• Real estate yields: Property investments in high-growth markets like Bangalore can deliver combined returns of 12% to 13%, driven by post-handover rental yields of 7% to 8% and annual capital appreciation of 5% to 6%.
• Fixed income duration: Investors are advised to position in 1- to 3-year durations in the near term amid potential 75 to 100 basis point rate hikes, while locking into 30- to 40-year bonds at 7.80% to 7.85% to mitigate long-term reinvestment risks.
• SIF and hybrid products: Specialized Investment Funds (SIFs) and hybrid arbitrage funds provide tax-efficient, income-oriented returns of 8% to 9%, combining the regulatory transparency of mutual funds with the portfolio flexibility of PMS and AIFs.
• Structured credit expansion: Following RERA and IBC reforms, the domestic structured credit and REIT/InvIT markets have expanded to approximately $30 billion each, with structured credit yielding between 11% and 16%.