Do you want to move beyond fixed deposits and explore other debt market products? (H1)

For many Indians, their go-to for safe investing has been the trusted Fixed Deposit. It’s familiar, and it feels secure. But have you ever wondered what else is out there in fixed income securities world? A world that offers potential for better returns than a standard FD, but requires a bit more knowledge. Maybe you’ve heard terms like “government bonds,” “corporate bonds,” or “debentures,” and curious to know more. Let us understand what exactly is this “Fixed Income Securities” World and can they play a role in helping you meet your financial goals.

So, what exactly is this “Fixed Income Securities” World all about? (H2)

When we talk about investing, most people instantly think of the stock market. Investing in shares of listed companies hoping their value will go up. But there’s a whole other World of investing out there known as Fixed Income Securities (FIS). This world is generally considered as more stable, in comparison to stocks.

The simplest way I can explain you about fixed income securities is, think of you as the bank. You lend your money to the Government or a corporate. In return, they promise to pay you regular interest (the “fixed income” part) and give you your original investment (principal) back after a period, as agreed.

This market is the backbone of the Indian financial system in terms of government raising money for infrastructure and development projects. It’s also where corporates raise capital to fund new projects. While the stock market gets all the headlines, the fixed income securities market is where the steady money flows.

As an investor, you need to understand the different types of fixed income securities (based on issuer, maturity, coupon rates), and the risks involved. Yes, it’s generally considered safer than equities, but you still face risks, such as:

• Interest Rate Risk: When interest rates go up, bond prices go down.
• Credit Risk: Probability that the issuer might not be able to pay you back.
• Liquidity Risk: Can you easily sell your bond if you need cash?
• And other risks like inflation and reinvestment risk.

Understanding the fixed income securities market is important. Whether you’re an investor, working in the financial sector, or a student. This foundational knowledge is exactly what the “Introduction to Fixed Income Securities” eLearning course provides.

Introduction to Fixed Income Securities eLearning course (H2)

This course comes has some serious credibility as both NISM and FIMMDA have jointly developed this for professionals working in banks, broking houses, asset management companies, and students aspiring to enter the financial sector. But let me tell you, course will prove incredibly valuable for anyone having an interest to understand where a large part of India’s money moves.

NISM offers more than 60 eLearning courses (Link)

As I have already said, this is a foundational course, and so the course modules include

• An overview of the Indian fixed income securities market where you’ll learn about the ecosystem, the role of regulators like SEBI and the RBI, and how monetary policy affects this market.
• Types of fixed income securities where you’ll learn about various categories of securities in terms of issuer, maturity, coupon type, and more.
• Risks associated with investing in fixed income securities where you’ll learn about different types of risks involved and how to manage them.

This being an eLearning course, you can learn at your own pace, on your own schedule. The course has around 3 hours of learning content including interactive quizzes. Once you register, you get 30 days of access, which is a comfortable amount of time to complete the course. The course fee is ₹2000/- plus taxes. And when you successfully complete the course, you receive a joint certificate issued by NISM and FIMMDA.

Now should you register? Whether you’re a student aspiring to join the Indian financial sector, a professional looking to build upon your existing skills, or an investor who wants to move beyond fixed deposits, understanding about various fixed income securities, the risks involved, and how to manage those risks will definitely give you an edge. I hope this course proves to be a smart choice for you.

In addition to this, NISM and FIMMDA jointly offer the following courses covering various aspects of the fixed income securities market. You may like to have a look.

Overview of Indian Debt Markets (Link)

Introduction to Fixed Income Mathematics (Link)

Introduction to Interest Rate Derivatives (Link)

Happy learning!

Author: Sandeep K Biswal, Deputy General Manager – CCC, NISM