What are Short Term Mutual Funds?
Short Term Mutual Funds are the open-ended mutual fund schemes that can be invested by the investor for a minimum of 15 - 91 days or maybe shorter as per investor required. However, this type of fund is best for investors who want to take a low risk and for a short time investment.
Features and Return on short team Investment
Short Term Investment options can provide high returns compared to bank deposits like a savings account. The percentage of returns in short term mutual funds maybe from 7%-10%, according to your short-term mutual fund portfolio. It has an attractive tax benefit on the overall return on investment is higher than the post-tax returns earned from other investment schemes.
Top 5 Short-Term Funds to Invest in 2019
Ultra Short Term Funds-
Short Term / Low Duration Fund-
If the investor wishes to invest funds for a short duration like 30 days or less then he/she can invest in Liquid Fund.