What are target maturity debt funds or defined maturity bond funds?
Updated: 13 Dec 2021, 05:37 PM IST
TL;DR.
Debt mutual funds that are liquid and assure to give a fixed amount on maturity to investors are target maturity funds. Read further to understand the nuances of this new category of financial instruments.The target maturity funds are meant for low-risk investors, or as safe allocation in the portfolio of investors with moderate or high risk.