Liquid Mutual Funds

Let’s See The Liquid Mutual Funds

Liquid Mutual Funds are also known as the Debt mutual funds/ Short term funds/ Ongoing funds.

In Liquid Funds, the money is invested in very short-term market instruments like government securities, term deposits etc.

These kind of mutual funds are the safest funds and average maturity period of these kinds of funds is equal to or less than 90 days.

Liquid Mutual Funds have almost no risk but provide low returns compared to ELSS, Equity, and Balanced funds but higher returns compared to bank deposits like FD and RD.

You can any time invest any amount in SIP or Lumpsum.

Features of Liquid Mutual Funds:

  • Full or partial withdrawal is possible with no exit load in these kinds of funds.
  • The amount will be credited within 30mintues of the redemption request hence they are the safe investment.
  • Liquid mutual funds have zero exit load and the person can withdraw the money anytime as it has no lock-in period like ELSS funds or other TAX saver investment.

You can also check the mutual funds, performance, and returns through online mutual funds calculator.

Liquid mutual funds, Safe investment knowandask

These kind of mutual funds are ideal to keep your spare money and get some good returns.

Let’s see few Liquid funds offering mutual fund companies with good returns:

  • Essel Liquid fund.
  • Franklin India Treasury Management Account.
  • JM High Liquidity Fund.
  • Invesco India Liquid Fund.
  • ICICI Prudential Liquid Plan.
  • Reliance Liquid Treasury Plan.

If wants little more returns and ready to take some risk, try investing in Equity funds and Balanced mutual funds.

If you want to invest only in a safe way to get fewer returns but sure/safe returns, invest in liquid mutual funds.

If funding difficulty in investing in the mutual funds you can use third-party applications also like Coin-zerodha, ET Money, Mycams, Fisdom etc to invest in mutual funds and they help to choose the right funds as per needs.

You can choose other funds also like ELSS funds, Equity funds, Balanced Fund etc and read more about these at knowandask.


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