Bajaj Finserv AMC has launched a new mutual fund scheme called Bajaj Finserv Low Duration Fund. It is an open-ended low-duration debt fund designed for investors who want short-term income along with liquidity and flexibility.
The New Fund Offer (NFO) will open on February 9, 2026, and close on February 16, 2026.
Key Details of the Fund
Here are the main details of the Bajaj Finserv Low Duration Fund:
Fund Name: Bajaj Finserv Low Duration Fund
Fund Type: Open-ended low duration debt scheme
NFO Open Date: February 9, 2026
NFO Close Date: February 16, 2026
Minimum Investment: ₹5,000
SIP Investment: ₹1,000
Exit Load: Nil
Benchmark: Nifty Low Duration Debt Index AI
Risk Level: Moderate Risk
Fund Managers: Nimesh Chandan and Siddharth Choudhary
The fund falls under Potential Risk Class B-III, which means it has relatively high interest rate risk and moderate credit risk.
Fund Duration and Investment Strategy
The Macaulay duration of the fund will be between 6 and 12 months. This makes it suitable for investors who have surplus money and want to invest for a short period.
The fund aims to provide a better alternative to traditional savings options and may offer higher income opportunities without the high volatility of equity markets.
Where Will the Fund Invest?
The fund will invest in a diversified portfolio of debt and money market instruments, such as:
Money market securities
Corporate bonds
Non-convertible debentures (NCDs)
Treasury bills
Third-party repos
Repos on government securities
The fund will actively manage liquidity and interest rate risk. While keeping the overall duration low, it may also invest in a limited amount of long-term securities.
Who Should Invest in This Fund?
This fund is suitable for investors who want to park excess funds for 6 to 12 months. It can also be used for systematic investment strategies, such as investing gradually in equity or hybrid funds through a Systematic Transfer Plan (STP).
This approach helps reduce market entry risk while generating income during the investment period.
Expert View from Bajaj Finserv AMC
Nimesh Chandan, CIO of Bajaj Finserv AMC, said that low-duration funds are a good option for investors looking for stable returns with low volatility.
He explained that interest rates are currently stable, but short-term yields are high due to a slight liquidity shortage in the market, not because of any major economic crisis. He added that the impact of interest rates may become clearer from the new financial year, and RBI’s liquidity support could reduce market pressure.
This situation may create opportunities for investors to earn regular income along with potential capital gains.
Investment Amount and Flexibility
Investors can start investing in this fund with a minimum amount of ₹5,000 during the NFO period. There are no entry or exit loads, which makes the scheme flexible and easy to access.
The fund will be jointly managed by Nimesh Chandan and Siddharth Choudhary, and its benchmark is the Nifty Low Duration Debt Index AI.
