Debt funds are known for its attractive returns. These are a type of Mutual Funds that invest in fixed income securities like Government securities, Treasury bills, Corporate Bonds, etc.
There are various types of debt funds like Liquid Funds, ultra short term funds, short term funds, long term income funds offered by Axis Mutual Fund. These funds invest in different securities with different maturity, thus debt funds are a great option to plan your short to mid Financial goals.
Investors keen to invest in this scheme can choose from the listed top 4 Best Debt Funds by Axis Mutual Fund. These funds have been shortlisted by undertaking certain parameters like AUM, NAV, past performances, average maturity, duration, etc.
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Axis schemes are well-regulated, as SEBI regulates and monitors all investment activities to ensure and safeguard investors’ safety.
The fund managers at Axis Mutual Fund have a rich experience in making investment decisions. Their experience will help you grow your capital over a long term.
Debt funds like a liquid fund offered by Axis is highly liquid in nature also it is a low-risk investment option for risk-averse investors. Investors who want to earn regular income over a short-term can invest in this scheme.
Fund Selection Methodology used to find 4 funds
Fund NAV Net Assets (Cr) 3 MO (%) 6 MO (%) 1 YR (%) 3 YR (%) 2025 (%) Debt Yield (YTM) Mod. Duration Eff. Maturity Axis Credit Risk Fund Growth ₹23.1478
↑ 0.03 ₹354 2.9 4 7.9 8 8.7 8.63% 2Y 1M 28D 2Y 5M 23D Axis Strategic Bond Fund Growth ₹29.9343
↑ 0.03 ₹2,067 2.9 3.5 6.6 7.9 8.2 8.39% 3Y 22D 4Y 6M 11D Axis Liquid Fund Growth ₹3,091.98
↑ 1.97 ₹56,168 1.8 3.3 6.3 7 6.6 6.23% 1M 5D 1M 5D Axis Dynamic Bond Fund Growth ₹31.4916
↑ 0.04 ₹1,026 3.9 4 6.1 7.4 7.1 7.28% 5Y 11D 10Y 8M 23D Note: Returns up to 1 year are on absolute basis & more than 1 year are on CAGR basis. as on 30 Jun 26 Research Highlights & Commentary of 4 Funds showcased
Commentary Axis Credit Risk Fund Axis Strategic Bond Fund Axis Liquid Fund Axis Dynamic Bond Fund Point 1 Bottom quartile AUM (₹354 Cr). Upper mid AUM (₹2,067 Cr). Highest AUM (₹56,168 Cr). Lower mid AUM (₹1,026 Cr). Point 2 Established history (11+ yrs). Established history (14+ yrs). Oldest track record among peers (16 yrs). Established history (15+ yrs). Point 3 Top rated. Rating: 4★ (upper mid). Rating: 4★ (lower mid). Rating: 3★ (bottom quartile). Point 4 Risk profile: Moderate. Risk profile: Moderate. Risk profile: Low. Risk profile: Moderate. Point 5 1Y return: 7.89% (top quartile). 1Y return: 6.57% (upper mid). 1Y return: 6.34% (lower mid). 1Y return: 6.06% (bottom quartile). Point 6 1M return: 1.81% (lower mid). 1M return: 1.92% (upper mid). 1M return: 0.65% (bottom quartile). 1M return: 2.55% (top quartile). Point 7 Sharpe: 0.68 (upper mid). Sharpe: -0.59 (lower mid). Sharpe: 2.39 (top quartile). Sharpe: -1.09 (bottom quartile). Point 8 Information ratio: 0.00 (top quartile). Information ratio: 0.00 (upper mid). Information ratio: 0.00 (lower mid). Information ratio: 0.00 (bottom quartile). Point 9 Yield to maturity (debt): 8.63% (top quartile). Yield to maturity (debt): 8.39% (upper mid). Yield to maturity (debt): 6.23% (bottom quartile). Yield to maturity (debt): 7.28% (lower mid). Point 10 Modified duration: 2.16 yrs (upper mid). Modified duration: 3.06 yrs (lower mid). Modified duration: 0.10 yrs (top quartile). Modified duration: 5.03 yrs (bottom quartile). Axis Credit Risk Fund
Axis Strategic Bond Fund
Axis Liquid Fund
Axis Dynamic Bond Fund
