The easy money in India’s bond market may already have been made. After a rally driven by expectations of monetary easing, falling inflation and improved liquidity, the 10-year government bond yield has moved back above 7%, forcing investors to rethink where the next leg of fixed-income returns could come from.
For Vinit Bolinjkar, Head of Research at Ventura, the opportunity is shifting from capital appreciation to carry—locking in elevated yields, generating steady accrual income and selectively positioning for duration gains if inflation starts to moderate.
