Page 2 - Debt Funds

Revamped debt fund tax slows the roll of new mutual fund launches

73 NFOs in FY24's first half compared to 183 in the previous stretch

IDFC First Bank eyes Rs 3,000 crore in debt capital through tier II bonds

The plan comes soon after Rs 3,000 cr equity raise

Explained: Debt funds see outflows in August on interest rate uncertainty

The major quantum of net outflows was witnessed by the categories having less than one year duration profile such as Liquid, Ultrashort and Low duration

'Duration funds less attractive, stable accrual debt funds better placed'

Debt funds offer higher returns in a falling interest rate scenario.

Analysts see bond yields hitting 7.5% in near-term; how should you invest?

Over the past one month, the yields on 10-year government bonds have risen 14.7 basis points to 7.218 per cent in India, while they have touched a 17-year high of 4.35 per cent in the US

Infra debt fund NBFCs must have net owned fund of at least Rs 300 cr: RBI

Infrastructure Debt Fund-NBFCs (IDF-NBFCs) will now be required to have a net owned fund (NOF) of at least Rs 300 crore, said the Reserve Bank's revised norms for such entities issued on Friday. Besides, they should have a capital-to-risk weighted assets ratio (CRAR) of minimum 15 per cent (with minimum Tier 1 capital of 10 per cent). RBI said a review of the guidelines applicable to IDF-NBFCs has been undertaken in order to enable them play a greater role in financing of the infrastructure sector and to harmonise the regulations governing financing of infrastructure sector by NBFCs. The review has been undertaken in consultation with Government of India. An IDF-NBFC is a company registered as NBFC to facilitate the flow of long- term debt into infrastructure projects. It raises resources through issue of rupee or dollar-denominated bonds of minimum 5-year maturity. Only Infrastructure Finance Companies (IFC) can sponsor IDF-NBFCs. "IDF-NBFC shall raise funds through issue of eith

RBI allows infra debt funds to raise money via foreign loan route

IDF-NBFCs were earlier allowed to raise funds through rupee or dollar-denominated bonds of minimum five-year maturity, to the extent of up to 10 per cent of their total outstanding borrowings

Longer-duration debt funds: Tactical bets are for high risk takers

Long-term investors who want near-certain returns may opt for a target maturity fund that invest in gilts

NBFC Dvara KGFS secures $10 mn in debt funds for capital adequacy, growth

Non-banking finance company Dvara KGFS on Wednesday said it has raised USD 10 million in debt funds. The funds secured would be instrumental in augmenting the company's capital adequacy and accelerating its growth plans during the current financial year. Netherlands-based financial inclusion investor Triple Jump Financial Inclusion Resilience Fund B.V., has provided USD 5 million as subordinated debt in the form of External Commercial Borrowings (ECBs) as per the Reserve Bank of India guidelines. "This strategic partnership will further strengthen DVARA KGFS' mission to extend its comprehensive financial services to underbanked communities," Dvara KGFS said in a statement. Additionally, the company raised USD 5 million from Switzerland-based investment manager BlueOrchard Finance Ltd through ECBs. The proceeds would be allocated towards Dvara KGFS onward lending programme which aims to support microfinance and microbusiness loan customers in regions with limited access to credit .

Short term debt funds are in demand: Where should you park your funds?

The return of debt funds appears to be a reset of institutional allocation, as well as locking in higher rate

Debt mutual funds or FDs: What should you pick given RBI status quo?

With RBI keeping the key repo rates unchanged at 6.50 per cent, investors with surplus funds are looking to park their money. We decode whether they should stick to FDs or stick to debt funds

Yield-to-maturity in debt mutual funds continue to trend downwards

Wrong end of the curve: YTM of most scheme categories 15-65 bps lower at the end of April

Invest severance package in debt funds, use SWP to create cash flows

Part of this money should also go into creating an emergency corpus equal to 12 months of expenses

ICICI Prudential Life Insurance launches new debt fund for long-term

This fund is available for investments with the company's flagship unit-linked insurance plans

Rate pause effect: Debt fund yields come off after year-long rally

Yield to maturity may remain range-bound

Investors should stagger entry into medium-to long-duration debt funds

Take limited exposure, counter risk of possible decline in NAV with adequate investment horizon

Equity savings funds: Safe but not a perfect substitute for debt funds

While they could offer higher returns over three-five years, they would also be more volatile

Begin tax planning at start of financial year to avoid cash crunch later

Consider both income level and deductions you can avail of when choosing between old and new tax regime

Street sees no major surprise in RBI's interest rate pause decision

Realty stocks could see more gains while banking and NBFCs may witness a relief rally

Debt mutual funds log Rs 40K-crore inflow before tax tweak cut-off

Investors snap up popular medium- to longer-duration debt funds to lock in higher returns