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Most investors know NIFTYBEES. But have you heard of GILT5YBEES? 👀 It is a simple way to get passive exposure to Government of India bonds through your demat account. GILT5YBEES tracks the Nifty 5-Year Benchmark G-Sec Index. In simple terms: → It gives exposure to the most liquid ~5-year Government of India bond → You don’t need to select individual G-Secs yourself → The index periodically shifts to the relevant benchmark security → You can buy and sell it on the exchange just like any other ETF → Credit risk is extremely low because the underlying borrower is the Government of India Think of it as something like NIFTYBEES for the 5-year Government bond market. But there is an important catch. GILT5YBEES is not risk-free. When bond yields rise, its price can fall. When bond yields fall, its price can rise, in addition to the underlying bond carry. So even though the credit risk is low, there is still interest-rate / duration risk. And taxation is important too 👇 For units bought now, gains are taxed at your applicable income-tax slab rate irrespective of how long you hold them. So unlike equity ETFs, simply holding GILT5YBEES for the long term does not give you a special LTCG tax rate. That makes it interesting mainly as a passive fixed-income allocation tool, not just because it is an ETF. For investors building portfolios across: Equity + Gold + Bonds, this is one instrument worth understanding. #bonds #gilt #etf