How to Invest in Liquid Funds?
Liquid funds are a type of mutual fund that invests in short-term debt securities, such as treasury bills, commercial paper, and certificates of deposit. They are considered to be a low-risk investment and are a good option for investors who need access to their money quickly. Liquid funds typically offer higher yields than bank fixed deposits, but they are not as liquid as stocks or bonds. This means that it may take some time to sell your investment if you need to access your money. Overall, liquid funds are a good option for investors who are looking for a safe and liquid investment with the potential for higher yields than bank fixed deposits.
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