https://v2.webnotes.in/tags/sdl/Recent content in SDL on WebNotesHugoen-INFri, 19 Jun 2026 00:00:00 +0000https://v2.webnotes.in/buy-sdl-zerodha/Wed, 20 May 2026 00:00:00 +0000https://v2.webnotes.in/buy-sdl-zerodha/<p><strong>State Development Loans (SDL)</strong> are debt instruments issued by state governments through the RBI weekly auction window. Zerodha lets retail investors bid via Kite&rsquo;s G-Sec window.</p> <p><strong>Conflict-of-interest disclosure.</strong> This guide is published by the WebNotes Editorial Team for informational purposes and is written independently. WebNotes operates a Zerodha account-opening referral programme, disclosed on the pages that carry the referral link; this guide does not carry it and earns no referral commission from the procedure described here.</p>https://v2.webnotes.in/sdl-vs-tbills-vs-gsecs/Wed, 20 May 2026 00:00:00 +0000https://v2.webnotes.in/sdl-vs-tbills-vs-gsecs/<p><strong>SDLs, T-Bills, and dated G-Secs</strong> are all sovereign-rated debt issued through the RBI auction window. Key differences:</p> <table> <thead> <tr> <th>Feature</th> <th>T-Bill</th> <th>SDL</th> <th>Dated G-Sec</th> </tr> </thead> <tbody> <tr> <td>Issuer</td> <td>Central government</td> <td>State government</td> <td>Central government</td> </tr> <tr> <td>Tenor</td> <td>91 / 182 / 364 days</td> <td>10+ years typical</td> <td>1 to 40 years</td> </tr> <tr> <td>Coupon</td> <td>None (zero coupon)</td> <td>Semi-annual</td> <td>Semi-annual</td> </tr> <tr> <td>Yield</td> <td>Discount to face value</td> <td>Coupon + price</td> <td>Coupon + price</td> </tr> <tr> <td>Auction frequency</td> <td>Weekly</td> <td>Weekly (Tuesdays)</td> <td>Bi-weekly (Fridays)</td> </tr> <tr> <td>Sovereign-backed</td> <td>Yes</td> <td>Yes (state)</td> <td>Yes (Centre)</td> </tr> <tr> <td>Liquidity</td> <td>Moderate</td> <td>Low</td> <td>Moderate to good</td> </tr> <tr> <td>Minimum on Zerodha</td> <td>Rs 10,000</td> <td>Rs 10,000</td> <td>Rs 10,000</td> </tr> </tbody> </table> <h2 id="when-to-use-which">When to use which</h2> <table> <thead> <tr> <th>Goal</th> <th>Pick</th> </tr> </thead> <tbody> <tr> <td>Park funds for 3-12 months</td> <td>T-Bill</td> </tr> <tr> <td>10-year+ steady-coupon investment</td> <td>G-Sec or SDL</td> </tr> <tr> <td>Highest yield among sovereign</td> <td>SDL (slightly higher than G-Sec)</td> </tr> <tr> <td>Maximum liquidity</td> <td>G-Sec</td> </tr> </tbody> </table> <h2 id="risk-hierarchy">Risk hierarchy</h2> <p>All three are sovereign-rated:</p>