These 3 Debt Short Duration Funds Are Better than FDs, Offered More Than 8% Returns

With fixed deposit interest rates rising once more, what are the many ways you may use to invest for greater returns becomes an essential consideration. Here are some debt short-term funds that have outperformed FDs over a three-year period.

ICICI Prudential Short Term Fund- Direct Plan-Growth

NAV	Fund Size	Expense Ratio
₹50.73	₹ 21798.92 Cr	0.37%

NAV as on 10 February 2022

As of December 31, 2021, the AUM of ICICI Prudential Short Term Fund Direct Plan-Growth was Rs 21,799 crores. It is a medium-sized fund in its class. The expense percentage of the fund is 0.37%, while the average category cost ratio is 0.34%. The expense ratio of the fund is comparable to that of most other Short Duration funds.

In the previous year, the fund's Direct Plan-Growth returns have averaged 5.06%. Since its beginning, has provided an average yearly return of 8.84%. Every nine years, the fund has quadrupled the amount invested in it. The fund's ability to provide consistent returns is comparable to that of the majority of funds in its category.

It has an above-average capacity to control losses in a sinking market. It has a moderate risk on the danger meter. The fund's credit profile is moderate, indicating that it has been loaned to borrowers of high quality. The risk of default in this fund is higher than in the category since the majority of funds in this category lend to stronger borrowers.

Returns- On Rs 10,000 Investment

1-Year	3-Year	5-Year	Since Inception
5.05%	8.57%	7.92%	8.84%

Axis Short Term- Direct Fund- Growth

NAV	Fund Size	Expense Ratio
₹26.50	₹ 13619.0 Cr	0.30%

NAV as on 10 February 2022

Axis Short Term Direct Fund-Growth has an AUM of Rs 13,619 Crores as of 31 December 2021 and is a medium-sized fund in its category. The fund's cost ratio is 0.3%, which is comparable to that of most other Short Duration funds.

Axis Short Term Direct Fund's 1-year growth returns are 5.00%. It has provided an average yearly return of 8.57% since its inception. Every nine years, the fund has quadrupled the amount invested in it. The fund's ability to provide consistent returns outperforms that of the majority of funds in its category.

It has a high ability to control losses in a declining market. When it comes to sitting investments, the risk is low to moderate. The credit history of the fund is outstanding, indicating that it has lent to high-quality consumers. The risk of default in this fund is higher than in the category since the majority of funds in this category lend to stronger borrowers.

Returns - On investment of Rs 10,000

1-Year	3-Year	5-Year	Since Inception
4.94%	8.28%	7.75%	8.57%

HDFC Short Term Debt Fund- Direct Plan-Growth

NAV	Fund Size	Expense Ratio
₹26.06	₹ 17368.11 Cr	0.29%

NAV as on 10 February 2022

As of December 31, 2021, the AUM of HDFC Short Term Debt Fund Direct Plan-Growth was Rs 17,368 Crores. This is a medium-sized fund in its class. The fund's cost ratio is 0.29%, which is comparable to that of most other Short Duration funds.

The fund has offered 5.21% returns under the Direct Plan-Growth Plan. It has provided an average yearly return of 8.44% since its inception. Every nine years, the fund has quadrupled the amount invested in it.

Its ability to provide consistent returns is comparable to that of the majority of funds in its category. It has a mediocre capacity to limit losses in a sinking market. It has the lowest risk compared to the other two funds suggested to her.

Returns - On Investment of Rs 10,000

1-Year	3-Year	5-Year	Since Inception
5.12%	8.29%	7.75%	8.44%

Disclaimer

Mutual fund investments are subject to market risk. Read all scheme-related documents, Terms and Conditions carefully before investing. The above-mentioned information is purely informational and carried forward from MoneyControl and Groww. The Greynium Information Technologies and the Author are not liable for any losses caused as a result of a decision based on the article.