Debt Mutual Funds

  • Debt mutual funds are a type of mutual fund, in which core holdings are fixed income investments and non equity instruments. A debt fund may invest in short-term or long-term bonds, securitized products, money market instruments or floating rate debt. The fee ratios on debt funds are lower, on average, than equity funds because the overall management costs are lower.
  • Diversification in portfolio is an utmost requirement these days. Debt mutual funds form an integral part of an investor’s portfolio. However, not all debt mutual funds safe guards the portfolio. Selection of a good debt mutual funds requires understanding of concepts like government bonds yield, yield curve, yield to maturity.
  • Wealth Folio brings a platter of such mutual funds after all the required back end research to enable investors select the right debt mutual fund in their portfolio time to time.