15.34% pa with AA+ rated HUDCO Tax Free Bonds

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We are pleased to present you the details of Tax-Free Bonds issued by Housing and Urban Development Corporation Ltd (HUDCO). The interest earned on these bonds is fully exempt from tax and there will be no deduction of tax at source from the interest, irrespective of the amount or the investors’ status. The bonds have been rated AA+ by CARE & Fitch and carry an attractive tax-free coupon of 8.20% (15 Years). The interest is payable annually. The bonds are currently available at a discount in the secondary market.

Bond Details:

Details	Particulars
Rating	AA+ by CARE & Fitch (Ind)
Face Value of the bond	Rs.1,000
Minimum Application	Rs.10,000
Trading	Demat Mode
Listing	BSE & NSE

Illustration of Pre-Tax Yield:

Entry Price	97.00
Assumed Exit Price (after 1 year)	100.00
Tax free Coupon	8.20
Post tax gains (after paying tax at 20%)	2.40
Total	10.60
Pre-Tax Returns	15.34%	Individuals
	15.69%	Corporate

Price/Yield is subject to change. Please check the same before investing

Company Overview:

Housing & Urban Development Corporation Ltd. (HUDCO) is a public sector company fully owned by Govt. of India for financing of housing and urban infrastructure activities in India. HUDCO was incorporated on April 25, 1970 under the Companies Act 1956. The cardinal objective of HUDCO is to undertake housing and urban infrastructure development programmes in the country, provide long-term finance for construction of houses for residential purposes in urban & rural areas and finance or undertake, the setting up of the new or satellite towns and industrial enterprise for building material.