This is very relevant as Indian households have one of the highest savings rate in the world but the household wealth in India is generally parked in bank deposits, gold and real estate with almost negligible investment in corporate bonds.
If retail investors prefer to invest in shares of certain companies, there should be no reason why they should be hesitant to also consider investing in its debt. Financial stability Various financial crises have highlighted that even well regulated, supervised, capitalized and managed banking systems may have limitations in mitigating financial vulnerabilities.