Upcoming NCD issues in India 2026: How to buy online and secondary market guide
Saurabh Mukherjee • 04 June 2026
Introduction
NCD public issues - commonly called NCD IPOs - have become one of the most active segments of India's retail debt market. In FY2025–26, major NBFCs and corporate entities have launched multiple NCD tranches, with several issues oversubscribed within hours of opening. The falling rate environment makes locking in current NCD coupon rates particularly relevant in 2026.
For retail investors, NCD public issues offer a straightforward way to access institutional-grade debt instruments at face value - before they enter the secondary market. This guide covers how to track upcoming NCD issues, how to apply online, how to compare series, and how to buy NCDs in the secondary market if you missed the primary window.
All content is educational and does not constitute investment advice.
What Is an NCD Public Issue?
An NCD public issue - also called an NCD IPO - is a primary market offering in which a company invites investors to subscribe to Non-Convertible Debentures at face value during a defined subscription window. The issuer files a Prospectus with SEBI and the exchanges, and the issue is open for 2 to 10 working days.
Unlike equity IPOs where investors bid for shares, NCD public issues have a fixed coupon rate and fixed allotment price - investors simply choose how much to invest and in which series. The return is known from the day you apply. After the issue closes, NCDs are listed on NSE and BSE for secondary market trading.
How the NCD Primary Market Works in India
| Stage | What Happens | Typical Timeline |
|---|---|---|
| SEBI filing | Issuer files Draft Shelf Prospectus and Tranche Prospectus with SEBI, NSE, and BSE | 2–4 weeks before issue opens |
| Issue opens | Subscription window opens; investors can apply via ASBA or UPI through brokers, banks, and OBPPs | Stated opening date |
| Issue closes | Subscription window closes — or closes early if oversubscribed before the stated date | Stated closing date or earlier |
| Allotment | NCDs allotted on first-come-first-served basis within each investor category; refunds processed for excess applications | Within 6 working days of closure |
| Listing | NCDs listed and begin trading on NSE and BSE; investors can buy and sell in secondary market | Within 6 working days of allotment |
| Coupon payments begin | First coupon payment credited to investor's registered bank account per the schedule in the offer document | As per first payment date in Prospectus |
Where to Find Upcoming NCD Issues in India 2026
NSE - NSEgoBID: The NSE's dedicated bond bidding platform at nsegobid.nse.co.in lists all open and upcoming NCD public issues with issue size, dates, credit rating, and series details.
BSE - BSEDirect: The BSE portal at bsedirect.bseindia.com lists NCD issues on BSE. Most large public issues are listed on both NSE and BSE simultaneously.
SEBI Filing Portal: All Prospectuses are filed on SEBI's filing portal at sebi.gov.in. Checking filings gives advance notice of upcoming issues before they are publicly marketed.
SEBI-Registered OBPP Platforms: Platforms such as BondScanner aggregate open NCD issues alongside secondary market inventory. Visit bondscanner.com/bonds.
Lead Manager and Issuer Websites: Investment banks appointed as lead managers and the issuing companies themselves publish announcements on their websites and through investor communications.
Who Typically Issues NCDs in India?
| Issuer Category | Examples | Typical Rating Range | Coupon Range 2026 | Key Risk |
|---|---|---|---|---|
| Diversified NBFCs | Bajaj Finance, Tata Capital, Shriram Finance, IIFL Finance | AA– to AAA | 8.0%–9.5% p.a. | Credit portfolio quality; interest rate sensitivity |
| Gold Loan NBFCs | Muthoot Finance, Manappuram Finance | AA to AA+ | 8.5%–10.0% p.a. | Gold price risk; rural borrower concentration |
| Housing Finance Companies | Indiabulls Housing, PNB Housing | A to AA | 9.0%–10.5% p.a. | Real estate market; mortgage loan quality |
| Infrastructure / Conglomerates | Adani Enterprises | AA– | 8.5%–9.0% p.a. | Group-level leverage; sector concentration |
| Microfinance / Small Finance NBFCs | Indel Money, Visu Leasing | BBB to A– | 11.0%–13.0% p.a. | Rural borrower default risk; regulatory risk |
Why NCD Issues Often Close Before the Stated Date
Allotment is on a first-come-first-served basis within each investor category. When applications exceed the issue size in a category, the issuer may close early.
