NCD & Corporate bonds related FAQs

What are the dissimilarities between Unsecured and Secured NCD ?

Unsecured NCD vs. Secured

NCDs securedNCDs that are not secured
  • These loans are backed up by company assets
  • If the company defaults, assets of the company can be liquidated in order to repay investors
  • Lower returns than unsecure NCDs
  • Less risky than unprotected NCDs
  • These cannot be backed up by company assets
  • Investors cannot recover money via asset liquidation if they default
  • Secured NCDs offer higher returns
  • Secure NCDs are more risky than secure ones


Differentiate between NCD and FD.

What are NCDs?

Who is eligible to issue NCD in India?

Can NCDs be issued by LLP?

Can NCDs be issued by private company?

What is the process to issue NCD in India?

How can we apply for NCD?

Why are NCDs issued by company?

if the NCD is issued at the share price of issuing company what will be the effectt?

What are the expenses indulged in issuing NCD?

What are the steps involves in NCD allotment ?

Who will be accepted by NCDs ?

What are the types of NCDs ?

How NCDs are different from Bonds ?

What are the Bond's Pros and Cons ?

What are the secured rights of NCD holders ?

Are NRIs allowed to invest in NCDs ?

In NCD ,what are call and put options ?

What is NCD ? Is this a Fixed deposit or a Share ?

NCD is Taxable or Not ?