State Government Guaranteed Bonds

Features of Government Guaranteed Bonds

Bonds issued by the State Government with an unconditional and irrevocable guarantee for timely interest payments as well as principal payments.

Best for Low Risk Investors

State government guaranteed bonds India are issued by state government-owned entities in India, making them a low-risk investment option. These bonds are guaranteed by the state government, providing an additional layer of security for investors.

Electronic Trading

State Government Bonds are electronically on the NDS-OM (Negotiated Dealing System-Order Matching) – managed by the RBI, and traded in the voice market(Over-the-counter market).

Maturity Period

State government guaranteed bonds are available in a range of maturity periods, allowing investors to choose the option that best suits their investment goals.

Fixed Interest Rates

State government guaranteed bonds offer fixed interest rates, providing stable returns for investors.

Benefits of Investing in Government Guaranteed Bonds

• Guaranteed Returns: Government Bonds enjoy Sovereign Guarantee, which implies that the state government issuing these bonds is liable to repay them as per the terms.
• Less Influenced by Inflation: Since Government Bonds are inflation-indexed, they are less susceptible to be financially undermined, as a result of inflation.
• Portfolio Diversification: Due to their low risk proposition, Government Bonds prove to be a great option for investors who wish to diversify their investment portfolio.
• High Liquidity: Government bonds can be easily sold off in the secondary market, and therefore offer added ease of exit.

Credit Rating of State Government Guaranteed Bonds

Different state government-issued bonds have distinct credit ratings. We encourage you to check our list of government guaranteed bond, and look for the credit rating badge on the top right corner for each listing.

• AAA: highest degree of safety, lowest credit risk

• AA-, AA, AA+: high degree of safety, very low credit risk

• A-, A, A+: adequate degree of safety, low credit risk

• BBB-, BBB, BBB+ : Moderate degree of safety, moderate credit risk

• BB: Moderate risk of default

• B-, B, B+: high risk of default

• C: very high risk of default

• D: In default or expected to be in default

Investing in Government Guaranteed Bonds

To invest in Government Guaranteed Bonds with GoldenPi, all you need to do is followthese three steps -

• Sign up

  Register for an account on GoldenPi.

• Select a Government Bond

  Choose from a wide variety of Government Bonds on GoldenPi to invest in.

• Monitor your Investment

  Keep track of your investment and receive notifications when it matures.