Debt returns take a knock

It may be a good time to either increase allocation to fixed income or move money to equities

Tinesh Bhasin & Sanjay Kumar Singh 

For people close to retirement, it is bad news. For the first time in 30 years, the interest rate on the Public Provident Fund (PPF) has gone below eight per cent (7.9 per cent now). Recently, the Employees’ Provident Fund Organisation (EPFO) also slashed its rate by 15 basis points (bps), to 8.65 per cent. State Bank of India’s fixed deposit (FD) for five years or more now fetches a meagre 6.25 per cent interest annually. With many people depending heavily on fixed income instruments to save for retirement, declining interest rates mean they need to fine-tune their ...

TO READ THE FULL STORY, SUBSCRIBE NOW AT JUST Rs 149 A MONTH

Key stories on business-standard.com are available to premium subscribers only.

LOGIN

EMAIL / USER NAME
PASSWORD
REMEMBER ME Forgot password?
LOGIN

Not a member yet ? Resister Now

Connect using any below

  • Don't lose the opportunity of saving $26.77 per month
  • Don't lose the opportunity of saving $26.77 per month
Total Amount
Rs. 0.00
To proceed, kindly select a subscription package

WHAT YOU GET

On Business Standard Digital

  • Access your subscription from anywhere. Be it your computer, tablet or smartphone using a browser or the App, Your Choice.
  • Access to exclusive content, features, opinions and comment, hand-picked by our editors, just for you.
  • Pick your 5 favourite companies. Get all the news upates at the end of each day through E-Mail.
  • Pick the industry that you want to track. And get a daily news letter specific to that industry. Cut out the clutter.
  • And stay on top of your investments. Track stock prices in your portfolio
  • Access 18 years of archival data

On Digital

  • Seamless access to WSJ.com with your Business Standard digital account.
  • Experience the best of the Journal's reporting, video and interactive features.
  • Read about the people and events shaping business, finance, technology, politics, technology and culture.
  • Stay informed with newsletters - an easy way to get WSJ content straight to your inbox - making life easier on your busiest days.
  • More business executives read the Journal globally than any other publication.
*Note :
Our Partners are proud to be associated with this initiative and will contribute Rs 100 x 6 months thereafter, standard rate of Rs 149 will be charged.
Offer valid for Indian residents only
Requires you to share personal information like PAN, Date of Birth, and Income.
*Annual saving on WSJ subscription price of US$ 347.88 (12 months @ US$ 28.99 per month)
* 1US$ = 67.50 INR.
*Please note that this offer is not valid if you are/were a registered/existing user on WSJ Digital

Debt returns take a knock

It may be a good time to either increase allocation to fixed income or move money to equities

It may be a good time to either increase allocation to fixed income or move money to equities For people close to retirement, it is bad news. For the first time in 30 years, the interest rate on the Public Provident Fund (PPF) has gone below eight per cent (7.9 per cent now). Recently, the Employees’ Provident Fund Organisation (EPFO) also slashed its rate by 15 basis points (bps), to 8.65 per cent. State Bank of India’s fixed deposit (FD) for five years or more now fetches a meagre 6.25 per cent interest annually. With many people depending heavily on fixed income instruments to save for retirement, declining interest rates mean they need to fine-tune their ... image
Business Standard
177 22