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6 Best Performing Liquid Mutual Funds to Invest in 2022 | Fincash.com

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6 Best Liquid Mutual Funds 2022

Updated on May 18, 2022 , 119972 views

In common terms, Best Liquid Funds are Debt Mutual Funds or rather money market Mutual Funds with the only difference being in the investment duration. Liquid Funds invest in very short money Market instruments like the Certificate of Deposit, treasury bills, commercial papers etc.

The investment duration of these funds is very short, generally ranging from a couple of days to a few weeks (it can even be one day!). The average residual maturity of liquid funds is less than 91 days as they invest in securities which individually have a maturity upto 91 days. Being a short-term Debt fund, these funds are highly suitable for investors looking for low-risk investments for short duration.

The low maturity period of best liquid funds helps fund managers to fulfil the Redemption demand of investors easily. In the market, there are various liquid fund investments available.

Why Invest in Liquid Funds?

  • Liquid funds have no lock-in or very low lock-in period.
  • The interest rate of liquid mutual funds is the lowest among all short-term investments due to low maturity period.
  • No entry and exit loads are applicable.
  • Liquid funds are a perfect solution for investors who wish to park their idle cash for a short duration without the risk of Capital Loss.

Liquid Funds better than Saving Bank Account?

Investing in liquid funds are any day a better option on investment as compared to putting money in popular saving Bank account schemes.

Owing to its familiarity and institutionalized nature of saving bank accounts, an average Indian taxpayer has more trust in them. However, it seems they are not the most popular short-term investment anymore. This is due to the rising acceptance of mutual funds by investors with different investment goals. Your hard earned money that lies in a savings bank account fetches you only 3.5% interest per annum. However, the best liquid funds have returned as high as 6.5-7.5% on an average in the past 1 year period, on an annualized Basis.

So, on returns alone, liquid funds score over a savings bank account. If you have a raise or a bonus coming your way, invest in liquid funds and party later.

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6 Best Liquid Funds India FY 22 - 23

FundNAVNet Assets (Cr)1 MO (%)3 MO (%)6 MO (%)1 YR (%)2021 (%)Debt Yield (YTM)Mod. DurationEff. Maturity
Axis Liquid Fund Growth ₹2,361.02
↑ 0.32
₹28,9340.30.91.83.43.33.88%1M 12D1M 13D
UTI Liquid Cash Plan Growth ₹3,482.89
↑ 0.45
₹30,8850.30.91.73.43.34.04%1M 6D1M 6D
SBI Liquid Fund Growth ₹3,325.69
↑ 0.43
₹57,9370.30.81.73.43.34.05%1M 10D1M 10D
Aditya Birla Sun Life Liquid Fund Growth ₹341.951
↑ 0.04
₹32,8990.20.81.73.43.34.15%1M 13D1M 13D
IDFC Cash Fund Growth ₹2,568.68
↑ 0.30
₹11,6300.30.91.73.43.24%1M 5D1M 5D
Kotak Liquid Fund Growth ₹4,298.42
↑ 0.51
₹30,2300.30.81.73.43.24.06%1M 6D1M 6D
Note: Returns up to 1 year are on absolute basis & more than 1 year are on CAGR basis. as on 20 May 22
*Above is list of best Liquid funds having AUM/Net Assets above 10,000 Crore and managing funds for 5 or more years. Sorted on Last 1 Calendar Year Return.

1. Axis Liquid Fund

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.

Axis Liquid Fund is a Debt - Liquid Fund fund was launched on 9 Oct 09. It is a fund with Low risk and has given a CAGR/Annualized return of 7% since its launch.  Ranked 21 in Liquid Fund category.  Return for 2021 was 3.3% , 2020 was 4.3% and 2019 was 6.6% .

Below is the key information for Axis Liquid Fund

Axis Liquid Fund
Growth
Launch Date 9 Oct 09
NAV (20 May 22) ₹2,361.02 ↑ 0.32   (0.01 %)
Net Assets (Cr) ₹28,934 on 30 Apr 22
Category Debt - Liquid Fund
AMC Axis Asset Management Company Limited
Rating
Risk Low
Expense Ratio 0.23
Sharpe Ratio -1.99
Information Ratio 0
Alpha Ratio 0
Min Investment 500
Min SIP Investment 1,000
Exit Load NIL
Yield to Maturity 3.88%
Effective Maturity 1 Month 13 Days
Modified Duration 1 Month 12 Days

Growth of 10,000 investment over the years.

