Investors shift to RBI floating rate bonds as fixed deposit rates slide

With declining fixed deposit rates, risk-averse investors are increasingly drawn to RBI's floating rate savings bonds, offering an attractive 8.05% annual yield. These bonds, considered highly safe, provide a premium over the National Savings Certificate. Despite liquidity challenges, they present a lucrative alternative, yielding significantly more than benchmark government bonds and fixed deposits.

Investors shift to RBI floating rate bonds as fixed deposit rates slide
With declining fixed deposit rates, risk-averse investors are increasingly drawn to RBI's floating rate savings bonds, offering an attractive 8.05% annual yield. These bonds, considered highly safe, provide a premium over the National Savings Certificate. Despite liquidity challenges, they present a lucrative alternative, yielding significantly more than benchmark government bonds and fixed deposits.