10% debenture or 10% FD? Which would u choose and why?

FD. debenture vanya 1 year ko hunna. FD 3 months ko ni rakhna painxa with same interest rate. Maybe expire huna aatya debenture is worth it. Othewise FD nai ho. Debenture dherai nai paisa hune haruko lagi matra ho mero bichar mata.

FD is more liquid., you can even take loan against it. for debenture taking loan isn’t easy. You can close/pre-mature FD. Debenture – you have to sell. sometime below par or above par. debenture is more like investment, fd is saving.

There are bro

Depends.

Debentures
If interest rates fall in the future, then the value of each unit will increase. However, since people use FD and debentures to invest a huge sum. Even if the value of your debenture increases, you’ll probably not be able to sell all your debenture holdings easily because debentures aren’t traded frequently like stocks.

Example : You invested 1000,000 in 10% annual debenture at face value of 1000 per unit. You have 1000 units.
If rates increase to 11%, your debentures will be worth 1064 per units. Your capital gain is 6.42%. If rates decrease your debenture will be valued at 941 per unit and you’ll lose -5.89% if you sell your debentures.
But remember that you’ll lose or gain Only if you sell the debentures. If you hold it for 10 years , you’ll get back 1000,000

Fixed Deposit
Regardless of future interest rates you’ll have the same amount in your FD and same interest rate.
If you put 1000,000 in FD at 10%. Regardless of the rates increasing or decreasing in future, you’ll get 1000000 when the FD expires.

The primary benefit of debentures is that it can be sold. And debentures usually come in 8-10 years timeframe. While FD directly 10 years ko lagi paudaina. And in 10 years down the line rates will be completely different.

Just buy debenture in secondary market, you’ll get higher effective interest rate than FD.

There is no difference….whats there to choose