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The Daily Insight

What are fixed income indices?

Author

Henry Morales

Published Mar 13, 2026

NIFTY Fixed Income indices offer independent and comprehensive benchmarks for the fixed income market in India, covering universe of fixed income assets including government securities, T-bills, corporate bonds of different credit rating categories, commercial papers, certificate of deposits and overnight rate.

What is the benchmark for bond funds?

A benchmark bond is a standard measure of a bond’s risk or return against which other bonds are measured. Benchmark bonds are typically on-the-run Treasuries, since these are considered the most highly rated and liquid debt.

What are fixed income products?

Fixed income is an investment approach focused on preservation of capital and income. It typically includes investments like government and corporate bonds, CDs and money market funds. Fixed income can offer a steady stream of income with less risk than stocks.

Why do people invest in fixed-income?

Fixed income investments can help you generate a steady source of income. Investors receive a fixed amount of income at regular intervals in the form of coupon payments on their bond holdings. In the case of many, municipal bonds, the income is exempt from taxes.

How do you write a benchmark?

How to benchmark your business performance

  1. Identify what you’re going to benchmark. Create targeted and specific questions that:
  2. Identify your competitors. Write down a list your competitors.
  3. Look at trends.
  4. Outline your objectives.
  5. Develop an action plan for your objectives.
  6. Monitor your results.

Can a bond fund lose money?

A bond fund with an average duration rate of 10 years would lose about 10%. If interests went down by 1%, the funds would gain 3% and 10%, respectively. Bonds have historically provided downside protection during periods of stock-market declines.

How do you know if a benchmark is appropriate?

One way to get a sense of how to allocate the asset classes in a benchmark is by looking at the composition of the many asset allocation and target mutual funds offered by investment companies. The funds are allocated by percent, such as 60% equity, or by a target date similar to your investment horizon.

Is Social Security a Fixed income?

Your Social Security payments may go up (or down) for cost of living adjustments, but once you start Social Security, your monthly payments are fixed. Pensions are like Social Security and are also considered to be fixed income. There are many types of fixed income investments that may be used for retirement.

How do you generate Fixed income?

Here are the best investment options to help you get a regular income:

  1. NBFC Fixed Deposit:
  2. Post Office Monthly Income Scheme:
  3. Senior Citizen Savings Scheme:
  4. Long-term Government Bond:
  5. Equity Share Dividend:
  6. Annuity:
  7. Mutual Fund Monthly Income Plan:

Is fixed income worth it?

Because fixed income typically carries less risk, these assets can be a good choice for investors who have less time to recoup losses. However, you should be mindful of inflation risk, which can cause your investments to lose value over time. Fixed income investments can help you generate a steady source of income.