In India, which of the following can trade in Corporate Bonds and Government Securities?
1. Insurance Companies
2. Pension Funds
3. Retail Investors
Select the correct answer using the code given below:
In India, which of the following can trade in Corporate Bonds and Government Securities?
1. Insurance Companies
2. Pension Funds
3. Retail Investors
Select the correct answer using the code given below:
Answer:
(d)
CA
The Pension Funds are allowed to invest in corporate bonds/securities which have a minimum of ‘A’ rating or equivalent in the applicable rating scale subject to certain conditions. Hence statement 1 is correct. Banks, insurance companies and other large investors, smaller investors like Co-operative banks, Regional Rural Banks, Provident Funds are also required to statutory hold G-Secs. They can also invest in corporate bonds. https://www.civilsdaily.com/news/rbi-launches-pravaah-retail-direct-mobile-app-and-fintech-repository/