Knowledge Base

Frequently Asked Questions

What is the reason for these shares not being listed on the Stock Exchange?
Unlisted shares are shares issued by a company before it undergoes an Initial Public Offering (IPO) to become listed on a stock exchange in India. Private companies must meet specific guidelines and eligibility criteria, such as market capitalization, company size, and listing fees, to list on a stock exchange. However, many companies in their early stages, lacking the resources to meet these requirements, remain unlisted.
Is it possible to purchase unlisted shares through a stock exchange?
No, unlisted shares cannot be purchased through a stock exchange. They are typically traded in private transactions outside of the formal stock exchange platform.
Is it possible to purchase unlisted shares online?
Yes, you can buy unlisted shares by registering with YieldYard.
Can I hold my unlisted share in my DMAT account?
Yes, like the listed shares, you can hold your unlisted share in you Demat account.
Is it possible to sell my unlisted shares at any time?
Yes, you can sell unlisted shares through Yieldyard or any other entity once you get the buyer for your shares.
Is it possible to obtain a loan using my unlisted shares as collateral?
Yes, it is possible to get a loan against unlisted shares. Many financial institutions and banks offer loans where unlisted shares can be used as collateral, provided they meet certain eligibility criteria and valuation requirements.
What are the minimum and maximum investment amounts in P2P lending?
The minimum amount you can lend typically ranges from Rs 500 to Rs 750, depending on the platform's policies. As per RBI guidelines, the maximum amount per lender is capped at Rs 50,00,000 across all P2P platforms.
Is p2p lending regulated?
Yes, peer-to-peer (P2P) lending is regulated by the Reserve Bank of India (RBI) in India. The RBI introduced guidelines for P2P lending platforms in 2017 to regulate the sector and ensure the protection of investors' interests.
What Are The Risks? How Are They Managed?
P2P lending platforms minimize risk by conducting thorough identity, credit, and risk assessments on every borrower based on hundreds of criteria. The customer’s investments are further protected by diversification across a number of borrowers. In case of defaults we use legally-compliant collection agencies to follow-up.
Are the returns earned from p2p lending subject to taxation?
Yes, the earnings from P2P investments will be included in your total income and taxed according to the applicable tax rate based on your income bracket.
How safe is the invested money? Who is this money lend to?
To safeguard the investments, on an average, one lender's money is distributed across more than multiple borrowers. All borrowers undergo thorough verification and are screened through hundreds of criteria. The funds are also managed by an RBI approved independent trustee and routed through an escrow bank account for added security only on your approval.
How can I withdraw my money? Are there any charges?
There might be withdrawal charges depending on the type of product brought.
Are there any additional / processing charges while investing or withdrawing?
There are no additional fees for investing or withdrawing after maturity. A payment gateway fee might apply, depending on the payment method chosen.
Does the risk vary with investment plans?
The level of risk is managed at the complete platform level which makes diversification and strong risk mitigation measures possible. The level of risk is similar across investment plans. Your returns depend on how long your investments remain deployed and hence the longer plan durations offer better returns.
Can I invest more than 10 lacs ?
According to the RBI, the maximum investment allowed in P2P platforms is ?10L. To increase this limit to ?50L, investors must demonstrate a net worth certificate of ?50L or more. This Net Worth Certificate is provided by an independent Chartered Accountant directly to you pursuant to your request.
Can I reinvest the amount post maturity? How does reinvesting work?
Yes few plans have reinvestment options.
Is there any lock-in for this investment?
The lock-in period depends on the plan selected.
Is the interest payout daily, weekly or monthly? Is this interest also re-invested?
Interest payouts vary based on the investment plan chosen. For the fixed term plans interest payout happens at maturity, Monthly payout plans you will get the payout on monthly basis and the principal at the time of maturity, while the freedom plan offers daily accrual of returns with the freedom to withdraw at any time.
How do the withdrawals work and what are the steps?
On registering with us as a lender, a virtual escrow account in your name gets opened. At the time of investment, you transfer your funds into this secure, personalized escrow account. From here your funds are disbursed to borrowers as loans. At the end of your investment period, the money is returned to this escrow account from where you can withdraw your money into your bank account.
