Where TMFs score: Transparent, low on credit risk and cost-efficient

FMPs don't face the issue of liquidity management but have higher costs

Fund houses are currently coming out with the new fund offers (NFOs) of both fixed maturity plans (FMPs) and target maturity funds (TMFs). Kotak Mahindra Mutual Fund (MF) has launched Kotak Fixed Maturity Plan Series 329 90 Days, while Nippon India MF has come out with Nippon India Fixed Maturity Plan XLVI Series 5.

NFOs of TMFs are currently on from Axis MF (Axis CRISIL IBX SDL June 2034 Debt Index Fund) and Kotak Mahindra MF (Kotak Nifty AAA Bond Jun 2025 HTM Index Fund).

 

Date of launch no longer relevant
 

Earlier, fund houses launched FMPs towards the year-end, enabling