Top Performing Liquid Funds for Investors To Invest In

Liquid funds are debt funds that invest in short-term market instruments such as Call Money, Treasury bills, Government Securities, etc. which invests for a maximum time period of 91 days or mostly less than it. The risk involved in such schemes is low and usually provide good returns to the investors. There are many such schemes available in the mutual fund market by different asset management companies. Selecting one from these is a difficult job and therefore, to simplify it, the financial advisors create a list of top performing funds based on their overall performance. Three of the top performing funds in liquid mutual funds’ category are mentioned below:-

1. Reliance Low Duration Fund This scheme (Erstwhile Reliance Money Manager Fund) by Reliance Mutual Fund, launched on March 20th, 2007 is an open-ended scheme whose portfolio’s macaulay period is six to twelve months. Its investment objective is to invest in debt and money market securities to help an investor earn optimum returns with moderate risk involvement and providing liquidity at all times. It is managed jointly by Ms. Anju Chhajer and Mr. Amit Tripathi. The minimum investment amount is Rs. 10,000 with which an investor may start investing in it without worrying about any entry or exit load, both being nil. The net asset value of this, one of the best mutual funds, is Rs. 2426.2972 as on June 29th, 2018. The assets managed under this scheme by Reliance Asset Management Company were worth Rs. 15,499 crores as on May 31st, 2018.
2. Canara Robeco Liquid Fund It is one of the liquid mutual funds available in the investment market. It was launched on July 15th, 2008 by Canara Robeco Mutual Fund. The investment objective of this scheme is to invest in debt and money market instruments to yield income and provide liquidity at the same time. It invests 65% to 100% in money market instruments and zero to 35% in debt securities. There is no entry and exit load that an investor needs to incur while investing or redeeming in/from Canara Robeco Liquid Fund. The minimum amount in lump sum with which an investment may start is Rs. 5000. Mr. Girish Hisaria and Ms. Suman Prasad have been managing this fund since August 2014 and March 2011, respectively. Its NAV as on June 1st, 2018 was Rs. 2134.9192 and the assets under management were Rs. 1565 crores as on May 31st, 2018.
3. Kotak Money Market Scheme It is an open-ended scheme by Kotak Mutual Fund which was earlier known as Kotak Floater Short Term Fund. It invests in money market instruments having maturity up to one year to generate returns for its investors. This fund is managed by Mr. Deepak Agrawal since November 2006. There is no entry or exit load payable and the minimum investment amount in lump sum with which the investment can be initiated is Rs. 5000. It has been rated four stars by Value Research. The net asset value as on June 29th, 2018 was Rs. 2893.9533 and the assets under management recorded on May 31st, 2018 were worth Rs. 8396 crores. Its peer competitors are Aditya Birla Sun Life Money Manager Fund, Invesco India Money Market Fund, L&T Money Market Fund, and UTI Money Market Fund - Regular Plan.

These were the best liquid funds an investor may invest in, to receive optimum short-term benefits. These funds are apt for conservative investors who are not willing to take much risk and those who need liquidity or freedom to redeem their money anytime they want. In case you have any doubt regarding any scheme and want to discuss it, consult a financial investor. Read this article to know about the top performing liquid mutual funds in India.