NCD Issues Offer List 2024 is for the latest updates for (Non-Convertible Debentures) NCD Public Issues at BSE and NSE. Find NCD Issue opening date, closing date, allotment status, and listing date using a simple list view—the timeline for current and upcoming NCD public issues schedule and due dates. Get the most recent information on India’s future NCD bonds.
NCD issue stands for Non-Convertible Debenture Public Issue. NCD signifies a Secure and Redeemable Corporate Bond, a bond that is issued by a company to raise money from the capital market. Bondholders, unlike equity shareholders, have no ownership stake in the firm. They are sometimes referred to as securities that lack an equity component. NCDs are securities that can be traded. They are traded on India’s major stock exchanges (BSE and NSE).
Upcoming Public NCD Issues Offer List in India April 2024
When one purchases a bond issued by a company, one is effectively borrowing money from the corporation. In exchange, the corporation guarantees to refund the funds with a defined maturity date and interest rate.
Corporate bonds are a type of debt security. They are seen as a long-term investment opportunity. These securities have maturities ranging from one year to twenty years.
The procedure of issuing NCDs is identical to that of issuing an IPO. Through a broker, investors apply for NCD shares. They receive the quantity of NCD shares based on the subscription. The money is debited from the trading/bank account once the NCDs are credited to the demat account.
What are the key factors to consider before buying an NCD?
- Coupon – Interest is given to the investor on a regular basis. Monthly, quarterly, half-annually, and yearly are all possibilities.
- Face Value – The amount paid out each bond by the issuer at maturity or when the call option is exercised by the issuer.
- Maturity date – The day on which the issuer repays the loan.
- Credit Rating – A quantitative evaluation of a borrower’s creditworthiness in general or in relation to a specific bond by Credit Rating Agencies.
- Bond call option – Allows the bond’s issuer to call back the bond before maturity and refund the principal amount. A feature like this is frequent in perpetual bonds. When interest rates fall and capital requirements can be satisfied at a reduced cost, the issuer exercises the option.
- YTM (Yield to Maturity) – The annualized return on a bond realized by an investor if held to maturity.
- Accrued Interest – Interest earned but not yet collected on a debt. Interest begins to accumulate on the last coupon payment date.
FAQs about Upcoming Ncd Issues
What is a Non-Convertible Debenture (NCD)?
A Non-Convertible Debenture (NCD) is a type of debt instrument issued by companies to raise funds. Unlike convertible debentures, NCDs cannot be converted into equity shares of the issuing company.
How do NCDs work?
When you invest in NCDs, you are essentially lending money to the issuing company for a specified period. In return, the company pays you regular interest (coupon) payments over the tenure of the NCD. At the end of the tenure, you receive the principal amount back.
How do I apply for an NCD issue?
You can apply for an upcoming NCD issue through various channels, such as online through the issuer’s website, through a stockbroker, or through designated intermediaries. The application process and required documentation will be specified in the NCD’s prospectus.
Are NCDs taxable?
Interest earned from NCDs is generally taxable as per the income tax laws of your country. It’s advisable to consult a tax professional to understand the tax implications of investing in NCDs.
How can I assess the risk of an NCD issue?
One way to assess risk is by looking at the credit rating assigned to the NCDs by rating agencies. Higher-rated NCDs are generally considered to have lower risk. Additionally, analyzing the issuing company’s financial performance, debt levels, and market reputation can help gauge the risk associated with an NCD issue.
How to Invest in NCD & Get the Return?
As the IPOs one can invest in NCDs by ASBA or UPI. Apply NCD when it opens in the market and apply via your ASBA or UPI as we apply IPOs. When an investor buys NCD or a Bond they generally lend money to the company and in return, the company gives a return as per the maturity amount on the maturity date at a stated rate of interest. These corporate bonds are debt securities. These NCDs are considered long-term investment options.
Check out our guide on NCD: Definition, Features, Benefits and 3 Types