Liquid funds are typically debt mutual fund that invest your money in liquid assets (very short-term Market instruments) for short periods of time (ranging from a couple of days to a few weeks). They have high liquidity, that means, one can quickly convert the assets invested in (to yield some returns) to cash. The residual maturity of liquid Mutual Funds is less than or equal to 91 days.
Further, the liquid fund returns are less volatile as they invest in short-term investment instruments like commercial papers, certificates of deposit, treasury bills etc. Liquid funds are one of the best mutual funds to invest your idle money to earn good returns in a shorter duration.
Fund NAV Net Assets (Cr) 1 MO (%) 3 MO (%) 6 MO (%) 1 YR (%) 2024 (%) Debt Yield (YTM) Mod. Duration Eff. Maturity BOI AXA Liquid Fund Growth ₹3,037.45
↑ 0.48 ₹2,002 0.5 1.5 3.3 7 7.4 5.64% 1M 17D 1M 17D Axis Liquid Fund Growth ₹2,936.66
↑ 0.46 ₹36,757 0.5 1.5 3.3 7 7.4 5.85% 1M 12D 1M 15D Canara Robeco Liquid Growth ₹3,174.4
↑ 0.48 ₹6,577 0.5 1.4 3.3 6.9 7.4 5.76% 1M 5D 1M 7D DSP Liquidity Fund Growth ₹3,765.29
↑ 0.58 ₹22,245 0.5 1.5 3.3 6.9 7.4 5.83% 1M 13D 1M 17D Invesco India Liquid Fund Growth ₹3,624.97
↑ 0.54 ₹14,240 0.5 1.5 3.3 6.9 7.4 5.78% 1M 9D 1M 9D Tata Liquid Fund Growth ₹4,153.86
↑ 0.65 ₹22,951 0.5 1.5 3.3 6.9 7.3 5.88% 1M 15D 1M 15D Edelweiss Liquid Fund Growth ₹3,372.69
↑ 0.51 ₹8,323 0.5 1.5 3.3 6.9 7.3 5.76% 1M 16D 1M 16D UTI Liquid Cash Plan Growth ₹4,326.66
↑ 0.69 ₹29,013 0.5 1.5 3.3 6.9 7.3 5.86% 1M 13D 1M 13D Aditya Birla Sun Life Liquid Fund Growth ₹424.968
↑ 0.07 ₹51,913 0.5 1.5 3.3 6.9 7.3 5.89% 1M 13D 1M 13D Mirae Asset Cash Management Fund Growth ₹2,765.53
↑ 0.44 ₹13,634 0.5 1.5 3.3 6.9 7.3 5.77% 1M 6D 1M 7D Note: Returns up to 1 year are on absolute basis & more than 1 year are on CAGR basis. as on 3 Sep 25 Research Highlights & Commentary of 10 Funds showcased
Commentary BOI AXA Liquid Fund Axis Liquid Fund Canara Robeco Liquid DSP Liquidity Fund Invesco India Liquid Fund Tata Liquid Fund Edelweiss Liquid Fund UTI Liquid Cash Plan Aditya Birla Sun Life Liquid Fund Mirae Asset Cash Management Fund Point 1 Bottom quartile AUM (₹2,002 Cr). Top quartile AUM (₹36,757 Cr). Bottom quartile AUM (₹6,577 Cr). Upper mid AUM (₹22,245 Cr). Lower mid AUM (₹14,240 Cr). Upper mid AUM (₹22,951 Cr). Bottom quartile AUM (₹8,323 Cr). Upper mid AUM (₹29,013 Cr). Highest AUM (₹51,913 Cr). Lower mid AUM (₹13,634 Cr). Point 2 Established history (17+ yrs). Established history (15+ yrs). Established history (17+ yrs). Established history (19+ yrs). Established history (18+ yrs). Oldest track record among peers (21 yrs). Established history (17+ yrs). Established history (21+ yrs). Established history (21+ yrs). Established history (16+ yrs). Point 3 Rating: 3★ (upper mid). Top rated. Rating: 3★ (lower mid). Rating: 3★ (lower mid). Rating: 4★ (top quartile). Rating: 4★ (upper mid). Rating: 2★ (bottom quartile). Rating: 3★ (bottom quartile). Rating: 4★ (upper mid). Rating: 2★ (bottom quartile). Point 4 Risk profile: Low. Risk profile: Low. Risk profile: Low. Risk profile: Low. Risk profile: Low. Risk profile: Low. Risk profile: Low. Risk profile: Low. Risk profile: Low. Risk profile: Low. Point 5 1Y return: 6.98% (top quartile). 1Y return: 6.96% (top quartile). 1Y return: 6.94% (upper mid). 1Y return: 6.93% (upper mid). 1Y return: 6.93% (upper mid). 1Y return: 6.93% (lower mid). 1Y return: 6.92% (lower mid). 1Y return: 6.92% (bottom quartile). 1Y return: 6.91% (bottom quartile). 1Y return: 6.90% (bottom quartile). Point 6 1M return: 0.47% (top quartile). 1M return: 0.47% (lower mid). 1M return: 0.47% (lower mid). 1M return: 0.47% (bottom quartile). 1M return: 0.46% (bottom quartile). 1M return: 0.47% (bottom quartile). 1M return: 0.47% (top quartile). 1M return: 0.47% (upper mid). 1M return: 0.47% (upper mid). 