Today news
The same in other media
Beware of the risks when investing in bank perpetual bonds
Reading now: 402
Perpetual bonds of banks often yield a higher rate than the interest on fixed deposits. They are marketed to retail investors, especially retirees looking for a regular income.
For instance the yield on SBI perpetual bond (as of 15 May) on BSE was 8.58%. This is considerably higher than the 5-7% offered on SBI FDs.
For Syndicate Bank, the yield was as high as 10.75%. However, in many cases, investors are not warned of the risks involved.
Some of the perpetual bonds (such as AT1 bonds) are explicitly issued as 'risk absorbing' instruments and are subject to write-down if the bank's capital falls below pre-defined thresholds.
The website covid-19.rehab is an aggregator of news from open sources. The source is indicated at the beginning and at the end of the announcement. You can send a complaint on the news if you find it unreliable.
COVID-19
United States
|
Cases: 46 252 513
Deaths: 750 423
Recovered: 0
|
India
|
Cases: 34 321 025
Deaths: 459 652
Recovered: 0
|
Brazil
|
Cases: 21 835 785
Deaths: 608 235
Recovered: 0
|
United Kingdom
|
Cases: 9 215 683
Deaths: 141 607
Recovered: 0
|
Russia
|
Cases: 8 494 589
Deaths: 237 619
Recovered: 0
|