Synopsis
Looking to invest in debt mutual funds? Choose from the top five funds: DSP Credit Risk Direct Plan(G), Invesco India Credit Risk Fund(G)-Direct Plan, DSP Strategic Bond Fund(G)-Direct Plan, SBI Long Duration Fund(G)-Direct Plan, and HDFC Long Duration Debt Fund(G)-Direct Plan.
Looking to invest in debt mutual funds which have delivered higher returns than your fixed deposit schemes? Well there are at least 116 such plans with superior income on investments but we have picked the top five for you.
In debt MFs, returns up to 1 year are simple annualised as against equity mutual funds where returns up to one year are absolute.
While interest rates on fixed deposits vary from bank to bank, a standard annualized rate of 8% per annum has been taken as the benchmark. Five debt MFs which have given higher returns are:
1) DSP Credit Risk Direct Plan(G)
The DSP Credit Risk Direct Plan(G) has given an annualised 1-year returns of 17.18%. This fund is a mix of high yielding and lower-rated debt securities and it invests in debt instruments across different credit ratings, with at least 65% in AA and below rated securities. The total Assets Under Management (AUM) stood at Rs 205.15 crore as on January 31, 2024 while the net asset value (NAV) as on February 27 stood at Rs 42.56%.
2) Invesco India Credit Risk Fund(G)-Direct Plan
Artificial Intelligence(AI)
Java Programming with ChatGPT: Learn using Generative AI
By - Metla Sudha Sekhar, Developer and Lead Instructor
Artificial Intelligence(AI)
Basics of Generative AI : Unveiling Tomorrow's Innovations
By - Metla Sudha Sekhar, Developer and Lead Instructor
Artificial Intelligence(AI)
Generative AI for Dynamic Java Web Applications with ChatGPT
By - Metla Sudha Sekhar, Developer and Lead Instructor
Artificial Intelligence(AI)
Mastering C++ Fundamentals with Generative AI: A Hands-On
By - Metla Sudha Sekhar, Developer and Lead Instructor
Artificial Intelligence(AI)
See AlsoDebt Mutual Funds vs Bonds: Your Ultimate 14 Step Guide - AsperoShould I Cash Out of Mutual Funds To Pay Off Debt?Association of Mutual Funds in IndiaDebt Fund Investment - Who Should Invest in Debt Funds?Master in Python Language Quickly Using the ChatGPT Open AI
By - Metla Sudha Sekhar, Developer and Lead Instructor
Office Productivity
Zero to Hero in Microsoft Excel: Complete Excel guide 2024
By - Metla Sudha Sekhar, Developer and Lead Instructor
Astrology
Vastu Shastra Course
By - Sachenkumar Rai, Vastu Shashtri
Data Science
SQL for Data Science along with Data Analytics and Data Visualization
By - Metla Sudha Sekhar, Developer and Lead Instructor
Web Development
A Comprehensive ASP.NET Core MVC 6 Project Guide for 2024
By - Metla Sudha Sekhar, Developer and Lead Instructor
Office Productivity
Mastering Microsoft Office: Word, Excel, PowerPoint, and 365
By - Metla Sudha Sekhar, Developer and Lead Instructor
Marketing
Digital marketing - Wordpress Website Development
By - Shraddha Somani, Digital Marketing Trainer, Consultant, Strategiest and Subject Matter expert
Web Development
Mastering Full Stack Development: From Frontend to Backend Excellence
By - Metla Sudha Sekhar, Developer and Lead Instructor
Finance
Financial Literacy - TDS, Budget, Income Tax Act, GST, Indirect tax
By - CA Rahul Gupta, CA with 10+ years of domain experience, trainer
Leadership
Business Storytelling Masterclass
By - Ameen Haque, Founder of Storywallahs
Future of Marketing & Branding Masterclass
By - Dr. David Aaker, Professor at Haas School of Business
HR & People Management
Human Potential and the Future of Employment
By - Lynda Gratton, Co-chair of the World Economic Forum Council on Work, Wages and Job Creation, Professor of Management Practice
Strategy
ESG and Business Sustainability Strategy
By - Vipul Arora, Partner, ESG & Climate Solutions at Sattva Consulting Author I Speaker I Thought Leader
Finance
Financial Reporting and Analytics
By - Dr. C.P. Gupta, Professor: Department of Finance and Business Economics, University of Delhi
Marketing
Performance Marketing for eCommerce Brands
By - Zafer Mukeri, Founder- Inara Marketers
The 1-year annualised returns delivered by Invesco India Credit Risk Fund(G)-Direct Plan stands at 13.60%. The average AUM at the December ended quarter stood at Rs 139 crore with NAV reported at Rs 1878.44 as on February 27. The fund invests in corporate debt securities of varying maturities across the credit spectrum and its investments are in corporate bonds rated 'AA' or below.
3) DSP Strategic Bond Fund(G)-Direct Plan
The 1-year annualised returns given by DSP Strategic Bond Fund(G)-Direct Plan stand at 11.32%. This fund invests in high-quality government and corporate debt securities with 100% investments in AAA or higher rated instruments. One of DSP's oldest debt funds with a 14 year+ track record, it is a highly liquid portfolio with actively managed portfolio duration based on future interest rate movement predictions.
The AUM as on January 31, 2024 stood at Rs 911.74 crores while the NAV as on February 27, 2024 was Rs 3,039.78.
SBI Long Duration Fund(G)-Direct Plan
The 1-year annualised returns given by SBI Long Duration Fund(G)-Direct Plan stand at 11.15%. The NAV as of February 27, 2024 is Rs 11.25 for Growth option of its Direct plan while the AUM as on January 31, 2024 stood at Rs 1227.31 crore. It is an open-ended debt scheme investing in instruments such that the Macaulay duration of the portfolio is greater than 7 Years.
HDFC Long Duration Debt Fund(G)-Direct Plan
The 1-year annualised returns given by HDFC Long Duration Debt Fund(G)-Direct Plan stand at 10.86%. This is also an open ended debt scheme investing in instruments such that the Macaulay Duration of the portfolio is greater than 7 years. The scheme was launched in January 2023. The AUM as on January 31, 2024 stood at Rs 1,738.27 crore while the NAV at Rs 11.11.
Also Read: Rs 6 lakh investment doubles in 5 years with this large & midcap mutual fund scheme. Check details
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)
Read More News on
investmentmutual funddebt mutual fundsfixed deposit schemesequity mutual funds
(Catch all the Mutual Fund News, Breaking News, Budget 2024 Events and Latest News Updates on The Economic Times.)
Subscribe to The Economic Times Prime and read the ET ePaper online.
...moreless
Read More News on
investmentmutual funddebt mutual fundsfixed deposit schemesequity mutual funds
(Catch all the Mutual Fund News, Breaking News, Budget 2024 Events and Latest News Updates on The Economic Times.)
Subscribe to The Economic Times Prime and read the ET ePaper online.
...moreless