After clocking abysmal returns till the early part of this year, liquid mutual funds are showing signs of revival. One-year returns of these schemes have been around 7 per cent on an average in recent times after clocking a multi-year low of 6.5 per cent in February this year.
Liquid schemes are typically avenues where investors park emergency or idle cash and corporates look to make treasury gains. These are preferred over savings accounts and short-term deposits.