainmatter Capital and has received Rs. 3.5 crore funding from the same. The platform has also partnered with leading brokers and financial institutions like Zerodha, IIFL Securities, and Axis Direct, among others.
The platform provides investors with a large collection of bonds to choose from, based on individual financial needs. Whether you’re looking for ultra-short-term bonds, highly safe bonds, or tax-free bonds, GoldenPi has it all. You can choose what suits your needs the best.
The minimum investment to start investing in bonds on GoldenPi is as low as Rs. 10,000, and the process is simple. All you need to do is to register and complete the KYC process. GoldenPi also facilitates UPI transactions, making things much easier for investors.
In addition to the extensive collection of bonds and the ease of investing, the platform has an extensive database of blog posts and educational content to guide you in your bond investment journey. The platform also lets you filter your bond searches as per your investment purpose, credit ratings, yield, issuer type, investment amount, and more.
GoldenPi offers bonds with a minimum investment as low as Rs. 10,000 and as high as Rs. 1 crore and above. You can use the filtering mechanism available to look for what suits you best. With its diverse range of bonds, ease of investing, and educational resources, GoldenPi is a top choice for online bond investments in India.
Min. Investment: ₹10,000
Returns: As high as 12%
Google Rating: 4.8/5 (based on 265 reviews)
Wint Wealth is a highly regarded bond investment platform in India, with over 25,000 investors currently registered on the platform. The company aims to provide retail investors with senior secured bonds, starting at a minimum investment of just Rs. 10,000. This is significant as bonds were previously reserved for HNIs with minimum investments in the range of lakhs or crores.
Wint Wealth seeks to democratize debt investments in India and provide small retail investors with access to unique assets like bonds. The platform is promoted and backed by prominent fintech founders such as Nithin Kamath of Zerodha, Kunal Shah of CRED, and Pravin Jadhav of Paytm Money, as well as financial influencers including Ankur Warikoo, Rachana Ranade, and Akshat Srivastava.
Wint Wealth offers carefully curated secured bonds that are often backed by secured collateral, with the ability to purchase bonds for as little as Rs. 10,000. Bond units purchased on the platform are credited to investors’ Demat accounts and can be tracked on the Wint Wealth dashboard.
The platform lists bonds with all relevant information easily accessible to investors, with risks mentioned alongside the fixed returns of each bond. Both listed and unlisted bonds are available on the platform, with information such as Credit Rating, Interest and Principal Repayment details, minimum investment, and pre-tax rates provided.
Wint Wealth also includes an inbuilt calculator that allows users to visualize their repayments, and offers comparisons to other assets like stocks, cryptocurrencies, and debt mutual funds. The company’s association with industry leaders and influencers makes it one of the top bond investment platforms in India.
Min. Investment: ₹10,000
Returns: As high as 9%
Google Rating: 5/5 (based on 100 reviews)
Bondsindia is a comprehensive online platform with 91,788 registered investors offering a range of fixed income investment instruments to its investors. The platform enables users to invest in a variety of corporate bonds, tax-free bonds, 54EC bonds, government bonds, and fixed deposits.
Bondsindia features a unique bond-trading engine, which is integrated with its exchange. The platform offers real-time price discovery, along with end-to-end online transactions. Investors can start their bond investment journey with just a few hundred or thousand rupees, and choose from a wide variety of corporate and PSU bonds listed on the platform.
Bondsindia provides investors with all the information they need to invest in bonds. The platform includes an inbuilt filter that allows investors to search for bonds that suit their financial needs and abilities. By using the filter, investors can easily search for bonds based on coupon, yield, interest payment frequency, level of security, credit rating, face value, type of issuer, and other parameters.
For investors who may not be familiar with these bond investment terminologies, Bondsindia offers an impressive ‘Knowledge Centre.’ Here, investors can learn all about bond investing and how to choose the best bonds for their investment needs.
Bondsindia also provides a customer support experience that is both pleasant and efficient. The platform offers live chatting and call-back facilities that can be accessed from the floating icons on the screen.
Overall, Bondsindia is a worthy contender for the title of the best bond investment platform in India. Its unique bond-trading engine, extensive selection of investment instruments, inbuilt filter, Knowledge Centre, and excellent customer support make it a top choice for investors seeking to invest in bonds.
Min. Investment: unknown
Returns: As high as 11.9%
Google Rating: not rated
Other platforms for Investing in Bonds
IndiaBonds, a technology-driven financial company established in 2021, aims to make investing in the fixed income market accessible, transparent and cost-effective. The core management team comprises individuals with extensive experience in finance and technology. With the use of technology, the company strives to lead the digital revolution in the corporate bond market in India. The platform offers a comprehensive solution to bond investing, providing investors with a broad range of investment opportunities to meet their investment objectives while generating predictable income. IndiaBonds is committed to creating a user-friendly investment platform that caters to the needs of its clients.
Grip Invest, one of India’s top fintech startups, is providing retail investors with access to alternative investment options through a strong banking and technological infrastructure. The digital investment platform offers non-market-linked, asset-backed fixed income and equity investment options with low minimum investment amounts and fixed returns in lease finance. These curated investment opportunities are attractive, particularly during a stock market downturn. With a typical investment of 24 months and a return rate of 21 IRR, Grip Invest provides its users with a simple user interface, transparent and explained deals, and a zero default record, instilling confidence in the investments made.
In conclusion, there are several bond investment platforms in India that provide a range of investment options for individuals looking to diversify their portfolio. While each platform has its unique features and benefits, investors should consider their investment goals, risk tolerance, and the fees charged by each platform before making a decision. By using one of the top bond investment platforms in India, investors can potentially earn stable returns and build a balanced investment portfolio for 2023 and beyond.