Are Debt funds going to give good returns?

[nikrod]

Hi,

I am planning to invest some liquid money (about Rs2 lakhs and then Rs 50k per month) in Debt oriented funds like:

1. Reliance MIP (G)
2. Canara Robeco Income

My question is

1. Whether lumpsum investment in debt funds is a problem? Is SIP a better way to go?

2. For Reliance MIP (and MIP in general), if I choose the Growth option, does that mean, that I won't get monthly income and it would just be invested again in the scheme (like in Equity Growth schemes)?

thanks
Nikhil

Lumpsum investment in debt funds is no problem. If fact it is the most preffered way to invest in debt funds. Many debt funds do not even offer SIP.


If you choose growth option of MIP's you won't receive any dividend. the money would grow like any other growth scheme.

 

[mfnovice]

How do you invest in MIP? Can we do it through ICICI Direct? Or is it advisable to go through AMC like equity MFs.

 

[nikhilfake]

you can invest in MIPs as you do with Mutual Funds. Just find Reliance MIP in ICICIDirect MF list and buy!