(Erstwhile Axis Fixed Income Opportunities Fund) To generate stable returns by investing in debt & money market instruments across the yield curve & credit spectrum. However, there is no assurance or guarantee that the investment objective of the Scheme will be achieved. The Scheme does not assure or guarantee any returns Below is the key information for Axis Credit Risk Fund Returns up to 1 year are on (Erstwhile Axis Income Fund) To generate optimal returns in the medium term while maintaining liquidity of the portfolio by investing in debt and money market instruments. Research Highlights for Axis Strategic Bond Fund Below is the key information for Axis Strategic Bond Fund Returns up to 1 year are on To provide a high level of liquidity with reasonable returns commensurating with low risk through a portfolio of money market and debt securities. However there can be no assurance that the investment objective of the scheme will be achieved. Research Highlights for Axis Liquid Fund Below is the key information for Axis Liquid Fund Returns up to 1 year are on To generate optimal returns while maintaining liquidity through active management of a portfolio of debt and money market instruments. Research Highlights for Axis Dynamic Bond Fund Below is the key information for Axis Dynamic Bond Fund Returns up to 1 year are on 1. Axis Credit Risk Fund
Axis Credit Risk Fund
Growth Launch Date 15 Jul 14 NAV (30 Jun 26) ₹23.1478 ↑ 0.03 (0.14 %) Net Assets (Cr) ₹354 on 31 May 26 Category Debt - Credit Risk AMC Axis Asset Management Company Limited Rating ☆☆☆☆☆ Risk Moderate Expense Ratio 1.57 Sharpe Ratio 0.68 Information Ratio 0 Alpha Ratio 0 Min Investment 5,000 Min SIP Investment 1,000 Exit Load 0-12 Months (1%),12 Months and above(NIL) Yield to Maturity 8.63% Effective Maturity 2 Years 5 Months 23 Days Modified Duration 2 Years 1 Month 28 Days Sub Cat. Credit Risk Growth of 10,000 investment over the years.
Date Value 30 Jun 21 ₹10,000 30 Jun 22 ₹10,361 30 Jun 23 ₹11,079 30 Jun 24 ₹11,871 30 Jun 25 ₹12,950 30 Jun 26 ₹13,972 Returns for Axis Credit Risk Fund
absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 30 Jun 26 Duration Returns 1 Month 1.8% 3 Month 2.9% 6 Month 4% 1 Year 7.9% 3 Year 8% 5 Year 6.9% 10 Year 15 Year Since launch 7.3% Historical performance (Yearly) on absolute basis
Year Returns 2025 8.7% 2024 8% 2023 7% 2022 4% 2021 6% 2020 8.2% 2019 4.4% 2018 5.9% 2017 6.4% 2016 9.8% Fund Manager information for Axis Credit Risk Fund
Name Since Tenure Devang Shah 15 Jul 14 11.89 Yr. Akhil Thakker 9 Nov 21 4.56 Yr. Data below for Axis Credit Risk Fund as on 31 May 26
Asset Allocation
Asset Class Value Cash 5.41% Equity 7.83% Debt 86.25% Other 0.51% Debt Sector Allocation
Sector Value Corporate 78.23% Government 8.01% Cash Equivalent 5.41% Credit Quality
Rating Value A 19.13% AA 63.7% AAA 17.17% Top Securities Holdings / Portfolio
Name Holding Value Quantity 6.48% Govt Stock 2035
Sovereign Bonds | -7% ₹24 Cr 2,500,000 Jubilant Bevco Limited
Debentures | -5% ₹16 Cr 1,500 Jtpm Metal TRaders Limited
Debentures | -4% ₹16 Cr 1,500 Infopark Properties Limited
Debentures | -4% ₹15 Cr 1,500 Narayana Hrudayalaya Limited
Debentures | -4% ₹15 Cr 1,500 Aditya Birla Digital Fashion Ventures Limited
Debentures | -4% ₹15 Cr 1,500 Altius Telecom Infrastructure Trust
Debentures | -4% ₹15 Cr 1,500 Vedanta Limited
Debentures | -3% ₹12 Cr 1,200 GMR Airports Limited
Debentures | -3% ₹10 Cr 1,000 GMR Hyderabad International Airport Ltd
Debentures | -3% ₹10 Cr 1,000 2. Axis Strategic Bond Fund
Axis Strategic Bond Fund
Growth Launch Date 28 Mar 12 NAV (30 Jun 26) ₹29.9343 ↑ 0.03 (0.10 %) Net Assets (Cr) ₹2,067 on 31 May 26 Category Debt - Medium term Bond AMC Axis Asset Management Company Limited Rating ☆☆☆☆ Risk Moderate Expense Ratio 1.08 Sharpe Ratio -0.59 Information Ratio 0 Alpha Ratio 0 Min Investment 5,000 Min SIP Investment 1,000 Exit Load 0-12 Months (1%),12 Months and above(NIL) Yield to Maturity 8.39% Effective Maturity 4 Years 6 Months 11 Days Modified Duration 3 Years 22 Days Sub Cat. Medium term Bond Growth of 10,000 investment over the years.
