Credit fund assets zoom 60% in last 10 months

In the last 10 months, the assets of these funds have grown by nearly Rs 30,000 cr to Rs 80,000 cr

With interest rates likely to remain on hold in the near future, debt funds that look beyond ‘AAA’-rated paper for higher yields are back in the limelight. These include mostly credit opportunity and corporate bond opportunity funds.

 
In the last 10 months, assets of these funds have grown by nearly Rs 30,000 crore to Rs 80,000 crore, data from Value Research shows. While the one-year performance of these funds (11.1 per cent) lags duration funds such as gilt and income funds, they have clocked better returns over a 3-month period. HDFC Corporate Debt Opportunities Fund is the largest fund in