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-
- ICICI Pru Ultra Short Term Fund Growth
- SBI Magnum Ultra Short Fund Growth
- Nippon Ultra Short Fund Growth
- Axis Ultra Short Fund Growth
Short Term / Low Duration Fund-
- ICICI Pru Short Term Fund Growth
- Nippon Short Term Fund Growth
- BOI AXA Short Term Fund Growth
- DSP Short Term Fund Growth
- Kotak Low Duration Fund
- L&T Low Duration Fund
- Nippon Low Duration Fund.
- HDFC Liquid Fund Growth
- Mahindra Liquid Fund Growth
- BNP Paribas Liquid Fund Growth
- Franklin Liquid Fund Growth
- ICICI Pru Liquid Fund Growth
If the investor wishes to invest funds for a short duration like 30 days or less then he/she can invest in Liquid Fund.