How Can Reliance Liquid Fund Help You During Financial Emergency?

After reading the title many people might argue that why to go on a route of liquid funds when savings account provides the best liquidity as the amount from a bank account can be withdraw in seconds. The argument stands a chance only in terms of faster redemption but not in terms of returns. Your amount will earn better returns through liquid funds than the once sitting ideal in your bank account. And, Reliance Liquid Fund is one such scheme that have always grabbed the top spot in terms of returns. With almost double the returns, an investor can obviously compromise with the redemption period.

Reliance Liquid Fund: At a Glance

The liquid fund of Reliance Mutual Fund was launched on 9th December, 2003 with an investment objective to provide long term capital appreciation to the investors along with high liquidity. The AUM of Reliance Liquid Fund is Rs. 34,422 Crore (as on 30th April, 2019) which is diversified in the instruments having high credit quality and low interest rate sensitivity. An investor can begin investing in this debt fund of Reliance MF with a minimum amount of Rs. 500. The scheme has an expense ratio of 0.23% (as on 30th April, 2019) which further aids in gaining high profit. Moreover, the scheme comes with a zero lock-in period which makes it a suitable fund for emergency as an investor can make the redemption any time in a day.

Reliance Liquid Fund: Style of Investment

The fund manager, Ms. Anju Chhajer follows a very focused approach and parks the investors money largely in A1+ credit quality instruments. In general, the debt and money market instruments in which the cash is ploughed have a maturity period of 0.13 years. The fund invests in the instruments having low maturity period which makes it one of the best mutual fund for the investors who want to invest in the mutual fund market for a shorter period of time and withdraw their money easily without paying the exit load.

Reliance Liquid Fund: Best Scheme During Emergency

The emergency fund of Reliance Mutual Fund has given exceptional returns in the past. Thus, by starting the SIP plan in this mutual fund, an investor can achieve good profits on the invested amount. Furthermore, L&T Midcap Fund comes with zero exit load therefore when an investor is in need of urgent amount then he can make the redemption quickly from the scheme. In this way, an investor can generate high returns on the invested amount along with high liquidity. Also, an investor can make quick redemption of up to Rs. 50000 in a day or 90% of the invested amount, whichever is low, and the remaining amount will be redeemed on the next working day.

About the Fund Manager of Reliance Liquid Fund

Ms. Anju Chhajer: She is a B.Com graduate and a CA. Ms. Chhajer joined the Reliance Mutual Fund in 2007 and holds 16 years of experience in the debt market. She manages the debt mutual funds of the AMC and is associated with the firm as Debt Fund Manager. Through her in-depth research and analysis, she has never failed to meet the expectations of the investors.

This brings us to the end of the write-up. Investors are always looking for the best investment plan that can act as a saviour during financial emergency and a perfect example of such plan is Reliance Liquid Fund. Thus, investors should park their surplus cash in this liquid fund of Reliance Mutual Fund for better gains.