The likely hike in interest rates in early next year may push up deposit rates marginally but it is likely to drag returns from debt funds down, fear these investors. Advisors say though these investors are genuinely worried about their investments, they may be approaching the issue wrongly.“Many traditional debt investors are getting into equity because debt funds are giving poor returns. For example, if you have a goal that needs to be achieved in 10 years, you can use equity schemes to fund it. Don’t fall for tall claims of some equity schemes that are safe to bet. There are no safe equity schemes.

Source: Economic Times November 10, 2021 09:15 UTC