1M return: 0.47% (upper mid). Point 7 Sharpe: 4.36 (top quartile). Sharpe: 3.64 (upper mid). Sharpe: 3.31 (bottom quartile). Sharpe: 4.00 (top quartile). Sharpe: 3.63 (upper mid). Sharpe: 3.33 (lower mid). Sharpe: 3.64 (upper mid). Sharpe: 3.22 (bottom quartile). Sharpe: 3.23 (bottom quartile). Sharpe: 3.62 (lower mid). Point 8 Information ratio: 0.52 (top quartile). Information ratio: 0.00 (top quartile). Information ratio: -0.08 (bottom quartile). Information ratio: 0.00 (upper mid). Information ratio: 0.00 (upper mid). Information ratio: 0.00 (upper mid). Information ratio: 0.00 (lower mid). Information ratio: 0.00 (lower mid). Information ratio: 0.00 (bottom quartile). Information ratio: 0.00 (bottom quartile). Point 9 Yield to maturity (debt): 5.64% (bottom quartile). Yield to maturity (debt): 5.85% (upper mid). Yield to maturity (debt): 5.76% (bottom quartile). Yield to maturity (debt): 5.83% (upper mid). Yield to maturity (debt): 5.78% (lower mid). Yield to maturity (debt): 5.88% (top quartile). Yield to maturity (debt): 5.76% (bottom quartile). Yield to maturity (debt): 5.86% (upper mid). Yield to maturity (debt): 5.89% (top quartile). Yield to maturity (debt): 5.77% (lower mid). Point 10 Modified duration: 0.13 yrs (bottom quartile). Modified duration: 0.12 yrs (upper mid). Modified duration: 0.10 yrs (top quartile). Modified duration: 0.12 yrs (upper mid). Modified duration: 0.11 yrs (upper mid). Modified duration: 0.13 yrs (bottom quartile). Modified duration: 0.13 yrs (bottom quartile). Modified duration: 0.12 yrs (lower mid). Modified duration: 0.12 yrs (lower mid). Modified duration: 0.10 yrs (top quartile). BOI AXA Liquid Fund
Axis Liquid Fund
Canara Robeco Liquid
DSP Liquidity Fund
Invesco India Liquid Fund
Tata Liquid Fund
Edelweiss Liquid Fund
UTI Liquid Cash Plan
Aditya Birla Sun Life Liquid Fund
Mirae Asset Cash Management Fund
Liquid
funds having AUM/Net Assets above 1000 Crore
. Sorted on Last 1 Year Return
.
Generally, liquid funds offer various benefits. Some of the major ones are listed below.
Being invested for a short duration, these funds are one of the best investment instruments to avail high Inflation benefits. Typically, during high inflation period, RBI keeps the rate of inflation high and reduces liquidity. This helps the liquid funds to earn good returns.
The maturity of liquid investments is 91 days, so it is very less risky. Also, some of the portfolios of these investments have a very low maturity, sometimes as low as six or eight days. So, being a short-term investment, these funds are not traded in the market but are Held-to-Maturity by the fund.
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The liquid mutual funds have no lock-in period, which means that you can withdraw your money anytime you want. Once you request for withdrawal, the money can be received within 24 hours.
Though liquid funds returns might seem tax-free in the hands of investors, an additional Dividend Distribution Tax (DDT) is paid by the Fund House. So, the returns are not totally tax-free.
There are various Investing options available to invest in liquid mutual funds. These include growth plans, monthly dividend plans, weekly dividend plans and daily dividend plans. Therefore, the investors have an option to choose a plan according to their convenience and liquidity needs.
Lastly, there are no entry and exit loads applicable on liquid funds.
When planning to invest idle money to earn better returns liquid funds are a good option. Generally, anyone having idle cash in their Savings Account must have thought of investing it somewhere to make more money out of it. But the desire of having our money available whenever we need it retains us from making such investments. If you are struggling with the same problem, we have a solution for you. Invest in liquid mutual funds and let your money grow to save better!