DateValue
30 Apr 17₹10,000
30 Apr 18₹10,686
30 Apr 19₹11,490
30 Apr 20₹12,191
30 Apr 21₹12,605
30 Apr 22₹13,038

Axis Liquid Fund SIP Returns

   
My Monthly Investment:
Investment Tenure:
Years
Expected Annual Returns:
%
Total investment amount is ₹180,000
expected amount after 3 Years is ₹197,169.
Net Profit of ₹17,169
Invest Now

Returns for Axis Liquid Fund

Returns up to 1 year are on absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 20 May 22

DurationReturns
1 Month 0.3%
3 Month 0.9%
6 Month 1.8%
1 Year 3.4%
3 Year 4.2%
5 Year 5.4%
10 Year
15 Year
Since launch 7%
Historical performance (Yearly) on absolute basis
YearReturns
2021 3.3%
2020 4.3%
2019 6.6%
2018 7.5%
2017 6.7%
2016 7.6%
2015 8.4%
2014 9.1%
2013 9.2%
2012 9.7%
Fund Manager information for Axis Liquid Fund
NameSinceTenure
Devang Shah5 Nov 129.49 Yr.
Aditya Pagaria13 Aug 165.72 Yr.

Data below for Axis Liquid Fund as on 30 Apr 22

Asset Allocation
Asset ClassValue
Cash100%
Debt Sector Allocation
SectorValue
Cash Equivalent62.28%
Corporate23.07%
Government14.65%
Credit Quality
RatingValue
AAA100%
Top Securities Holdings / Portfolio
NameHoldingValueQuantity
91 Dtb 07072022
Sovereign Bonds | -
3%₹993 Cr100,000,000
91 Dtb 23062022
Sovereign Bonds | -
3%₹796 Cr80,000,000
India (Republic of)
Sovereign Bonds | -
2%₹694 Cr70,000,000
↑ 70,000,000
91 Dtb 13072022
Sovereign Bonds | -
2%₹675 Cr68,000,000
↑ 18,000,000
National Bank For Agriculture And Rural Development
Debentures | -
1%₹261 Cr2,600
L&T Metro Rail (Hyderabad) Limited
Debentures | -
1%₹250 Cr5,000
91 Dtb 02062022
Sovereign Bonds | -
1%₹249 Cr25,000,000
91 Dtb 26052022
Sovereign Bonds | -
1%₹234 Cr23,500,000
91 Dtb 12052022
Sovereign Bonds | -
1%₹200 Cr20,000,000
Bajaj Finance Ltd
Debentures | -
1%₹198 Cr4,000
↑ 4,000

2. UTI Liquid Cash Plan

The investment objective of the scheme is to generate steady and reasonable income, with low risk and high level of liquidity from a portfolio of money market securities and high quality debt.

UTI Liquid Cash Plan is a Debt - Liquid Fund fund was launched on 11 Dec 03. It is a fund with Low risk and has given a CAGR/Annualized return of 6.9% since its launch.  Ranked 32 in Liquid Fund category.  Return for 2021 was 3.3% , 2020 was 4.2% and 2019 was 6.6% .

Below is the key information for UTI Liquid Cash Plan

UTI Liquid Cash Plan
Growth
Launch Date 11 Dec 03
NAV (20 May 22) ₹3,482.89 ↑ 0.45   (0.01 %)
Net Assets (Cr) ₹30,885 on 30 Apr 22
Category Debt - Liquid Fund
AMC UTI Asset Management Company Ltd
Rating
Risk Low
Expense Ratio 0.25
Sharpe Ratio -2.49
Information Ratio -5.15
Alpha Ratio -0.28
Min Investment 500
Min SIP Investment 1,500
Exit Load NIL
Yield to Maturity 4.04%
Effective Maturity 1 Month 6 Days
Modified Duration 1 Month 6 Days

Growth of 10,000 investment over the years.

