Recent events involving delay and deferment of redemptions proceeds of Fixed Maturity Plans (FMPs) of some fund houses due to the apparent delay in payments by Essel Group companies has reignited the issue of risks in debt funds. As we have been maintaining, that the credit crisis in the bond markets which began in September 2018 is not over yet and investors should prioritize safety and liquidity over returns while investing in debt funds.
Over the last five years, there have been many ..