ICRA downgrades Yes Bank. More action on Monday

[RahulKhanna]

Indian debt markets have become more action packed than the equity markets. After IL&FS, DHFl, Zee and Reliance ADAG and Capital, it’s now the turn of Yes Bank.

Ratings agency ICRA has downgraded the ratings on Rs 33,000 crores of Yes Bank bonds.

Source

Icra downgrades ratings, outlook on Yes Bank, 2 Reliance Capital arms

The stock is down close to 50% in the last one year while Nifty and Bank Nifty are up 10% and 17% respectively

Also

Everything you need to know about the ratings downgrade of Reliance Capital and Reliance Home Finance. RHFL bond now offers 50% yield

The prospectus should have the details.

Being adventurous when investing in debt can be disastrous

No matter what the goal or the duration of it, fixed income allocation (debt) is almost always necessary. But investing in debt instruments for the wrong reasons or with wrong expectations can most often not be disastrous. In the past year or so, we’ve seen this play out in spectacular fashion with IL&FS, DHFL, Zeel, Reliance Home Finance, and others. The reason for writing this post is to give you some pointers on how to invest in debt instruments without taking on too much risk. These are als…