(As of 15 Dec, 2020)
CRISIL AA Short Term Bond Index
Investors understand that their principal will be at Moderate Risk.
To generate income and capital appreciation by predominantly investing in AA and below rated corporate bonds
N / A
This fund is been allocated in various sectors including some of the prominent ones that are widely accepted and are creating a value of trust.
182 DTB 15042021
Housing Development Finance Corporation Limited
Rural Electrification Corporation Limited
LIC Housing Finance Limited
Credit Risk Funds need to have at least 65% of their investmentin lower rated securities such as those having AA-, A+, A-, BBB, etc. The maturity period of these papers is usually 1 – 3 years, unlike long maturity bonds. The interest rates offered by such companies is higher and earning scope arises when their ratings go up, offering a benefit of capital gains. They, at times,pose as an attractive investment option as they have the potential to give 2 – 3% higher returns than risk-free papers.
This fund is rated 3 stars by Morning Star Ratings.