Liquid funds are a type of mutual funds that invest in securities with a residual maturity of up to 91 days. Assets invested are not tied up for a long time as liquid funds do not have a lock-in period.Liquid Fund is a type of debt mutual funds. These are open-ended schemes which have a short-term investment horizon. These invest in money market instruments like the certificate of deposit, treasury bills and commercial paper of up to 91 days.
I have discussed mutual funds in the post overview of All the Instrument Present in the Indian Economy , 80C Instrument and A financial guide … More