Is it safe to invest in Tata Steel’s corporate bonds

[samkapoor77]

The major portion of my life time savings is invested as FD with Punjab National Bank wherein being a senior citizen I am getting 9.75% rate of interest payable monthly. Somebody has suggested me to move these savings to Corporate Bond of Tata Steel where the rate of interest will be 11.5% perpetual. Being a retired person, the major source of my livelihood is interest from FD. Is it advisable to move my funds?

[samkapoor77]

I have a straight forward answer ? NO. Corporate bond has less liquidity as compared to FD and then at this age, you shouldn’t take this risk.

[Author]

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