Is my credit score impacted by giving this loan?
No, lending does not impact a lender's credit score.
Is there any 80C benefit on this investment?
No, there is no tax benefit under section 80C for investing.
How is my money invested?
1. Lenders (like you) invest Funds invested through different investment plans are merged into corpus funds2. Borrowers are selected Credible selection via rigorous verification & evaluation of 200+ criteria & 400+ data points3. Loans are disbursed Basis credit history and loan tenures, money is disbursed at rates ranging from 10% to 24% p.a.
What is the minimum investment required for PMS?
SEBI has mandated a minimum investment requirement of Rs.50Lakhs for investors participating in PMS
Is a DEMAT account necessary for PMS?
Yes, a DEMAT account is required for investing in PMS
How Can Investors Monitor The Performance Of Their PMS Portfolio?
Investors can monitor the performance of their PMS portfolio through regular updates provided by their portfolio manager, periodic statements, online portals, or mobile applications offered by the PMS provider. Additionally, investors can track the performance metrics such as returns generated, portfolio composition, sector allocation, and benchmark comparison to assess the performance of their PMS portfolio.
Can Investors Redeem Their Investments Partially Or Fully From PMS?
Yes, investors can typically redeem their investments partially or fully from PMS. The is no lock-in period.
What are the advantages of venturing into the Fixed Income Market (Bonds and Debentures)?
The fixed income market of bonds offers investors the potential for returns as high as 9 – 10% per annum or even greater. Investments in Bonds and Debentures present a more lucrative and dependable means of growing your wealth compared to existing options like fixed deposits and mutual funds. Furthermore, you enjoy added benefits such as minimal to low risk (for AAA to A Bonds), capital appreciation, regular income generation, tax-free income, and tax-saving opportunities within this investment realm. With YieldYard's user-friendly investment platform, you gain access to bonds previously exclusive to large corporations, Family Offices, or High Net Worth Individuals (HNIs).
What are Corporate Bonds and debentures?
Corporate bonds and debentures are debt investment instruments characterized by a Fixed Rate of Return and Fixed Maturity Period. While Bonds are typically securities issued by governments, debentures are exclusively issued by corporations. These instruments are issued by corporations to raise capital from investors, essentially functioning as loans utilized for various business endeavours such as expanding into new markets, initiating new projects, or expanding existing operations. In each bond or debenture issue, fixed interest payments (Coupons) are disbursed at regular intervals on predetermined dates. Additionally, the principal loan amount (face value per unit of Bond/Debenture) is repaid upon reaching the predetermined maturity date.
What are Non-Convertible Debentures (NCDs)? Differentiate between Bonds and NCDs.
NCDs, or Non-Convertible Debentures, are fixed-income debt instruments issued by corporations to raise capital. They offer fixed returns to investors. While both NCDs and Bonds provide fixed income to investors, there are some key differences between the two: 1. Issuers: NCDs are typically issued by corporations, while Bonds are primarily issued by government entities. 2. Interest Rates and Security: NCDs often offer higher interest rates compared to Bonds and can be either secured or unsecured. Bonds, on the other hand, may have lower interest rates and are generally considered senior debt securities. In the event of liquidation, bondholders are prioritized over debenture holders for repayment. These distinctions highlight the unique characteristics and considerations associated with investing in NCDs versus Bonds.
Are there potential risks associated with investing in bonds?
Within the Risk Pyramid framework, bonds are classified as low-risk securities, akin to Fixed Deposits. Nonetheless, there are a few inherent risks to consider: Default Risk: This risk arises when the issuer fails to meet its obligations, resulting in the loss of principal amount or missed interest payments. Liquidity Risk: Occurs when an investor needs to sell bonds before maturity but finds it challenging to locate buyers, potentially leading to selling at a discounted price. Interest Rate Risk: Fluctuations in interest rates impact bond prices inversely. Rising rates can cause bond prices to fall, while falling rates can drive prices up, affecting potential capital gains or losses upon sale.
Does a lock-in period apply to bonds? Can I withdraw my invested funds from bonds at any time before maturity?
Bonds are fully tradable securities, meaning there is no lock-in period for your bond investment. Should you wish to sell them before maturity, you can do so in the secondary market at the prevailing market price, which may differ from the par value
Who can invest in digital real estate platforms?
