What is lacking in the Fixed return market?
Fixed return markets that are giving better returns than FDs like govt bonds and debentures are not gaining much hype in India, even though a lot of new people have started investing in the market. Is there any reason you see, where this market is lacking or things that should be improved upon?
It takes time. Distribution is just picking up (since 2020, I suppose). To change the sensibilities and preferences in the investment world, it usually takes a generation. Equities and MFs needed a pandemic lock down to take off to the popularity level it is today. Give Bonds some more years.
Safety.
Debt funds have terrible returns since Covid, tax benefit was removed by the govt. Govt bonds that have retail participation give less or at best as much as FD. Debentures are high risk if rated poorly including secured ones.