What Is Liquid Funds? – Friends, today I will tell you what is Liquid Funds. Friends Liquid Funds are Debt Funds. And the risk level inside them is also very low. If you also want to invest. And want to know about Liquid Funds. So that you can also make good profit. So you read our this article completely. We have got all the information related to Liquid Fund. You have given in this article.
What Is Liquid Funds?
Friends, Liquid Funds are Debt Funds. The risk level in these funds is very low. And these funds are the least risky among all classes of debt funds. Because they mostly invest in high quality fixed income securities. which matures quickly. So those who want to avoid risk. He invests in these funds.
Who should invest in Liquid Funds?
Friends, Liquid Fund gives us more returns as compared to Savings Account. So if you have any simple plus fund. So you consider keeping it in Liquid Fund. And the better you can earn returns. Because friends fund invest in high quality securities. That is why even risk averse investors can consider investing in liquid funds.
Risks of Liquid Funds-
Friends Liquid Funds invest in assets that mature within 91 days. That is why high occupancy is not seen inside these funds. But still, like any other investment option, liquid funds are not completely risk free. If there is any change in the credit rating of the inter-exporting assets. So this can also change the NAV of the fund. That is why liquid funds are also not completely risk free.
Benefits of Best Mutual Funds-
The most important benefits of investing in Friends Funds are as follows-
Like Friends and Funds, Liquid Funds are not actively restricted. Hence the expense ratio of Liquid Funds is low. As a result of which we get more take home return.
Friends, as I have already told you, Liquid Funds have low risk. Because those securities mature within 91 days. In such a situation the risk is less.
Friends, it is known by the name itself. It is an open ended mutual fund. Friends, you can make their units at any time. And you can levy a small fee as exit load if you exit within 7 days from the date of allotment.
Friends process this redemption day usually within one working day for redemption. And some liquid funds offer instant redemption facility.
Which is the best Liquid Funds-
- UTI Money Market Fund – Direct Plan – Growth
- UTI – Liquid Cash Plan – Band – Regular Plan – Growth
- Nippon India Ultra Short Duration Fund – Direct Plan – Growth
- Quant Liquid Plan Growth
- Kotak Money Market Scheme – Direct Scheme – Development
- ICICI Prudential Money Market Fund – Direct Plan – Growth
- Franklin India Liquid Super Institutional Plan Direct Growth
- Edelweiss Liquid Fund – Direct Plan – Growth
- JM Liquid Fund (Direct) – Growth Option
- Aditya Birla Sun Life Money Manager Fund – Direct Plan – Growth
Friends, today we have given you all the information about Liquid Funds. I hope you enjoy our information. If you face any problem. So you can ask us your questions by commenting.