Short-term funds are fixed-income funds that provide loans to corporations for a duration of 1 to 3 years. These funds primarily invest in high-quality companies that have a demonstrated history of timely loan repayment and sufficient cash flow from their business operations to support their borrowing.
Looking for a safe, liquid investment? Short-term funds offer many benefits:
Lower Interest Rate Risk:TThese funds are less sensitive to interest rate swings, decreasing loss risk.
Stable Income:Short-term funds can provide steady income, although their yield may be lower than long-term debt funds.
Liquidity:They allow easy access to finances for short-term demands or emergencies.
Diversification:Short-term funds can diversify your investing risks.
Investing in short-term funds offers minimal risk, liquidity, and a regular income. They can be used to place surplus funds or achieve short-term financial goals. As usual, assess how these funds fit into your investing strategy and whether they satisfy your financial needs and risk profile.
Lets have a closer look.
Now let us jump and check about these top 15 mutual fund schemes.
HDFC Short Term Debt Fund
Fund Performance: The HDFC Short Term Debt Fund Fund has given 5.79% annualized returns in the past three years and 6.82% in the last 5 years and 7.60% in the last 10 years. The HDFC Short Term Debt Fund Fund comes under the Equity category of HDFC Mutual Fund.
Minimum Investment Amount: The minimum amount required to invest in HDFC Short Term Debt Fund via lump sum is ₹ 100 and via SIP is ₹ 500.
Scheme Objective: The scheme seeks to generate regular income through investment in debt securities and money market instruments.
Scheme Manager: Anil Bamboli, Dhruv Muchhal.
Min Amt SIP
: ₹ 500
AUM in ( Cr.)
: ₹ 13070.1
1 Y Return (%)
: 7.95
Risko-Meter : Moderate
BANDHAN Bond Fund
Fund Performance: The BANDHAN Bond Fund Fund has given 5.31% annualized returns in the past three years and 6.15% in the last 5 years and 7.09% in the last 10 years. The BANDHAN Bond Fund Fund comes under the Equity category of Bandhan Mutual Fund.
Minimum Investment Amount: The minimum amount required to invest in BANDHAN Bond Fund via lump sum is ₹ 1000 and via SIP is ₹ 1000.
Scheme Objective: The scheme seeks to maximize returns consistent with high liquidity and low risk by creating a portfolio that is invested in good quality fixed income and money market securities. The fund would invest in securities having an average maturity of 1 to 16 months.
Fund Performance: The ICICI Prudential Short Term Fund Fund has given 6.18% annualized returns in the past three years and 6.95% in the last 5 years and 7.68% in the last 10 years. The ICICI Prudential Short Term Fund Fund comes under the Equity category of ICICI Prudential Mutual Fund.
Minimum Investment Amount: The minimum amount required to invest in ICICI Prudential Short Term Fund via lump sum is ₹ 100 and via SIP is ₹ 500.
Scheme Objective: The scheme seeks to generate income through investments in a range of debt and money market instruments of various maturities with a view to maximising income while maintaining the optimum balance of yield, safety and liquidity.
Scheme Manager: Rohan Maru, Darshil Dedhia.
Min Amt SIP
: ₹ 500
AUM in ( Cr.)
: ₹ 20071.24
1 Y Return (%)
: 7.75
Risko-Meter : Low to Moderate
Invesco India Short Duration Fund
Fund Performance: The Invesco India Short Duration Fund Fund has given 4.90% annualized returns in the past three years and 5.75% in the last 5 years and 6.65% in the last 10 years. The Invesco India Short Duration Fund Fund comes under the Equity category of Invesco Mutual Fund.
Minimum Investment Amount: The minimum amount required to invest in Invesco India Short Duration Fund via lump sum is ₹ 1000 and via SIP is ₹ 500.
Scheme Objective: The scheme seeks to generate steady returns with a moderate risk by investing in a portfolio comprising of short-medium term debt and money market instruments.
Fund Performance: The Invesco India Short Duration Fund Fund has given 4.89% annualized returns in the past three years and 5.75% in the last 5 years and 6.65% in the last 10 years. The Invesco India Short Duration Fund Fund comes under the Equity category of Invesco Mutual Fund.
Minimum Investment Amount: The minimum amount required to invest in Invesco India Short Duration Fund via lump sum is ₹ 25000 and via SIP is ₹ 500.
Scheme Objective: The scheme seeks to generate steady returns with a moderate risk by investing in a portfolio comprising of short-medium term debt and money market instruments.