DateValue
30 Apr 17₹10,000
30 Apr 18₹10,682
30 Apr 19₹11,485
30 Apr 20₹12,172
30 Apr 21₹12,587
30 Apr 22₹13,017

UTI Liquid Cash Plan SIP Returns

   
My Monthly Investment:
Investment Tenure:
Years
Expected Annual Returns:
%
Total investment amount is ₹180,000
expected amount after 3 Years is ₹197,169.
Net Profit of ₹17,169
Invest Now

Returns for UTI Liquid Cash Plan

Returns up to 1 year are on absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 20 May 22

DurationReturns
1 Month 0.3%
3 Month 0.9%
6 Month 1.7%
1 Year 3.4%
3 Year 4.2%
5 Year 5.4%
10 Year
15 Year
Since launch 6.9%
Historical performance (Yearly) on absolute basis
YearReturns
2021 3.3%
2020 4.2%
2019 6.6%
2018 7.4%
2017 6.7%
2016 7.7%
2015 8.3%
2014 9.1%
2013 9.1%
2012 9.6%
Fund Manager information for UTI Liquid Cash Plan
NameSinceTenure
Amandeep Chopra14 Dec 0615.39 Yr.
Amit Sharma7 Jul 174.82 Yr.

Data below for UTI Liquid Cash Plan as on 30 Apr 22

Asset Allocation
Asset ClassValue
Cash100%
Debt Sector Allocation
SectorValue
Cash Equivalent76.75%
Government13.24%
Corporate10.01%
Credit Quality
RatingValue
AAA100%
Top Securities Holdings / Portfolio
NameHoldingValueQuantity
91 Dtb 30062022
Sovereign Bonds | -
4%₹1,488 Cr15,000,000,000
364 DTB 02062022
Sovereign Bonds | -
3%₹995 Cr10,000,000,000
8.15% Govt Stock 2022
Sovereign Bonds | -
2%₹710 Cr7,050,000,000
91 Dtb 09062022
Sovereign Bonds | -
2%₹686 Cr6,900,000,000
8.35% Govt Stock 2022
Sovereign Bonds | -
2%₹592 Cr5,900,000,000
91 Dtb 02062022
Sovereign Bonds | -
2%₹547 Cr5,500,000,000
91 Dtb 28042022
Sovereign Bonds | -
1%₹499 Cr5,000,000,000
91 Dtb 26052022
Sovereign Bonds | -
1%₹498 Cr5,000,000,000
04.54 MH Sdl 2022
Sovereign Bonds | -
1%₹363 Cr3,629,940,000
04.45 MH Sdl 2022
Sovereign Bonds | -
1%₹300 Cr3,000,000,000

3. SBI Liquid Fund

(Erstwhile SBI - Premier Liquid Fund)

To provide attractive returns to the Magnum/Unit holders either through periodic dividends or through capital appreciation through an actively managed portfolio of debt and money market instruments. Income may be generated through the receipt of coupon payments, the amortization of the discount on the debt instruments, receipt of dividends or purchase and sale of securities in the underlying portfolio.

SBI Liquid Fund is a Debt - Liquid Fund fund was launched on 22 Mar 07. It is a fund with Low risk and has given a CAGR/Annualized return of 6.9% since its launch.  Ranked 40 in Liquid Fund category.  Return for 2021 was 3.3% , 2020 was 4.2% and 2019 was 6.5% .

Below is the key information for SBI Liquid Fund

SBI Liquid Fund
Growth
Launch Date 22 Mar 07
NAV (20 May 22) ₹3,325.69 ↑ 0.43   (0.01 %)
Net Assets (Cr) ₹57,937 on 15 May 22
Category Debt - Liquid Fund
AMC SBI Funds Management Private Limited
Rating
Risk Low
Expense Ratio 0.26
Sharpe Ratio -2.44
Information Ratio 0
Alpha Ratio 0
Min Investment 50,000
Min SIP Investment 500
Exit Load NIL
Yield to Maturity 4.05%
Effective Maturity 1 Month 10 Days
Modified Duration 1 Month 10 Days

Growth of 10,000 investment over the years.

DateValue
30 Apr 17₹10,000
30 Apr 18₹10,671
30 Apr 19₹11,460
30 Apr 20₹12,138
30 Apr 21₹12,549
30 Apr 22₹12,975

SBI Liquid Fund SIP Returns

   
My Monthly Investment:
Investment Tenure:
Years
Expected Annual Returns:
%
Total investment amount is ₹180,000
expected amount after 3 Years is ₹197,169.
Net Profit of ₹17,169
Invest Now

Returns for SBI Liquid Fund

Returns up to 1 year are on absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 20 May 22

DurationReturns
1 Month 0.3%
3 Month 0.8%
6 Month 1.7%
1 Year 3.4%
3 Year 4.1%
5 Year 5.3%
10 Year
15 Year
Since launch 6.9%
Historical performance (Yearly) on absolute basis
YearReturns
2021 3.3%
2020 4.2%
2019 6.5%
2018 7.3%
2017 6.6%
2016 7.6%
2015 8.3%
2014 9%
2013 9.2%
2012 9.6%
Fund Manager information for SBI Liquid Fund
NameSinceTenure
R. Arun7 May 183.98 Yr.

