InvestorQ : Should I invest in shorter duration funds as bonds are not performing well?
seema Upadhyaya made post

Should I invest in shorter duration funds as bonds are not performing well?

Answer
image
Anusha Savla answered.
2 months ago
Follow

In the scenario where interest rates will be hardening, it makes perfect sense to favor short-duration funds in your portfolio. The recent inflation numbers point in the direction of a hawkish stance by the Reserve Bank of India, sooner rather than later. Benchmark bonds in the United States also seem to indicate that the era of ample liquidity is coming to an end.

Thus, increasing allocation to the shorter duration funds will help take the pressure off your portfolio in the times to come.

1 Views