First, know what debt funds are.
These funds are invested in corporate and government bonds, treasury bills, and corporate debt securities. Debt funds offer steady returns on investment. These funds are now quite popular because of low risk and constant growth.
Why choose debt funds?
- If you have an appetite for low-risk, go for debt funds because they are less affected by market volatility.
- If you’re looking for a liquidity factor, they are suitable with an investment period ranging from one week to three years.
- If you’re looking for a tax-saving option, debt funds offer you this if you hold them for at least 3 years.
For more information on investment assets, you can rely on Future Value, a pool of financial experts that can guide you through this and help you in your investment journey.
