Answer Book question
A debt fund that holds very short-term, high-quality instruments maturing within about three months. Money is usually back in your bank within a working day. It is a place to park cash you will need soon. the reserve, the land-sale money while you decide, the tax provision. with returns a little above savings accounts.
A debt fund that holds very short-term, high-quality instruments maturing within about three months. Money is usually back in your bank within a working day. It is a place to park cash you will need soon. the reserve, the land-sale money while you decide, the tax provision. with returns a little above savings accounts.
The family from the land sale parks ₹25 lakh in a liquid fund for four months while the CA works and the purpose list is written. It earns more than savings, stays accessible, and is out of sight of impulse.
Because the holdings are short and high-grade, the value barely moves. There is no lock-in. Some offer instant redemption up to a limit.
Credit quality Redemption timeline Exit load (usually nil after a week) Expense ratio
Leaving large sums in savings accounts for months "while deciding." A liquid fund does the same job at a better rate.
Useful for NRI families holding rupee funds for a house purchase or a business start, where the timing is uncertain.
₹25 lakh for 4 months: savings at 3 percent ≈ ₹25,000; liquid fund at 6.5 percent ≈ ₹54,000.
It is a parking place, not an investment. Do not hold long-term money here.
Park, decide, then deploy
I sold a house and have ₹75 lakh. Where should I keep it while I decide? What should stay in cash even if I am investing?
Kerala Rising Money
SEBI investor education material · AMFI · RBI guidance on deposits · Kerala Rising is not a SEBI-registered investment adviser; product selection is for a registered adviser Rates, limits and whether you may qualify change. Confirm with the official source. Ask Kerala Rising: Tell us the amount, where it is now, and what it is for. We will help you frame the question before you speak to a registered adviser. and tell you what to ask them. WhatsApp +1 443 595 9000 · keralarising.com Kerala Rising › Money › Investing · Money 15
This page is general orientation, not personal insurance, investment, medical, legal, lending, tax, or professional advice. Rules, rates, benefits, and claim or application decisions can change. Confirm the current position with the named official source and use a licensed or qualified professional where your situation requires one. Kerala Rising does not decide whether you may qualify, approve claims, or promise an outcome.