Edelweiss Mutual Fund Launches Edelweiss Low Duration Fund with a Minimum Investment of ₹100. Suitable for short-term investments, the subscription is open until March 18th.
Edelweiss MF: Mutual fund house Edelweiss Mutual Fund launched the Edelweiss Low Duration Fund on Tuesday, March 11th. This is an open-ended debt scheme that invests in debt and money market instruments. The fund's primary objective is to maintain the portfolio's Macaulay Duration between 6 and 12 months. This scheme involves comparatively high interest rate risk and moderate credit risk.
NFO Open Until March 18th
Edelweiss's New Fund Offer (NFO) opened for subscription on March 11th, 2025, and investors can invest until March 18th, 2025. The minimum investment amount is ₹100, with subsequent investments allowed in multiples of ₹1. The fund is managed by Pranavi Kulkarni and Rahul Dedhia.
What is the Investment Strategy of Edelweiss Low Duration Fund?
According to the fund house, the scheme's main objective is to generate income by investing in low-duration debt and money market securities. The fund will actively manage a high-quality portfolio with a Macaulay Duration of 6 to 12 months, striking a balance between stability and returns.
Who is this Fund Suitable For?
According to Radhika Gupta, Managing Director and CEO of Edelweiss Mutual Fund, this fund is suitable for both individual and institutional investors. It could be a good option for investors seeking stable income with moderate risk through debt and money market instruments in the short term.
Benefits for Investors from New Tax Regulations
Radhika Gupta highlighted that recent changes in tax slabs have made debt mutual funds more tax-efficient for retail investors. Under the new tax regime, if an investor's total annual income is less than ₹12 lakhs, they will not have to pay capital gains tax.
Should You Invest in Edelweiss Low Duration Fund?
- This fund is a better option for short-term investors.
- It carries low to moderate risk, making it suitable for investors seeking stable returns.
- Due to the new tax regulations, it may be more advantageous for retail investors.
- If you are planning to invest for 6 to 12 months, this fund may be suitable for you.