Date Value 30 Jun 21 ₹10,000 30 Jun 22 ₹10,330 30 Jun 23 ₹11,105 30 Jun 24 ₹11,933 30 Jun 25 ₹13,075 30 Jun 26 ₹13,935 Returns for Axis Strategic Bond Fund
absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 30 Jun 26 Duration Returns 1 Month 1.9% 3 Month 2.9% 6 Month 3.5% 1 Year 6.6% 3 Year 7.9% 5 Year 6.9% 10 Year 15 Year Since launch 8% Historical performance (Yearly) on absolute basis
Year Returns 2025 8.2% 2024 8.7% 2023 7.3% 2022 3.8% 2021 5.2% 2020 10.5% 2019 7.1% 2018 6.7% 2017 7.5% 2016 11.6% Fund Manager information for Axis Strategic Bond Fund
Name Since Tenure Devang Shah 5 Nov 12 13.58 Yr. Sachin Jain 1 Feb 23 3.33 Yr. Akhil Thakker 1 Feb 23 3.33 Yr. Data below for Axis Strategic Bond Fund as on 31 May 26
Asset Allocation
Asset Class Value Cash 5.3% Equity 3.49% Debt 90.92% Other 0.29% Debt Sector Allocation
Sector Value Corporate 63.88% Government 27.04% Cash Equivalent 5.3% Credit Quality
Rating Value A 13.31% AA 52.37% AAA 34.32% Top Securities Holdings / Portfolio
Name Holding Value Quantity 7.1% Govt Stock 2034
Sovereign Bonds | -5% ₹112 Cr 11,200,000 Jubilant Beverages Limited
Debentures | -3% ₹70 Cr 6,500 GMR Hyderabad International Airport Ltd
Debentures | -3% ₹66 Cr 6,500 Tamilnadu State Development Loans
Sovereign Bonds | -3% ₹62 Cr 6,358,600 Vedanta Limited
Debentures | -3% ₹60 Cr 6,000 Jubilant Bevco Limited
Debentures | -3% ₹60 Cr 5,500 Adani Power Limited
Debentures | -3% ₹60 Cr 6,000 Nuvama Wealth Finance Limited
Debentures | -3% ₹58 Cr 5,800 Delhi International Airport Limited
Debentures | -3% ₹55 Cr 5,500 Aditya Birla Digital Fashion Ventures Limited
Debentures | -3% ₹55 Cr 5,500 3. Axis Liquid Fund
Axis Liquid Fund
Growth Launch Date 9 Oct 09 NAV (30 Jun 26) ₹3,091.98 ↑ 1.97 (0.06 %) Net Assets (Cr) ₹56,168 on 31 May 26 Category Debt - Liquid Fund AMC Axis Asset Management Company Limited Rating ☆☆☆☆ Risk Low Expense Ratio 0.23 Sharpe Ratio 2.39 Information Ratio 0 Alpha Ratio 0 Min Investment 500 Min SIP Investment 1,000 Exit Load NIL Yield to Maturity 6.23% Effective Maturity 1 Month 5 Days Modified Duration 1 Month 5 Days Sub Cat. Liquid Fund Growth of 10,000 investment over the years.
Date Value 30 Jun 21 ₹10,000 30 Jun 22 ₹10,361 30 Jun 23 ₹11,030 30 Jun 24 ₹11,839 30 Jun 25 ₹12,692 30 Jun 26 ₹13,498 Returns for Axis Liquid Fund
absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 30 Jun 26 Duration Returns 1 Month 0.7% 3 Month 1.8% 6 Month 3.3% 1 Year 6.3% 3 Year 7% 5 Year 6.2% 10 Year 15 Year Since launch 7% Historical performance (Yearly) on absolute basis
Year Returns 2025 6.6% 2024 7.4% 2023 7.1% 2022 4.9% 2021 3.3% 2020 4.3% 2019 6.6% 2018 7.5% 2017 6.7% 2016 7.6% Fund Manager information for Axis Liquid Fund
Name Since Tenure Devang Shah 5 Nov 12 13.58 Yr. Aditya Pagaria 13 Aug 16 9.81 Yr. Sachin Jain 3 Jul 23 2.92 Yr. Data below for Axis Liquid Fund as on 31 May 26
Asset Allocation
Asset Class Value Cash 99.8% Other 0.2% Debt Sector Allocation
Sector Value Cash Equivalent 68.85% Corporate 24.16% Government 6.8% Credit Quality
Rating Value AAA 100% Top Securities Holdings / Portfolio
Name Holding Value Quantity India (Republic of)
- | -3% ₹1,785 Cr 179,500,000
↑ 4,500,000 National Bank for Agriculture and Rural Development
Commercial Paper | -3% ₹1,738 Cr 35,000 Reliance Jio Infocomm Limited
Commercial Paper | -3% ₹1,498 Cr 30,000 Tbill
Sovereign Bonds | -3% ₹1,494 Cr 150,000,000 HDFC Bank Limited
Certificate of Deposit | -2% ₹1,291 Cr 26,000 Bank of Baroda
Debentures | -2% ₹1,290 Cr 26,000
↑ 6,000 National Bank For Agriculture And Rural Development
Commercial Paper | -2% ₹1,247 Cr 25,000 India (Republic of)
- | -2% ₹1,230 Cr 123,560,400 Tata Steel Ltd.
