Dear Basu Sir,
I want to invest in Debt mutual funds since my time frame is for 2 yrs only. I find it as better option than RDs. I can manage upto 2 k for this. Kindly guide whether i need to split it in 1k-1k or not? Also which is the best fund for it.
I don’t think debt funds are efficient (especially when it comes to taxation) than FDs if your time horizon is just 2 years (less than 3 years). Instead, I suggest to use combination of Bank FDs and Arbitrage Funds.