There are
different types of mutual funds available in the market. Each comes with its
own set of benefits and purpose. It is always ideal to consult your finance
adviser before you zero on any mutual funds.
Today, we
shall discuss one of the many mutual funds available in the market, fixed
income mutual funds.
What
is Fixed Income Mutual Funds?
As the name
suggests, these mutual funds come with a fixed rate of returns. They are of the
likes of government bonds, investment-grade corporate bonds and high- yield
corporate bonds. They major objective of these bonds is to earn money on a
regular basis. This is possible with the interest earned through the funds.
However, high-yield corporate funds are generally riskier than funds that hold
government and investment- grade bonds.
Let us look in to some of the well- known fixed income mutual funds in the market.
An Open
Ended income Scheme, seeking to generate an attractive return, consistent with
prudent risk, from a portfolio which is substantially constituted of high
quality debt securities, predominantly of issuers domiciled in India. As a
secondary objective, the Scheme will seek capital appreciation.
Birla
Sun Life Income Plus
It is an
open ended growth scheme. It is an ideal investment for investors looking for
stable income with capital growth ranging from medium to long term tenure. The
corpus is invested in debt and money market.
HDFC
Income Fund
The major
objective of this scheme is to generate income while maintaining a balance of
safety, yield and liquidity. The investments come with a low risk on your
investments.
DSPBR
Government Securities Fund
It is an open ended income scheme, seeking to
generate income through investment in Central Government Securities of various
maturities.
Franklin
India Income Fund
The fund is
positioned in the long term bond fund category that focuses investment in high
quality fixed income instruments across segments such as G Secs, Corporate
Bonds and Money Market instruments.
No comments:
Post a Comment