Data below for SBI Liquid Fund as on 15 May 22

Asset Allocation
Asset ClassValue
Cash94.98%
Debt5.02%
Debt Sector Allocation
SectorValue
Cash Equivalent78.98%
Corporate10.58%
Government5.42%
Credit Quality
RatingValue
AAA100%
Top Securities Holdings / Portfolio
NameHoldingValueQuantity
Hdfc Bank Ltd.
- | -
5%₹2,975 Cr01
↑ 01
91 Dtb 13072022
Sovereign Bonds | -
4%₹2,476 Cr250,000,000
↑ 250,000,000
91 Dtb 23062022
Sovereign Bonds | -
4%₹2,284 Cr230,000,000
364 DTB 05052022
Sovereign Bonds | -
3%₹1,996 Cr200,000,000
91 Dtb 16062022
Sovereign Bonds | -
3%₹1,831 Cr184,329,800
8.15% Govt Stock 2022
Sovereign Bonds | -
3%₹1,761 Cr175,000,000
91 Dtb 30062022
Sovereign Bonds | -
3%₹1,488 Cr150,000,000
8.35% Govt Stock 2022
Sovereign Bonds | -
1%₹637 Cr63,500,000
Sundaram Finance Limited
Debentures | -
1%₹500 Cr5,000
IDFC First Bank Limited
Debentures | -
1%₹498 Cr10,000

4. Aditya Birla Sun Life Liquid Fund

(Erstwhile Aditya Birla Sun Life Cash Plus Fund)

An Open-ended liquid scheme with the objective to provide reasonable returns at a high level of safety and liquidity through judicious investments in high quality debt and money market instruments.

Aditya Birla Sun Life Liquid Fund is a Debt - Liquid Fund fund was launched on 30 Mar 04. It is a fund with Low risk and has given a CAGR/Annualized return of 7% since its launch.  Ranked 15 in Liquid Fund category.  Return for 2021 was 3.3% , 2020 was 4.3% and 2019 was 6.7% .

Below is the key information for Aditya Birla Sun Life Liquid Fund

Aditya Birla Sun Life Liquid Fund
Growth
Launch Date 30 Mar 04
NAV (20 May 22) ₹341.951 ↑ 0.04   (0.01 %)
Net Assets (Cr) ₹32,899 on 15 May 22
Category Debt - Liquid Fund
AMC Birla Sun Life Asset Management Co Ltd
Rating
Risk Low
Expense Ratio 0.31
Sharpe Ratio -2.11
Information Ratio -3.8
Alpha Ratio -0.31
Min Investment 5,000
Min SIP Investment 500
Exit Load NIL
Yield to Maturity 4.15%
Effective Maturity 1 Month 13 Days
Modified Duration 1 Month 13 Days

Growth of 10,000 investment over the years.

DateValue
30 Apr 17₹10,000
30 Apr 18₹10,687
30 Apr 19₹11,486
30 Apr 20₹12,186
30 Apr 21₹12,609
30 Apr 22₹13,040

Aditya Birla Sun Life Liquid Fund SIP Returns

   
My Monthly Investment:
Investment Tenure:
Years
Expected Annual Returns:
%
Total investment amount is ₹180,000
expected amount after 3 Years is ₹197,169.
Net Profit of ₹17,169
Invest Now

Returns for Aditya Birla Sun Life Liquid Fund

Returns up to 1 year are on absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 20 May 22

DurationReturns
1 Month 0.2%
3 Month 0.8%
6 Month 1.7%
1 Year 3.4%
3 Year 4.2%
5 Year 5.4%
10 Year
15 Year
Since launch 7%
Historical performance (Yearly) on absolute basis
YearReturns
2021 3.3%
2020 4.3%
2019 6.7%
2018 7.4%
2017 6.7%
2016 7.7%
2015 8.4%
2014 9.2%
2013 9.3%
2012 9.7%
Fund Manager information for Aditya Birla Sun Life Liquid Fund
NameSinceTenure
Sunaina Cunha15 Jul 1110.8 Yr.
Kaustubh Gupta15 Jul 1110.8 Yr.
Harshil Suvarnkar9 Jun 210.89 Yr.

