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About Bharat Bond Debt ETF

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How does BHARAT Bond ETF work? Investment Strategy BHARAT Bond ETF will have fixed maturity period Follows Nifty BHARAT Bond ETF Index It will Invests in high quality 'AAA' rated bonds of Public Sector Companies Holds bond till their maturity and reinvest the coupons received Will invest 5% of its allocation towards G-Sec/TREPS for liquidity management purpose Benefits of Investing in BHARAT Bond ETF Stability and Predictability A bond like structure with fixed maturity provides predictable and stable returns at maturity. High Safety Investment in Public Sector bonds provide peace of mind Transparency Daily disclosure of portfolio constituents and live NAV periodically through the day No Lock-in Buy/Sell on exchange any time during trading hours or through AMC in creation size Lower Tax Enjoy the benefit of indexation, LTCG Tax at only 20% post indexation. * ( * Additional Surcharge applicable) Investment Options We have ...
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FAQ #12 : How can I apply for the BHARAT Bond ETF (FOF) NFO?

For FOF, which works like a mutual fund scheme, you can apply directly or through your financial advisor.
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FAQ #11 : Are there any lock-in period of my BHARAT Bond ETF (FOF) investment?

There is no lock-in period. You can redeem your investments anytime you need in Fund of Funds (FoF) option like any of your other mutual fund investments. However, there is an exit load of 0.10% should you withdraw your investments before completion of 30 days. Post 30 days, there is no exit load.
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FAQ #10 : Is there any tax benefit on BHARAT Bond ETF investment?

If you hold your investments for more than 3 years, in ETF or FOF, it will qualify for LTCG with indexation like any other bond investments. In comparison, your interest income on deposits will attract marginal rate of tax (can be 30% if you are in highest bracket).
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FAQ #9 : Who can invest in BHARAT Bond ETF?

Any resident (including NRIs) individual and non-individual can invest in BHARAT Bond ETF. If you already have a Demat account, you can apply through your broking account
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FAQ #8 : What are the different modes of payment that can be used for Bharat Bond ETF?

For online investments, Net Banking and UPI payment are two preferred modes. For Offline, please submit cheque along with the Application Form. We also have NEFT/RTGS option for which you will find the Bank Account details in the Application Form. You are requested to use your own bank account to avoid rejection of your application.
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FAQ #7 : How can I apply for the Bharat Bond ETF NFO?

Applying is very simple. For ETF, you can place your order through your stockbroker. Demat account is mandatory for investing in ETF. Alternatively, you can invest by FOF without Demat account.
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FAQ #6 : Are there any assured returns in Bharat Bond ETF?

There are 'NO' assured returns. During the investment period, value of your investments and hence return on your investments can go up or down depending on market conditions, more importantly interest rates in the economy.
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