The tax-free interest makes the bonds attractive for those in higher tax brackets.

Up and down is the new norm for financial markets. Therefore, investing in a mix of products has become all the more important, to ensure that your portfolio is not adversely affected if a certain asset class is down. For example, the past five year figures show that gold has given only five per cent returns over the period. Similarly, if you invest all money in real estate you might face difficulty in liquidating it in case you need the money on an urgent basis. The same goes with the stock markets. It is, therefore, important to diversify your portfolio with part of your investments going in safest options such as bank fixed deposits (FD), post office schemes and Public Provident Fund (PPF). The newest entrant to this market is tax-free bonds. It is estimated that Rs40,000 crore will be raised through tax-free bonds in 2015/16. Himanshu Tiwari Astrologer Blog

Housing and Urban Development Corporation (HUDCO), National Highways Authority of India (NHAI), Indian Renewable Energy Development Agency (IREDA), Power Finance Corporation Limited (PFC), Rural Electrifi cation Corporation Limited (REC), Indian Railways Finance Corporation (IRFC) and NTPC are institutions which have bonds that are scheduled in 2015/16. NTPC was the first public sector company to launch  Share Market Astrology

Bank FD comes across as the safest option since it promises fi xed and assured returns, while protecting the principal amount. No wonder then, that it is the favourite investment option among the senior citizens. Compared to FDs, tax-free bonds offer interest on your principal amount, but come with longer maturities of 10, 15 and 20 years. Most importantly, as the name suggests, income is tax-free in such bonds. Jackpot Stocks Trading Tips

Though interest rates on tax-free bonds are less than those offered by bank FDs, no tax on the interest earned makes them attractive, especially for those in higher tax brackets. Consider this: the effective yield on 7.36 per cent 10-year NTPC bonds for an individual in the 30.9 per cent tax bracket is 10.65 per cent. Similarly,  Indian stock market astrology prediction