Fund

Liquid Funds
Ultra short-Term Bond Funds
Short-Term Income Funds
Fixed Maturity Plans (FMPs)

Long-Term Income Funds

Gilt Funds

Monthly income Plans (MIPs)

Capital Protection Oriented Funds (CPFs)

Dynamic Bond Funds

Credit Opportunity Funds

Feature
Low duration funds, with portfolio maturity of less than 91 days.
Low duration funds, with portfolio maturity of less than a year.
Medium duration funds where portfolio maturity ranges from one year – three years.
Passively managed close-ended funds, where investments are held to maturity.

Medium to long duration funds with portfolio maturity between three and 10 years.

Medium to long duration funds with portfolio maturity between three and 20 years and negligible
credit risk,

Medium to long duration funds normally with exposure of less than 30% to equity.

Follow an investment structure which seeks to protect the initial investment from capital erosion.
These type of scheme offered is “oriented towards protection of capital” and “not with guaranteed
returns”. The orientation towards protection of the capital originates from the portfolio structure of the
scheme and not from any bank guarantee, insurance cover etc.
Actively managed by reducing the portfolio maturity in a rising interest rate environment and
increasing portfolio maturity in a falling interest rate environment.
These funds purchase bonds in lower rated bonds to generate higher returns/yields.
Suitability
A good alternative to savings bank account; potential to offer higher post-tax returns.
Ideal for parking short-term surplus money; also offer slightly better returns than liquid funds.
Investors with a horizon greater than one year can benefit from these funds in a rising interest rate scenario.
An alternative to FDs with investment horizon of over three years.

Suitable for investors with a longer investment horizon. These funds benefit when interest rates fall as bond prices (NAVs) and

The gilt portfolio of these funds does not carry credit risk, only interest rate risk. These funds benefit the most in a falling interes

Ideal for investors who are looking for returns better than traditional debt instruments and do not want higher exposure to equiti
income and the equity portion provides appreciation when stock markets rise.

CPFs have a small equity component which gives risk-averse investors an opportunity to participate in the equity markets witho
is protected. CPFs are also rated by credit rating agencies.

Ideal for investors who may find it difficult to judge the interest rate movement. These funds help investors minimize interest rat
maturity according to the interest rate scenario. Maturity is longer when interest rates fall and shorter when interest rates rise.
Suitable only for investors with a profile to take higher risk as investing down the rating spectrum adds to the risk of the portfolio