In today's era, investors have multiple investment options available in the market with lots and lots of opportunity to earn a good rate of return (short- and long-term) compared to traditional plans like fixed deposits (FD). In my earlier topic, I covered detailed information about discount invoicing, where an investor can earn a good rate of return within 3 to 6 months if investments are made by understanding the technicalities, risks, and past trend analysis.
Now comes another best plan where retail investors can earn 9 to 11% return by investing money through "covered bonds". WintWealth is the platform that helps investors earn a better rate of return than FD and is less risky compared to the share market. WinWealth claims to provide a SEBI-regulated platform where investors can invest money in covered bonds, which are protected from bankruptcy.
Key Features:
The above chart shows a clear picture of the covered bond's risk nature, which is very low as loans are covered by guarantors and issued by registered financial institutions. Also, in case of any default, there are always alternative measures to get the funds recovered via collateral.
Investors need to keep sufficient funds well in advance before a bond issue, as based on past years or months experience, bonds used to have 40% subscribe at the early investment stage, and investors used to be on the waitlist. Within less than a week, bonds were completely sold out. So demand is high compared to the limited supply of the bond, as the asset size used to be smaller compared to mutual funds.