Bond values are indicated by 1. Issue price vs. Current price 2. Bond yield 3. Duration of the bond
Risks are more difficult to analyse, but things that help are:
- Rating (Sovereign, AAA: Very safe; AA+:Safe, unless something catastrophic happens…). But be aware these ratings came under so much trouble for having rated it carelessly with multiple issues (IIFL, DHFL…)
- Remaining duration (Shorter is safer)
- Financials of the issuer (just a double check on rating that would have considered ability to pay back in time…): Liquidity, P&L; Ratios such as debt service ratios etc…
I tend to use MF for bonds and direct for equity. This is particularly true if you investing for coupon payments…
Not sure, if it helps…
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