Question

What are gilt funds?

Answer 1

Mutual fund is a mode of fund where small money from many is pooled with an intention to make quantified pennies on those small units of money. Gilt funds are one type of mutual funds and here the pooled money is invested in securities and bonds provided by government institutions. Such securities are a form of debt instrument so the return is guaranteed to maximum extent.

Answer 2

Gilt funds involve investing in Government securities or the ones that are free even from fundamental risks. This ensures maximum returns and it helps to handle short term liquidity. It’s comprised of treasury bills which require the minimum investment of Rs.25, 000 and it’s issued through three groups of auctions viz 91- day, 182- day and 364-day.

Answer as a Guest
*Name:
*E-mail Address:
*Answer: As per our Privacy Policy, We don't share your personal Information with anyone.