Question: How Is Axis Liquid Fund?

How long does it take to redeem Liquid Fund?

It takes around 1-3 working days to get money in your bank when you redeem from mutual funds.

For Liquid Funds, it takes 1 working day to get back money.

There are some instant redemption schemes where you get money immediately.

For Debt Funds, it takes 2 working days..

Is it right time to invest in liquid funds?

Ideally, liquid funds are suitable for achieving short-term financial goals. Since some funds generate around 8% to 9% returns, they should be preferred over a regular savings bank account which offers returns in the range of 4% to 6%.

Which is better FD or MF?

FD usually requires a lump sum amount whereas Mutual Funds investments can be done with as low as Rs. 500 per month. However, it makes a greater sense to invest in Mutual Funds as they offer better returns in the long-term and you can plan them according to the goals that you would like to achieve.

Is Axis Liquid Fund Safe?

Axis Liquid Fund However there can be no assurance that the investment objective of the scheme will be achieved. Axis Liquid Fund is a Debt – Liquid Fund fund was launched on 9 Oct 09. It is a fund with Low risk and has given a CAGR/Annualized return of 7.6% since its launch.

Is Liquid Fund better than FD?

Liquid fund investors are considered to be in a better position than fixed deposit holders in case of taxation on their respective investments. When it comes to tax on liquid funds, the investors are entitled to avail tax indexation, which directly helps them to lower their burden of tax-related expenses.

Can I lose money in liquid funds?

Liquid Funds are one of the safest mutual funds. That’s because they lend to good companies for an extremely short duration, and that reduces risk. The risk of losing money is almost zero if you stay invested for some amount of time.

What are the liquid funds?

Definition: Liquid funds are a type of mutual funds that invest in securities with a residual maturity of up to 91 days. Assets invested are not tied up for a long time as liquid funds do not have a lock-in period. … An investor looking for better returns prefers investing in a liquid fund over fixed deposit.

Is Liquid Fund safe in Phonepe?

Liquid Funds are the safest mutual fund schemes as they DON’T invest in the stock market. Your money is invested in safer instruments such as Government and Bank securities.

Is Fd a liquid asset?

Fixed Deposits can be *withdrawn* anytime..you may not get the promised interest amount but you can break it any time….and are considered as liquid assets..

Is liquid fund risk free?

Liquid funds carry no credit risk, no liquidity risk.

How do I choose a good liquid fund?

For this reason, you should choose liquid funds that are large. These can handle redemption pressures better than liquid funds with smaller AUMs. As a rule of thumb, you should invest in a liquid fund which has an AUM of at least Rs. 20,000 crores.

Where should I put my emergency money?

If you’re searching for the best places to keep your emergency fund, consider these four savings vehicles.High-Yield Savings Accounts.Money Market Accounts.Certificates of Deposit (CDs)Roth Individual Retirement Account (IRA)Consider a Multi-Faceted Approach.

Is Franklin India Liquid Fund Safe?

Liquid Fund : Fund has 87.7% investment in Debt of which 45.58% in Government securities, 42.12% in funds invested in very low risk securities.. Suitable For : Investors who want to invest for very short term and are looking for alternative to bank accounts/deposits.

Do liquid funds attract tax?

Liquid funds are subject to taxation applicable to debt funds. If the liquid fund investment is held for more than three years, it is subject to long term capital gains which is taxable at 20% with indexation.

Which are good liquid funds?

Top 10 Liquid Mutual FundsFund NameCategory1Y ReturnsMahindra Liquid FundDebt4.9%Tata Liquid FundDebt4.9%Axis Liquid FundDebt4.8%Sundaram Money FundDebt4.7%12 more rows

Is liquid funds safe now?

Although liquid funds are not entirely risk-free, however, they are low risk-low returns instruments. As they invest predominantly in debt instruments, they are subject to interest rate risk and credit risk. A change in the prevailing interest rates may cause a difference in the price of the debt instruments.

What is better than savings account?

With traditional passbook savings accounts paying only a little better now than next to nothing in interest, more and more individuals are looking for better-paying alternatives. 1 Among them are money market accounts, other bank-account options and peer-to-peer lending.