Data below for Aditya Birla Sun Life Liquid Fund as on 15 May 22

Asset Allocation
Asset ClassValue
Cash100%
Debt Sector Allocation
SectorValue
Cash Equivalent75.24%
Corporate19.74%
Government5.01%
Credit Quality
RatingValue
AA0.16%
AAA99.84%
Top Securities Holdings / Portfolio
NameHoldingValueQuantity
91 Dtb 13072022
Sovereign Bonds | -
5%₹1,672 Cr168,500,000
↑ 43,500,000
182 Dtb 21072022
Sovereign Bonds | -
2%₹853 Cr86,000,000
↑ 86,000,000
Bajaj Finance Ltd
Debentures | -
2%₹743 Cr15,000
↑ 15,000
8.15% Govt Stock 2022
Sovereign Bonds | -
1%₹507 Cr50,500,000
↑ 50,500,000
Mahindra & Mahindra Financial Services Limited
Debentures | -
1%₹495 Cr10,000
↑ 10,000
India (Republic of)
Sovereign Bonds | -
1%₹476 Cr48,011,100
↑ 48,011,100
364 Dtb 26052022
Sovereign Bonds | -
1%₹449 Cr45,000,000
↓ -30,000,000
LIC Housing Finance Limited
Debentures | -
1%₹372 Cr3,700
8.35% Govt Stock 2022
Sovereign Bonds | -
1%₹295 Cr29,500,000
India (Republic of)
Sovereign Bonds | -
1%₹248 Cr25,000,000
↑ 25,000,000

5. IDFC Cash Fund

To generate optimal returns with high liquidity by investing in high quality money market and debt instruments. However there is no assurance that the investment objective of the scheme will be realized.

IDFC Cash Fund is a Debt - Liquid Fund fund was launched on 4 Jun 08. It is a fund with Low risk and has given a CAGR/Annualized return of 7% since its launch.  Ranked 26 in Liquid Fund category.  Return for 2021 was 3.2% , 2020 was 4% and 2019 was 6.3% .

Below is the key information for IDFC Cash Fund

IDFC Cash Fund
Growth
Launch Date 4 Jun 08
NAV (20 May 22) ₹2,568.68 ↑ 0.30   (0.01 %)
Net Assets (Cr) ₹11,630 on 15 May 22
Category Debt - Liquid Fund
AMC IDFC Asset Management Company Limited
Rating
Risk Low
Expense Ratio 0.18
Sharpe Ratio -3.06
Information Ratio 0
Alpha Ratio 0
Min Investment 100
Min SIP Investment 100
Exit Load NIL
Yield to Maturity 4%
Effective Maturity 1 Month 5 Days
Modified Duration 1 Month 5 Days

Growth of 10,000 investment over the years.

DateValue
30 Apr 17₹10,000
30 Apr 18₹10,679
30 Apr 19₹11,462
30 Apr 20₹12,122
30 Apr 21₹12,520
30 Apr 22₹12,946

IDFC Cash Fund SIP Returns

   
My Monthly Investment:
Investment Tenure:
Years
Expected Annual Returns:
%
Total investment amount is ₹180,000
expected amount after 3 Years is ₹197,169.
Net Profit of ₹17,169
Invest Now

Returns for IDFC Cash Fund

Returns up to 1 year are on absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 20 May 22

DurationReturns
1 Month 0.3%
3 Month 0.9%
6 Month 1.7%
1 Year 3.4%
3 Year 4.1%
5 Year 5.3%
10 Year
15 Year
Since launch 7%
Historical performance (Yearly) on absolute basis
YearReturns
2021 3.2%
2020 4%
2019 6.3%
2018 7.3%
2017 6.6%
2016 7.6%
2015 8.4%
2014 9.1%
2013 9.2%
2012 9.6%
Fund Manager information for IDFC Cash Fund
NameSinceTenure
Harshal Joshi15 Sep 156.63 Yr.
Brijesh Shah1 Dec 210.41 Yr.