Several prominent NCD issues in FY2026 closed within hours of opening - Adani Enterprises NCD Tranche III (January 2026) opened on 6 January 2026 and closed the same day after being fully subscribed within a few hours.
Practical implication: Apply on Day 1 - ideally as early in the day as possible. Applications submitted after an issue has been oversubscribed in your category will not receive allotment even if technically within the subscription window.
How to Evaluate an NCD Issue Before Applying
1. Credit Rating and Outlook: Check the rating from CRISIL, ICRA, or CARE - and the outlook (Stable or Negative). Two independent agency ratings are more reliable than one. Refer to Credit Rating Agencies in India: CRISIL, ICRA, CARE Explained.
2. Secured or Unsecured: Secured NCDs have specific asset backing - check the asset cover ratio (minimum 1.0x required). Unsecured NCDs from lower-rated issuers carry higher recovery risk in default.
3. Objects of the Issue: Growth lending and capex funding are healthier uses than purely refinancing debt. Heavy reliance on "general corporate purposes" warrants scrutiny. Refer to How to Read a Bond Offer Document in India.
4. Issuer Financials: For NBFCs: check Net NPA (below 3–4% is healthier), Capital Adequacy Ratio (minimum 15%), and AUM growth versus credit cost trends.
5. Series Comparison by YTM: Most NCD issues offer 3–5 series. Compare by YTM - not coupon rate alone - to identify the best effective return for your horizon.
6. Debenture Trustee: SEBI mandates a trustee for all public NCD issues - the trustee acts on behalf of all bondholders in a default scenario.
How to Compare NCD Series: A Step-by-Step Framework
| Parameter | What to Check | Example: Choosing Between Series II and Series IV |
|---|---|---|
| Tenure | How long does each series run? Match to your investment horizon. | Series II: 36 months | Series IV: 60 months — choose based on when you need the money back |
| Coupon frequency | Monthly/quarterly for regular income; annual or cumulative for long-term compounding | Series II: quarterly payout | Series IV: cumulative — choose based on income need |
| Coupon rate | Stated annual rate on face value — for primary market at face value, this equals YTM | Series II: 8.75% | Series IV: 9.00% — Series IV pays more but locks in for longer |
| YTM | Effective annualised return — critical for secondary market; equals coupon rate at face value in primary market | Both equal coupon rate when bought at face value in primary issue |
| Effective yield on cumulative series | For cumulative series, convert the maturity amount to a CAGR for apples-to-apples comparison | Cumulative 9% for 60 months: Rs. 1,000 grows to Rs. 1,538 — CAGR = 9.0% |
For calculating effective returns, refer to Bond Yield Calculator India: YTM and Absolute Returns.
How to Buy NCD Online: Primary Market Step by Step
Through a broker:
1. Log in to your broker's trading or investment platform (like Zerodha, Groww, HDFC Securities, ICICI Direct, Angel One)
2. Navigate to the IPO / Bonds / NCD section
3. Search for the open NCD issue by company name
4. Select your preferred series - review coupon rate, tenure, and payment frequency
5. Enter quantity - minimum Rs. 10,000 for most issues (10 bonds × Rs. 1,000 face value)
6. Choose payment method: ASBA (bank block) or UPI mandate
7. Submit the application
8. For ASBA: bank blocks the application amount until allotment
9. For UPI: approve the mandate in your UPI app within 30 minutes
10. After allotment: NCDs credited to Demat; blocked funds released for unallotted amounts
Through your bank: Most major banks offer NCD application directly through their mobile or internet banking under the IPO or investment section.
Through a SEBI-registered OBPP: Platforms such as BondScanner display open NCD issues and facilitate applications routed through the exchange mechanism.
Important: For UPI applications, ensure your UPI block mandate limit is sufficient - NPCI allows up to Rs. 5 lakh per transaction.
How to Buy NCDs in the Secondary Market
If you missed a primary NCD issue - or want to buy an NCD from a previous tranche - the secondary market on NSE and BSE is the route.
Step-by-step:
1. Identify the NCD by ISIN: Each NCD series has a unique 12-character ISIN. Search by company name or ISIN on your broker platform or on BondScanner
2. Check YTM - not coupon rate: In the secondary market, the NCD trades at market price - above or below face value. YTM is the actual return - always use YTM, not the printed coupon rate
3. Review credit rating and maturity date: Confirm the rating is current and the remaining tenure matches your horizon
4. Check trading volume: Review the last 5–10 trading days. Low volume means wide bid-ask spreads and potential difficulty buying at fair value
5. Place a buy order: Enter the ISIN in your trading platform's debt/bond segment. Set a market or limit order
6. T+1 settlement: NCD credited to your Demat account the next working day
For a complete guide to secondary market mechanics, refer to Bond Secondary Market in India: How Trading and Settlement Works.
