RE:What is a debt fund ??
by shailesh soni on Aug 22, 2007 11:47 AM Permalink
Such funds attempt to generate a steady income while preserving investors%u2019 capital. Therefore, they invest exclusively in fixed-income instruments securities like bonds, debentures, Government of India securities, and money market instruments such as certificates of deposit (CD), commercial paper (CP) and call money.
RE:What is a debt fund ??
by shailesh soni on Aug 22, 2007 11:48 AM Permalink
Such funds invest only in debt instruments, and are a good option for investors averse to taking on the risk associated with equities. Here too, there are specialised schemes, namely liquid funds and gilt funds. While the former invests predominantly in money market instruments, gilt funds do so in securities issued by the central and state governments.
RE:What is a debt fund ??
by Amit Phatak on Aug 22, 2007 11:59 AM Permalink
Govt asks you to invest funds for its work. So Govt is in your 'debt'. So the name! Simple.
