Bandhan Mutual Fund has introduced the Bandhan CRISIL-IBX 10:90 Gilt + SDL Index – Dec 2029 Fund, an open-ended target maturity index fund designed to provide investors with a structured and sovereign-backed investment opportunity. The fund comprises 90% State Development Loans (SDLs) and 10% Government Securities (G-Secs), offering a balance of stability and optimized returns. The New Fund Offer (NFO) opens on February 25, 2025, and closes on March 5, 2025.
Vishal Kapoor, CEO, Bandhan AMC, highlighted the importance of investing in high-quality fixed-income instruments amid evolving market conditions. “This fund provides investors with liquidity and reasonable return visibility if held until maturity. SDLs maturing in 4-5 years are expected to be in high demand as we enter the rate cut cycle,” Kapoor noted. With the Reserve Bank of India’s liquidity coverage framework and slowing credit growth driving demand for SDLs, experts see this as an efficient investment avenue amid changing macroeconomic conditions. The government’s focus on long-term G-Sec issuances and buybacks is further reducing shorter-term supply, favoring SDLs.
The launch of this fund is particularly relevant for Kolkata’s investor community, where demand for fixed-income instruments has grown steadily. Given the city’s strong retail investment base and increasing awareness of sovereign-backed securities, Bandhan Mutual Fund’s new offering is expected to attract both seasoned and first-time investors. Financial advisors in Kolkata highlight that the structured tenure and sovereign backing make it a viable choice for risk-averse investors looking for stable returns in a changing interest rate environment.