IDFC Mutual Fund is buying into the 9-14 year government bonds segment in its actively managed duration funds. The fund house says it is their tactical move as the steepness of the 9-14 year segment as compared to the 6-8 years segment remains intact. "This change from our “stickier" preferred stance of 6 – 8 year bonds is basis a few tactical considerations. Despite an increasing in issuance in the 3 – 5 year segment under the revised borrowing calendar and with RBI stepping up OMO purchases, the steepness of the 9 – 14 year segment to 6 – 8 year had been largely intact," says Suyash Choudhary, head-fixed income, IDFC Mutual Fund.
