Dynamic bond funds are ones that maintain portfolio maturity ideally on the longer side, but modulate the maturity profile as per the view on interest rate movements. That is to say, on a bullish view on interest rate movement, the fund manager would increase portfolio maturity to say 15 years to take advantage of fall in interest rates. On the other hand, when the view turns bearish and interest rates are expected to move up, the fund manager would turn defensive.
6 equity mutual funds offer over 25% CAGR in five years
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