Data below for IDFC Cash Fund as on 15 May 22

Asset Allocation
Asset ClassValue
Cash100%
Debt Sector Allocation
SectorValue
Cash Equivalent79.34%
Corporate15.63%
Government5.03%
Credit Quality
RatingValue
AAA100%
Top Securities Holdings / Portfolio
NameHoldingValueQuantity
91 Dtb 09062022
Sovereign Bonds | -
8%₹921 Cr92,500,000
91 Dtb 16062022
Sovereign Bonds | -
6%₹707 Cr71,000,000
8.35% Govt Stock 2022
Sovereign Bonds | -
5%₹551 Cr55,000,000
↑ 55,000,000
91 Dtb 30062022
Sovereign Bonds | -
4%₹477 Cr48,000,000
↑ 10,000,000
Bajaj Finance Limited
Debentures | -
3%₹336 Cr33,500,000
↑ 16,000,000
8.15% Govt Stock 2022
Sovereign Bonds | -
2%₹251 Cr25,000,000
National Bank For Agriculture And Rural Development
Debentures | -
1%₹175 Cr17,500,000
Larsen And Toubro Limited
Debentures | -
1%₹145 Cr14,430,000
Housing Development Finance Corporation Ltd
Debentures | -
1%₹126 Cr12,500,000
↑ 12,500,000
Hdb Financial Services Limited
Debentures | -
1%₹116 Cr11,500,000

6. Kotak Liquid Fund

Aims to provide reasonable returns and high level of liquidity by investing in debt instruments such as bonds, debentures, Government Securities, money market instruments such as treasury bills, commercial paper, certificate of deposit, including repos in permitted securities of different maturities so as to spread the risk across different kinds of issuers in the debt markets.

Kotak Liquid Fund is a Debt - Liquid Fund fund was launched on 4 Nov 03. It is a fund with Low risk and has given a CAGR/Annualized return of 6.9% since its launch.  Ranked 33 in Liquid Fund category.  Return for 2021 was 3.2% , 2020 was 4.1% and 2019 was 6.5% .

Below is the key information for Kotak Liquid Fund

Kotak Liquid Fund
Growth
Launch Date 4 Nov 03
NAV (20 May 22) ₹4,298.42 ↑ 0.51   (0.01 %)
Net Assets (Cr) ₹30,230 on 30 Apr 22
Category Debt - Liquid Fund
AMC Kotak Mahindra Asset Management Co Ltd
Rating
Risk Low
Expense Ratio 0.23
Sharpe Ratio -2.79
Information Ratio 0
Alpha Ratio 0
Min Investment 5,000
Min SIP Investment 1,000
Exit Load NIL
Yield to Maturity 4.06%
Effective Maturity 1 Month 6 Days
Modified Duration 1 Month 6 Days

Growth of 10,000 investment over the years.

DateValue
30 Apr 17₹10,000
30 Apr 18₹10,676
30 Apr 19₹11,474
30 Apr 20₹12,146
30 Apr 21₹12,554
30 Apr 22₹12,975

Kotak Liquid Fund SIP Returns

   
My Monthly Investment:
Investment Tenure:
Years
Expected Annual Returns:
%
Total investment amount is ₹180,000
expected amount after 3 Years is ₹197,169.
Net Profit of ₹17,169
Invest Now

Returns for Kotak Liquid Fund

Returns up to 1 year are on absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 20 May 22

DurationReturns
1 Month 0.3%
3 Month 0.8%
6 Month 1.7%
1 Year 3.4%
3 Year 4.1%
5 Year 5.3%
10 Year
15 Year
Since launch 6.9%
Historical performance (Yearly) on absolute basis
YearReturns
2021 3.2%
2020 4.1%
2019 6.5%
2018 7.4%
2017 6.7%
2016 7.6%
2015 8.3%
2014 9.1%
2013 9.2%
2012 9.7%
Fund Manager information for Kotak Liquid Fund
NameSinceTenure
Deepak Agrawal11 Jul 0714.81 Yr.

