Time to get into debt funds: Which ones should you pick?
[ad_1] The interest rate cuts by the RBI and falling inflation have boosted returns of debt mutual funds. Find out which category of debt fund should you buy nowDebt funds are on a roll, thanks to the rate cuts by the RBI and the decline in inflation over the past few months. A cut in interest rates is beneficial for debt funds holding bonds of higher coupon rates.Funds that line their portfolios with very long term bonds are the biggest gainers when bond yields start moving southwards. The average long duration fund has shot up 2.65% in the past one month. The best performing scheme, Aditya Birla Sun Life Long Duration Fund has risen 3.11%. The average maturity profile of the bonds in its portfolio is more than 26 years.Experts feel the good times will continue. Bond yields have declined […]