 "Put new money in shorter-duration bond funds")
Debt mutual funds (MFs) had a good run until the Reserve Bank of India’s (RBI) monetary policy review in February, when interest rates were left unchanged and the policy stance changed from accommodative to neutral. The minutes of the Monetary Policy Committee’s meeting, released last week, indicated there were concerns about inflation.
This means there is likelihood of a rate hike if inflation rises beyond the RBI’s comfort levels. While pressure for inflation from domestic factors, such as high growth or wages, seems unlikely at present, there could be pressure from global factors, such as commodity price movement. In such