Data below for Kotak Liquid Fund as on 30 Apr 22

Asset Allocation
Asset ClassValue
Cash100%
Debt Sector Allocation
SectorValue
Cash Equivalent74.49%
Corporate20.97%
Government4.54%
Credit Quality
RatingValue
AAA100%
Top Securities Holdings / Portfolio
NameHoldingValueQuantity
8.15% Govt Stock 2022
Sovereign Bonds | -
8%₹2,295 Cr228,500,000
India (Republic of)
Sovereign Bonds | -
4%₹1,239 Cr125,000,000
↑ 125,000,000
Housing Development Finance Corporation Ltd
Debentures | -
3%₹976 Cr9,750
364 DTB 16062022
Sovereign Bonds | -
2%₹746 Cr75,000,000
8.35% Govt Stock 2022
Sovereign Bonds | -
2%₹701 Cr70,000,000
↓ -52,000,000
364 Dtb 09062022
Sovereign Bonds | -
2%₹548 Cr55,000,000
91 Dtb 23062022
Sovereign Bonds | -
2%₹527 Cr53,000,000
Cholamandalam Investment & Finance Company Limited
Debentures | -
2%₹496 Cr10,000
↑ 10,000
91 Dtb 26052022
Sovereign Bonds | -
1%₹394 Cr39,500,000
↓ -37,500,000
364 Dtb 26052022
Sovereign Bonds | -
1%₹349 Cr35,000,000
↓ -65,000,000

How to evaluate Liquid Mutual Funds?

When looking for a liquid mutual fund, the past return should not be the only Factor for consideration. Other factors like fund size, track record, credit quality of Underlying securities should also be kept in mind.

1. Investment Plans

Liquid funds come with different plans like a daily dividend plan, weekly dividend plan, monthly dividend plan and growth plans. In the growth option, profits made by the scheme are invested back into it. This results in the NAV (Net Asset Value) of the scheme rising over time. In the dividend option, the profits made by the fund are not re-invested. Dividends are distributed to the investor from time to time. Investors can choose their plan as per their convenience and liquidity needs.

2. Expense Ratio

Mutual funds charge a fee to manage your funds called an expense ratio. As per SEBI norms, the upper limit of expense ratio is 2.25%. In case of liquid funds, they maintain a lower expense ratio to provide relatively higher returns over a short period of time.

3. Investment Horizon

Plan your investment horizon. Liquid funds are exclusively meant to invest surplus cash over a very short period of time that is for 91 days. So, if you have an idle cash, you can invest here for a short period and earn better returns than bank Savings Account. In case you have a longer investment horizon of up to 1 year, then you may consider investing in short duration funds to get relatively higher returns.

Features of Liquid Mutual Funds

Features-of-best-liquid-funds

1. Exit Load Of Liquid Mutual Funds

Considering the fact that liquid mutual funds are short-term investments with a low maturity period, the majority of the funds under this category do not levy any exit load on redemption. Also, if there exists any exit load, it is very nominal and usually not more than a week. Liquid funds generally do not have an exit load given they are very short investment products.

2. Volatility Of Liquid Fund Investment

Generally, the volatility of liquid funds is low as the investment lasts for a few days to weeks. So, the risk of loss in investment is quite less. However, it is suggested to make a liquid fund investment considering the market condition to avoid the opportunity of loss.

3. Lock-in Period Of Best Liquid Funds

Given that liquid mutual funds are very short-term investment options, liquid funds do not have any lock-in period. Liquid Funds can be invested for a time period as short as one day going upto a couple of weeks.

4. Liquid Fund Returns

Liquid funds are one of the best short-term investments during a high Inflation period. In the high inflation period, the interest rate on the liquid fund is high. Thus, helping liquid mutual funds to earn good returns. The liquid fund returns are usually higher than that of other traditional investments like bank fixed deposits or savings accounts. However, it is suggested to invest in best liquid funds choosing a right option (growth, dividend payout, dividend re-investment) suiting your needs.

5. Liquid Funds Taxation

Generally, liquid fund returns receive in the form of dividends are not taxed in the hands of investors. However, a Dividend Distribution Tax (DDT) of approximately 28% is deducted by the mutual fund company from the dividends. Moreover, for the investors who have opted for growth option, a short-term Capital Gain tax is deducted as per the individual’s tax slab. This tax Deduction is same as that of a savings account.

How to Invest in Liquid Funds Online?

  1. Open Free Investment Account for Lifetime at Fincash.com

  2. Complete your Registration and KYC Process

  3. Upload Documents (PAN, Aadhaar, etc.). And, You are Ready to Invest!

    Get Started

Due to the lack of awareness about liquid funds, people don’t invest in them and instead keep huge sums in a savings account. But, it’s never too late to begin something good. So, invest in best liquid funds today!

Disclaimer:
All efforts have been made to ensure the information provided here is accurate. However, no guarantees are made regarding correctness of data. Please verify with scheme information document before making any investment.
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