The InCred Nifty Balanced MLD offers equity market participation with 100 protection to the principal amount and a minimum return of 14 per cent at maturity.
InCred Money announced the launch of its maiden issue of Market-Linked Debentures (MLDs) for retail investors, previously accessible only to large institutions and ultra-high-net-worth individuals due to high-ticket sizes, the investment platform said on Wednesday.
The InCred Nifty Balanced MLD, maturing in August 2025 and issued by InCred Financial Services Ltd, is rated A+ and offers 100% protection to the principal amount at maturity.
The returns are linked to the equity market benchmark Nifty 50 Index, with a minimum return of 14 per cent at maturity (August 31, 2025).
As per InCred Money, the MLD offers the upside participation in the Nifty 50 Index, which can lead to an overall return of 30 per cent at maturity, its press release says.
Regarding the product, Bhupinder Singh, founder and CEO of InCred, says, “This product enables investors to participate in the Indian equity growth story, with principal protection and a minimum guaranteed return.”
Adds Vijay Kuppa, CEO at InCred Money: “Today’s investors are looking for more than conventional investment products. They need solutions that combine stability and growth. The MLDs on our platform bridge the gap between fixed-income and market-linked returns.”
Further, to address the challenge of illiquid secondary markets for debt instruments, Kuppa says, “We are offering the feature of ‘Anytime Liquidity’ on the InCred Money platform”, and this step offers “our investors flexibility and convenience when managing their investments.”
This is the second product from InCred Money after the successful launch of its corporate bond offering in June 2023. InCred aims to empower retail and affluent investors seeking better risk-adjusted returns by giving them access to alternate investment options starting from Rs. 1 lakh.
Key Features In A Nutshell
• The InCred Nifty Balanced MLD is issued by InCred Financial Services Ltd.
• The MLD will mature on August 31, 2025.
• For those opting for the “Anytime Liquidity” feature, a 2 per cent liquidation fee will apply.
• The InCred Nifty Balanced MLD is rated CARE PP-MLD A+ and stable.
• The minimum investment amount in the MLD is Rs 1 lakh.
• The underlying benchmark is 1.0x of Nifty 50 Index returns
• The repayment of the principal amount will be on maturity, and the expected returns are estimated at between 14 and 30 per cent on maturity.