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What are Money Market / Liquid Fund / income funds?

April 26, 2017fund funds income liquid Money Market

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What are Money Market / Liquid Fund / income funds?

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These funds are also income funds and their aim is to provide easy liquidity, preservation of capital and moderate income. These schemes invest exclusively in safer short-term instruments such as treasury bills, certificates of deposit, commercial paper and inter-bank call money, government securities, etc. Returns on these schemes fluctuate much less compared to other funds.