Commercial Paper | -2% ₹995 Cr 20,000 Reliance Retail Ventures Limited
Commercial Paper | -2% ₹991 Cr 20,000 4. Axis Dynamic Bond Fund
Axis Dynamic Bond Fund
Growth Launch Date 27 Apr 11 NAV (30 Jun 26) ₹31.4916 ↑ 0.04 (0.13 %) Net Assets (Cr) ₹1,026 on 31 May 26 Category Debt - Dynamic Bond AMC Axis Asset Management Company Limited Rating ☆☆☆ Risk Moderate Expense Ratio 0.59 Sharpe Ratio -1.09 Information Ratio 0 Alpha Ratio 0 Min Investment 5,000 Min SIP Investment 1,000 Exit Load NIL Yield to Maturity 7.28% Effective Maturity 10 Years 8 Months 23 Days Modified Duration 5 Years 11 Days Sub Cat. Dynamic Bond Growth of 10,000 investment over the years.
Date Value 30 Jun 21 ₹10,000 30 Jun 22 ₹10,051 30 Jun 23 ₹10,888 30 Jun 24 ₹11,625 30 Jun 25 ₹12,720 30 Jun 26 ₹13,490 Returns for Axis Dynamic Bond Fund
absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 30 Jun 26 Duration Returns 1 Month 2.5% 3 Month 3.9% 6 Month 4% 1 Year 6.1% 3 Year 7.4% 5 Year 6.2% 10 Year 15 Year Since launch 7.9% Historical performance (Yearly) on absolute basis
Year Returns 2025 7.1% 2024 8.6% 2023 6.6% 2022 2.1% 2021 3.9% 2020 12.3% 2019 11% 2018 6.2% 2017 3.4% 2016 13.4% Fund Manager information for Axis Dynamic Bond Fund
Name Since Tenure Devang Shah 5 Nov 12 13.58 Yr. Hardik Shah 5 Apr 24 2.16 Yr. Data below for Axis Dynamic Bond Fund as on 31 May 26
Asset Allocation
Asset Class Value Cash 30.11% Equity 1.33% Debt 68.08% Other 0.48% Debt Sector Allocation
Sector Value Government 57.34% Corporate 28.75% Cash Equivalent 12.1% Credit Quality
Rating Value AAA 100% Top Securities Holdings / Portfolio
Name Holding Value Quantity 6.9% Govt Stock 2065
Sovereign Bonds | -10% ₹106 Cr 11,672,500
↑ 2,500,000 7.3% Govt Stock 2053
Sovereign Bonds | -6% ₹68 Cr 7,000,000 6.68% Govt Stock 2040
Sovereign Bonds | -4% ₹47 Cr 5,000,000
↑ 5,000,000 Power Finance Corporation Limited
Debentures | -4% ₹40 Cr 4,000
↑ 4,000 Power Grid Corporation Of India Limited
Debentures | -3% ₹36 Cr 5,000 7.09% Govt Stock 2054
Sovereign Bonds | -3% ₹33 Cr 3,500,000 State Government Of Bihar
Sovereign Bonds | -3% ₹30 Cr 3,000,000 7.24% Govt Stock 2055
Sovereign Bonds | -3% ₹29 Cr 3,036,700
↓ -1,000,000 8.22% Karnataka Sdl 2031
Sovereign Bonds | -2% ₹26 Cr 2,500,000 National Housing Bank
Debentures | -2% ₹24 Cr 2,500
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Research Highlights for Axis Credit Risk Fund