Target maturity funds vs Tax free bonds: Where should you bet?
2 years ago

Target maturity funds vs Tax free bonds: Where should you bet?

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Tax-free bonds are bonds with tenors of 10 to 20 years that are issued by various PSU organisations and have interest that is not subject to taxation. Pros and cons of investing in Target Maturity funds and Tax free bonds Target Maturity funds Pros - Portfolio of bonds reduces credit risk and concentration - Bonds are typically held to maturity thereby reduces interest rate risk in the interim particularly for investors that align their investment horizon with that of the portfolio maturity. Between Target Maturity funds and Tax free bonds, what would you advise to the investors? Investors can explore options like Target Maturity Funds which are like tax free bonds in terms of high safety and negligible credit risk. Talking about risk involved, Target Maturity Funds that invest in Government securities will be better as compared to Tax free Bonds issued by PSUs.

Tax Interest Rates Interest Investors Funds Invest Free Target Government Securities Bet Gains Psu 3 Years Debt Mutual Funds Maturity State Development Loans Target Maturity Funds Tmf Psu Bonds Long Term Gains Target Maturity Target Maturity Fund Bonds Vs Tax Free Bonds  funds  bet  gains  interest  target  invest  free  investors  tax  bonds  vs  maturity

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Target maturity funds: How it can help you achieve life goals?
1 year, 10 months ago

Target maturity funds: How it can help you achieve life goals?

Live Mint  

If you aim to earn higher returns than offered by the fixed deposits, and are more concerned about the protection of your investment instead of chasing the much-elusive high returns — then you could contemplate investing in target maturity funds. They offer assured returns to investors and unlike equity mutual funds — they are safer, and are a viable investment …

Target Maturity Funds: Should you invest in them during current interest rate scenario?
2 years, 3 months ago

Target Maturity Funds: Should you invest in them during current interest rate scenario?

Live Mint  

After ultra-loose monetary policy across the world post the pandemic, the central banks are on interest rate tightening spree post the inflation crossing all roofs. Some AMCs have positioned their open ended debt funds into a roll down strategy so as to minimise the interest rate risk as the maturity drops with the passage of time. As said, unlike open …

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