Bandhan Money Manager Fund - Direct Plan
An open ended debt scheme investing in money market instruments. A scheme with relatively low interest rate risk and relatively low credit risk.
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What is the Meaning of a Money Market Mutual Fund?
Money market mutual funds are like a sturdy bridge between your savings account and higher-risk investments. They provide a relatively safe place to park your money while still offering the potential for better returns than a regular savings account.
Money market mutual funds, or money manager funds, are short-term, highly liquid debt investment schemes that invest in money market securities with relatively low interest rates and credit risk.
Common types of money market instruments in India include:
Commercial Papers: Short-term, unsecured promissory notes issued by companies with high credit ratings.
Treasury Bills: Low-risk instruments issued by the Government of India for up to 365 days.
Certificates of Deposit: Issued by scheduled commercial banks, these do not offer premature redemption options.
The Bandhan Money Manager Fund aims to offer investors the opportunity to invest in potentially low-risk, short-term securities. However, like all investments, they carry some risk.
Money manager funds are exposed to interest rate, price, and reinvestment risks, as interest rates at maturity may differ from the original coupon.
Money manager funds are taxed based on holding period: Long-Term Capital Gains (LTCG) tax of 20% with indexation applies after three years, while Short-Term Capital Gains (STCG) tax applies for holdings of less than three years, taxed as per the investor’s income slab.
- Min Investment 100
- Min SIP Amount 100
- Exit LoadNil
Scheme is suitable as 'Core' debt allocation and is recommended for a minimum investment horizon of 6 months
Tier 1 Benchmark : NIFTY Money Market Index A-I (w.e.f. 1st April 2022)Alternate Benchmark : CRISIL 1 Year T-Bill Index
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Performance as on 31st October 2024
| Scheme Names | CAGR Returns (%) | Current value of Investment of 10,000 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| 1 year | 3 year | 5 year | 10 year | 18/02/2003 Since inception | 1 year | 3 year | 5 year | 10 year | 18/02/2003 Since inception | |
| Bandhan Money Manager Fund - Regular Plan - Growth | 7.07 | 5.72 | 5.07 | 6.12 | 6.38 | 10,709 | 11,823 | 12,811 | 18,122 | 38,340 |
| 7.60 | 6.31 | 5.46 | 6.52 | 7.12 | 10,762 | 12,017 | 13,048 | 18,815 | 44,523 | |
| 7.54 | 5.97 | 5.52 | 6.39 | 5.97 | 10,756 | 11,902 | 13,087 | 18,593 | 35,195 | |
| ^ Tier 1 Benchmark | ^^ Alternate Benchmark | ^^^ Tier 2 Benchmark | ||||||||||
This fund is managed by Mr. Brijesh Shah (w.e.f 12/07/2021) & Mr. Gautam Kaul (w.e.f 01/12/2021)
View fund performance of other funds managed by Mr. Brijesh Shah, Mr. Gautam Kaul
Past performance may or may not be sustained in future.
Regular and Direct Plans have different expense structure. Direct Plan shall have a lower expense ratio excluding distribution expenses, commission expenses etc.
Taxation:
For taxation, please refer the link : https://bit.ly/46xQzi1
Bandhan Money Manager Fund
(Scheme Risk-o-meter)
NIFTY Money Market Index A-I (w.e.f. 1st April 2022)
(Tier 1 Benchmark Risk-o-meter)
This product is suitable for investors who are seeking* :
- To generate short term optimal returns with relative stability and high liquidity.
- Investments predominantly in money market instruments.
Who Should Invest in Bandhan Money Manager Fund?
Bandhan Money Manager Fund is a relatively low-risk, highly liquid debt scheme, suitable for investors seeking short-term, low-risk investments. However, all mutual funds are subject to market risks; money manager funds may be vulnerable to risks such as interest rate, credit, and reinvestment risks. Investors should assess their risk tolerance before investing.
This fund is suitable for investors seeking short-term investments in instruments like government securities, certificates of deposit, and treasury bills. Investors aiming for short-term returns with higher liquidity may benefit from money manager funds.
Money market mutual funds are not suitable for investors seeking tax-saving options, as they are subject to STCG and LTCG taxes.
FAQs on Money Market Mutual Funds
What is a Money Market Mutual Fund?
Money Market Mutual Funds are an open-ended debt scheme that invests in money market instruments such as treasury bills, certificates of deposits, government securities, commercial papers etc. These are relatively low-risk and may be suitable short-term investments.
Are Money Market Mutual Funds returns high?
Money Market Mutual Funds are a low-risk-return investment option. As these funds invest in low-risk securities, their returns may potentially be lower.
How to invest in Money Market Mutual Funds?
Investors can invest in Money Market Funds via the AMC’s website or through a broker/financial advisor. You must first determine the mode of investment, i.e. SIP or lumpsum. After determining the investment amount, you can login to your account on our website and invest in the fund.
Are Money Market short-term Funds risky?
No, Money Manager Mutual Funds are a relatively low-risk investment. They invest in money market instruments with relatively low-interest rate risk and low credit risk. Moreover, they are relatively a higher liquid investment option.
Are Money Manager Funds tax-saving?
No, Money Manager Funds are not a tax-saving investment. They are subject to STCG and LTCG tax. STCG tax is levied on investments held for less than three years. The gains are added to the investor's income and taxed according to their income tax slab. LTCG tax is levied on investments held for over three years at 20% after indexation benefits.
Are Money Manager Funds a suitable long-term investment option?
No, Money Manager Mutual Funds are usually a short-term investment option. They may be a suitable option for investors with a short-term investment horizon.