SEBI, in June 2019, made a few changes to investment guidelines and valuation of securities in debt mutual funds. These changes enhance credit and liquidity profile of the liquid funds. At the same time, these changes can make liquid funds a bit volatile. Let’s try to understand the new SEBI rules. #1 Liquid funds are now required to hold 20% in liquid … [Read more...] about Liquid Funds to have exit load and will now be a bit volatile
how to select a liquid fund
Over the past few years, we have seen debt mutual funds being promoted as a replacement for fixed deposits. I do not deny that there are a few clear benefits and debt mutual funds may provide better tax-efficient returns as compared to bank FDs. However, the return of principal is more important than return on principal. And the events of the past few years (ILFS default … [Read more...] about How to select a Liquid Fund?