When interest rates are expected to move up, the debt fund investor should ideally move into shorter-duration funds to curb his capital losses. On the other hand, when interest rates are on the downswing, he should move (at least a part of his portfolio) into longer-duration funds to make higher capital gains. But what about times when the outlook on interest-rates is uncertain and rates could move in either direction? That’s when investors should opt for dynamic bond funds.
To combat the ongoing phase of economic slowdown and revitalise the economy, the Reserve Bank of India (RBI) has cut