Money guru: Arbitrage or liquid fund, which one is better, know in this report!

Arbitrage fund: Mutual Funds comes in Equity category. 65% of the fund is invested in stocks. Arbitrage funds are considered very safe. After investing in equity, he hedges in the derivatives market. The risk on shares bought in the cash market is reduced. Here the return depends on the difference between the share price in the cash-derivative market. Arbitrage Fund Funds perform well in volatile markets.

Updated on: June 08, 2023, 12.22 AM IST
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