Debt Mutual Funds

A debt fund is a type of mutual fund that invests in fixed income instruments such as corporate bonds, government bonds, corporate debt securities, money market instruments, etc.

Debt funds offer stable returns, are less volatile, and have lower costs and higher liquidity compared to equity funds.

Debt funds are suitable for investors seeking regular income, predictable returns, and minimal risk in their portfolio. There are different types of debt funds for various time horizons ranging from a few days up to 10 years.

There are different types of debt funds based on the maturity period of securities they invest in, as per the investment objective, e.g., liquid fund, money market fund, bond fund, gilt fund, medium duration, long duration fund, etc.

Debt fund managers invest in high-quality debt instruments with good credit ratings assigned by reputed agencies. These credit ratings help in assessing the instrument's safety, ability to pay interest and principal, and probability of default.

Step 1: Visit the Rupeezy app and navigate to the 'Invest' segment.

Step 2: Click on 'Explore' and select 'Debt' category.

Step 3: Select the type of debt fund or simply search for the fund name.

Step 4: Analyze the risk-return metric for all funds in a category.

Step 5: Go to 'List View' and check each fund's details and comparison.

Step 6: Select your choice of fund and investment mode as 'One Time' or 'SIP'.

Step 7: Enter investment amount and make payment via UPI or Net Banking.