MAS Financial
How this yield compares
About this bond
MAS Financial is a corporate bond issued by a company to raise debt from investors, currently offering a yield to maturity (YTM) of 8.5%. It pays a coupon of 9.1% and matures on 29 Aug 2027, a remaining tenure of about 1.1 yr. It is rated AA-, a high credit-safety grade. GripInvest lists this bond with a minimum investment of ₹10K.
Its 8.5% yield is solid for its risk band, toward the lower end at 154th of 177 Corporate bonds. That trails the Corporate median of 10.75% by 2.25 points, so the trade-off is lower yield for whatever else this issuer offers. A comparable SBI fixed deposit yields about 6.50%, so this bond adds roughly 2.00 points for taking on credit risk. Its short 1.1 yr horizon locks the rate for only a few years, limiting reinvestment risk. Paired with its very high safety (AA-) rating, that leans toward the safety-first end. Compare it against similar bonds on RightBonds before investing.
Investors comparing this bond often also look at IIFL Samasta (INE413U08093) at 11.5%, IIFL SAMASTA FINANCE (INE413U07442) at 10.65% and Asirvad Micro Finance (INE516Q08497) at 10.55%.
Bond details
What you keep after tax
Interest on a listed corporate bond is added to your income and taxed at your slab, so the 8.5% headline is a pre-tax number. Here is the same bond seen from each slab, on ₹1,00,000 held for the remaining 1.1 yr.
| Your tax slab | Post-tax yield | ₹1,00,000 becomes |
|---|---|---|
| No tax (income under the exemption limit) | 8.50% | ₹1,09,088 |
| 5% slab | 8.07% | ₹1,08,632 |
| 20% slab | 6.80% | ₹1,07,266 |
| 30% slab | 5.95% | ₹1,06,356 |
At a 9.1% coupon, ₹1,00,000 of face value pays about ₹9,100 of interest a year, under the ₹10,000 Section 193 threshold, so no TDS is withheld.
Slab rates only - surcharge and cess are not included, and the figures assume you hold to maturity. Sold on the exchange after 12 months instead, the gain is taxed as long-term capital gains at 12.5%. Not tax advice.
Against a fixed deposit, in rupees
Same ₹1,00,000, same 1.1 years, one in this bond and one in a tenure-matched SBI fixed deposit at 6.50%.
Bond figure compounds the yield annually; the FD compounds quarterly, as a cumulative bank FD does. Both are pre-tax and assume the bond is held to maturity and the issuer pays in full - the AA- credit risk is the reason for the gap.