To complement IDFC’s Project Finance and Investment Banking division, our Financial Markets Group operations have assumed greater importance vis-a-vis the overall franchise and contribute significantly to IDFC’s income stream. Today, we are one of the largest fixed income firms in India for accessing debt markets and investing/participating in debt financing structures. Functioning as a profit centre investing in fixed income assets while maintaining prudent safety norms, the investment strategy for our treasury operations focuses on optimizing returns and ensuring adequate liquidity to support core business requirements. As one of the largest players in the fixed income landscape in India, in addition to providing debt capital we provide fee-based services to enable our clients to access a wide range of debt financing products.

IDFC's Financial Markets Group division functions primarily focussed on three aspects:

  • As the backbone for project financing in our organisation, it focuses on liquidity management to provide sufficient funds at optimal costs
  • Capitalise on opportunities in the fixed income landscape through active proprietary bond trading to generate returns by taking calls in the fixed income trading space
  • Generate fee income from fixed income transactions across debt capital markets, loan syndications, debt structured finance and debt advisory services

Our team consists of highly qualified and experienced professionals who provide our clients with optimal debt financing solutions, including innovative and customised structures to suit their diverse financing requirements.

At IDFC Financial Markets Group, we manage fixed income instruments and take trading calls in Treasury Bills, Government of India securities (G-Secs), Bonds and Debentures, Certificate of Deposits (CDs), Commercial Paper (CPs) etc.

Through our Fixed Income Investment team we provide seamless execution and access to fixed income institutional investors through distribution of credit-rated debt capital market products to institutional investors such as insurance companies, mutual funds, non-banking financial companies, pension/gratuity funds, debt FIIs through our Fixed Income sales team.

We also structure, manage and arrange loan funds for our clients through our Loan Syndications team and provide customised financial and liability solutions to improve the bankability of our clients’ projects / credits by developing financing strategies and products to transfer and manage risk using various financial instruments identified by our Structured Finance team. We also provide innovative and insightful research to institutional investors covering macroeconomics, commodities and fixed income.

In addition, we have incorporated a separate entity - IDFC Primary Dealership Company Limited (awaiting regulatory clearances) - that will be the vehicle for IDFC's foray into the debt market primary dealership business. The Primary Dealership business will allow us to undertake activities such as acting as market makers in G-Secs, corporate bonds, Rupee interest rate swaps (IRS) and credit default swaps (CDS).