Bajaj Cap details why investors must buy IRFC, HUDCO bonds

Attractive tax-free bond issues offered by the government have been coming up. The recently concluded tax-free bond issues from the NHAI and PFC received a good response from high net worth individuals (HNIs) and institutional investors.

The two which are running right now in the primary market are Indian Railway Finance Corporation (IRFC) and Housing and Urban Development Corporation (HUDCO). Though the closing date for the Hudco issue is February6 and for the IRFC issue is February 10, investors are advised to submit their applications at the earliest.
Rajeev Bajaj, the vice chairman and managing director of Bajaj Capital tells CNBC-TV18 that retail investors have responded well to these public issues of secured, tax-free bonds.
If there is a CRR cut in the next credit policy meeting, the yield could come down even further.