Resident Indians, Non-Resident Indians, and Indian institutions investing in compliance with domestic investment regulations outlined by exchange control laws in India.
How does real estate properties are selected and listed?
Well qualified team of experts will evaluate multiple factors including rental yield, location, tenant profile, lease duration, asset quality, potential for capital appreciation, market indicators, title legality, income prospects, etc and shortlist the properties.
What are the expected returns?
It varies from 8% to 20% per annum
Are the returns guaranteed?
The returns are not guaranteed, however, the rental yields for most listed opportunities are predetermined, there's always a risk that the yield may not be paid due to underlying real estate and leasing risks.
Which stock markets are available on the platform?
Currently, you can invest in US stock markets which are in NYSE and NASDAQ.
Can I invest in fractional shares?
Yes, you can start investing with as low as $10 by holding fractional shares of different companies.
Details about Yield Yard’s channel partner Stockal?
Stockal is a neo-brokerage platform that enables cross-border savings & investments for retail Indian investors across the world. Currently, we enable investors from India, Middle East to invest in over 5,500 stocks and ETFs listed in U.S. markets on our platform. Investors can choose to directly invest in stocks, ETFs, or through custom international portfolios built by financial experts.
What are the documents required to create an account on the platform?
ndian Residents: List of valid Photo identification proofs: Aadhar Card (front+back) Others: List of valid identification proof Resident Permit (front & back) National ID (front & back) Passport (with photo) Driver's License (front & back) List of valid Address Proof Bank / Society statement (E-statements accepted) Utility bill Driver's License (front & back) ID Proof Document: Please make sure Name and Date of Birth is same as mentioned in KYC form. Address Proof Document: (Only for MENA Users) Incase of address proof documents provided are any of the utility bills, please ensure no document with a PO Box is uploaded, as PO Box is not a valid form of address.
Where is my US investing account held?
Your investing (brokerage) account is opened at our US brokerage and clearing services partner DriveWealth LLC - a FINRA regulated brokerage firm. It is a licensed carrying and self-clearing broker offering brokerage services to global investors. DriveWealth is backed by Softbank Group and other leading venture capital firms in the financial services ecosystem.The custody of your account, in turn, would be held by DriveWealth.
What is the onboarding and transaction process of investing in US stocks?
Stockal enables you to access international markets and diversify your portfolio globally. When you create an account on Stockal, your brokerage account is, in turn, automatically created with DriveWealth - our US partner for clearing and brokerage services. It will take 15-20 minutes for your account to get approved. Once approved, you will have to fund the account by transferring money into the brokerage account from your bank account. Once the funds become available in your brokerage account, you will be able to make investments on Stockal. Feel free to use the extensive research and support available on the platform. After selling any of your investments, you can click on "Withdraw" to transfer funds back into your account to get your money back. When you begin the withdrawal process, all your available cash will be sent over to your domestic bank account
How can I trust my investment is secure?
Our current channel partner for digital gold and silver Augmont Gold is Government Accredited. Augmont is NABL and BIS accredited and a member of India Good Delivery standard on NSE, BSE and MCX.
Why should I buy from YieldYard?
Yield yard provides one stop platform to buy different investment products based on your suitability (life cycle, affordability, risk tolerance, return required). Our team of experts are focused only on generating good returns for the customers and do not charge the customers anything for this facility. We scan our channel partners and provide multiple options to our customers. Stay updated on every offers, investment trends and insights.
Can I buy fractional gold and silver?
Yes you can buy gold and silver based on your purchasing power.
Can I convert these to physical delivery?
Yes, you can easily convert your digi gold and silver into physical delivery whenever needed. It would be delivered to you once you opt for it.
Can I add funds to my Fixed Deposit?
No, funds cannot be added at any time of the tenure once your FD is booked.
What is the minimum and maximum investment tenure in an FD?
The minimum tenure of a fixed deposit is generally 12 months and the maximum tenure is up to 60 months.
How will I receive the interest amount?
The interest on FD will be credited to your registered bank account.
Are there any special rates for senior citizens?
Senior citizens get some additional top up on fixed deposits.

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