Recently Reserve bank of India,deregulate the saving account interest rates.Banks can pay you 6% as well 1% on your money lying in saving account. This post is a small attempt to calculate the effect for different saving rates,with an assumption that Rs.1 Lakh are constantly available in the bank account. Saving Rate: 6% Amount(Rs) Interest…
Interest Compounding Frequency And Its Effect On Maturity:
In general,there is tradition of calculating returns in terms of compounded per annum basis.But there are number of other instruments which offers compounding frequency over monthly,quarterly,half yearly and yearly basis.We will try to evaluate effect of compounding frequency on maturity amount,considering remaining factors to be same. E.g. Mr A want to invest Rs 1 lakh…
HUDCO Tax Free Bonds 2011-SeriesB
Housing And Urban Development Corporation Of India is Government Of India owned financial institution which provides finance for housing and infrastructure development of the country.Last month power finance corporation(PFC) was come up with a same issue of tax free bonds. Issue opened on: 13th Oct. 2011. Issue close date:31 Oct 2011. Key Features: 1.Issue is…