How to buy bonds on zerodha
Updated: Sep 12, 2019
Since we get a few questions about the mechanics of how to buy bonds that we offer from the CM Bond Desk, this post walks you through exactly that.
Now, you've decided bonds make sense for your portfolio. What next?
Step 1 of 3: Check the CM Bonds Price List to see bonds on offer and their prices
You identify the Manappuram bond maturing in Nov 2025 as the right candidate for your portfolio at the stated yield of 10.60%
Note: We will already have placed the Sell order at the published price for all to see and buy at.
Step 2 of 3: Submit intent to buy
On the same page, scroll down to the 'Contact us to buy' form and submit your details.
Soon after you submit, you receive an email from CM Bond Desk that looks like this.
This email walks you through the next steps to execute the trade.
Step 3 of 3: Log into your zerodha account and place buy order
Find the bond you're buying by entering the Symbol against the bond you decided to buy. In this example, scroll up to the Price List and see that the symbol of the Manappuram Nov 2025 bond is MFL29NOV18D
Enter this into the Search box on zerodha to get current Bid and Ask for this bond.
We will have already placed the Sell order in the morning at the published price. You place the Buy order and get the bonds at or below the published price (whichever is lower) at the time.
You will get delivery of the bonds as per the exchange settlement timeline of T+2 days. That's it!
So that's how you buy bonds from the CM Bond Desk on zerodha.
Any queries? Write to us at bonddesk [at] capitalmind [dot] in