Characteristics of Capital Indexed Bonds

For how long do you need to invest?

For how long do you need to invest?

Capital Indexed Bonds have maturity periods announced with their issue. They can differ from time to time.

At present, there is no active capital-indexed bond issued.

Where can you find Capital Indexed Bonds to invest in?

Where can you find Capital Indexed Bonds to invest in?

Capital Indexed Bonds are issued by the Reserve Bank of India (RBI) and can be invested through scheduled commercial banks. 

What are the interest rates offered by Capital-Indexed Bonds (CIBs)?

What are the interest rates offered by Capital-Indexed Bonds (CIBs)?

The Capital Indexed Bonds were first introduced in December 1997, and they offered 6 percent interest in year 2002. Since then, no new CIBs have been issued. 

The interest of CIB is designed to match the then-prevailing inflation.

What is the minimum amount you can invest?

What is the minimum amount you can invest?

  • The capital-indexed bonds have a minimum issue price of ₹100 

 

  • Your investments can be multiples of ₹100

 

  • However, this can change as and when new CIBs are issued

Sounds interesting, isnt it?

Keep scrolling to learn more about capital indexed bonds.

What are the features of Capital-Indexed Bonds (CIBs)?

  • Icon

    Issued by the RBI

  • Icon

    Interest catches up with inflation

  • Icon

    Can be invested through banks

  • Icon
    • One-time investment
    • Long-term investment

What are the benefits of investing in CIBs?

  • Icon

    Lower risk

  • Icon

    Returns higher than inflation

  • Icon

    Easy to invest through banks

  • Icon

    Low minimum investment

Proceed to the next section to learn how to invest in CIBs

Next Chapter