Reliance Bonds Raise Rs 100 Cr On First Day

The effective yield to investors who purchased their units last July, at the sale price of Rs 14, works out to 9.64 per cent, which is tax exempted.

This works out to an effective yield of 13.77, 12.05, and 10.71 per cent for those in 30, 20 and 10 per cent tax brackets, respectively. The returns may be considered decent given the difficult market conditions in which the fund had to operate the previous year. But the tr uth is different. Consider the following facts:

* Forty five