Primary Market vs Secondary Market: Which Route to Choose?
| Parameter | Primary Market (NCD IPO) | Secondary Market (Listed NCDs) |
|---|---|---|
| Price | Face value — Rs. 1,000 per NCD; YTM equals coupon rate | Market-determined — above or below face value; YTM differs from coupon rate |
| Availability | Only during subscription window — often days or hours | Any working day during exchange hours |
| Range of choice | Only currently open issues | All listed NCDs across issuers, ratings, and tenures |
| Minimum investment | Rs. 10,000 for most retail issues | One NCD unit at market price — varies by instrument |
| Application method | ASBA or UPI mandate through broker, bank, or OBPP | Standard buy order on NSE/BSE through broker or OBPP |
| Settlement | Allotment within 6 working days of issue closure | T+1 — credited to Demat next working day |
| Allotment certainty | Not guaranteed — first-come-first-served; may be oversubscribed | Certain if order executes — no oversubscription risk |
| Price transparency | Fully transparent — face value stated in Prospectus | Live bid-ask prices visible on exchange; check YTM before buying |
Taxation on NCD Investments in India 2026
Coupon income: Taxed as "Income from Other Sources" at applicable slab rate. No TDS on listed NCDs held in Demat form for resident Indians - self-reporting in ITR mandatory.
Capital gains on sale before maturity:
● Within 12 months: STCG - taxable at slab rate
● After 12 months: LTCG - taxable at 12.5% without indexation
At maturity: No capital gains tax for standard coupon-bearing NCDs held to maturity. Only coupon income is taxable.
For a complete breakdown, refer to Taxation on Bonds in India: Comprehensive Guide.
FAQs
Where can I find upcoming NCD issues in India 2026?
Track upcoming and open NCD issues on NSE's NSEgoBID, BSE's BSEDirect portal, SEBI-registered OBPP platforms such as BondScanner, and SEBI's filing portal. Lead manager and issuer websites also publish announcements.
How do I apply for an NCD IPO online?
Apply through your broker's trading platform, your bank's app under the IPO or bond section, or through a SEBI-registered OBPP. Applications are submitted via ASBA or UPI mandate. Minimum application is Rs. 10,000 for most retail NCD issues.
How do I buy NCDs in the secondary market?
Log in to your broker's platform or BondScanner. Search by ISIN or company name. Review YTM (not just coupon rate), credit rating, and maturity date. Place a buy order on NSE or BSE. Settlement is T+1.
Why do NCD issues close before the stated date?
Allotment is on a first-come-first-served basis. When applications exceed the issue size in a category, the issuer may close early. Several FY2026 issues closed on Day 1. Always apply on the first day the issue opens.
What is the minimum investment in an NCD public issue?
Rs. 10,000 for most retail NCD issues - typically 10 bonds at Rs. 1,000 face value. In the secondary market, you can purchase a single unit at the prevailing market price.
Can I apply for an NCD IPO through UPI?
Yes. Submit the application and approve the UPI block mandate in your UPI app within 30 minutes. Ensure your UPI limit covers the application amount - NPCI allows up to Rs. 5 lakh per block mandate transaction.
What is the difference between an NCD IPO and buying NCDs in the secondary market?
In an NCD IPO, you buy at face value during the subscription window - YTM equals the coupon rate. In the secondary market, you buy at the current market price - YTM may differ from the coupon rate. The secondary market is available any working day; the primary market only during the subscription window.
This article is published by BondScanner, a SEBI-registered Online Bond Platform Provider (OBPP). Links to BondScanner's bond listing page, Android app, and iOS app referenced in this article are for informational purposes only.
Explore listed bonds on the BondScanner app:
Disclaimer
This blog is intended solely for educational and informational purposes. The instruments, issuer categories, yield ranges, and examples mentioned herein are illustrative and should not be construed as investment advice or recommendations.
BondScanner is a SEBI-registered OBPP and does not provide personalised investment advice. Nothing in this article is a solicitation to buy or sell any security.
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