Government Bond

Government Bonds

What It Is

Think of a government bond like a loan you give to the government.

How It Works

When you buy a government bond, you're lending money to the government. In return, the government promises to pay back the money you lent (the principal) along with some extra money (interest) after a specific time, let's say a few years.

Types of Government Bonds in India

• Dated Government Securities
• Treasury Bills (T-Bills)
• Cash Management Bills
• State Development Loans

How to Invest in Government Bonds in India

1. Direct Platform
2. Through Stock Broker
3. Through Mutual Funds

Advantages of Investing in Government Bonds

• Risk-Free Investment
• Inflation-Adjusted Returns
• High Liquidity
• Portfolio Diversification
• Regular Income Source

- COMMERCE KA LADKA