market, so that the tax-break (if and when granted) is followed up with execution.
The way ahead
* One way to popularise G-Secs among the retail/individual investors is to make it available as an easy-to-understand, investible product, like deposits, through banks and post offices
* Banks can make G-Secs available to their customers, through notices put up at their branches or on their websites so that people can put in their bids
* The lot sizes for putting in the bids can be small as the aggregate of those bids is likely to be a reasonably large quantum
* The only issue with acquiring a G-Sec through this route is lack of liquidity in the secondary market for retail lots
* As and when the retail investor base increases, profit booking and cash flow needs of people will lead to demand and supply, which will automatically lead to trades in small lots
The author is senior vice-president, Advisory Desk, Fixed Income, BNP Paribas Wealth Management