Bajaj Finserv Mutual Fund has launched a low duration debt fund aimed at investors seeking relatively stable returns. The scheme will invest in  debt instruments with shorter maturities to manage interest rate risk. Analysts said such funds suit conservative investors with the short term horizons. Market participants noted rising interest in  the debt products amid rate uncertainty and portfolio diversification needs.

Several upcoming mutual fund NFOs are drawing investor attention and particularly in thematic funds, fund of funds, and ETFs. Market participants said such offerings allow exposure to specific trends and asset classes. However, experts advised investors to assess risk and  suitability, and investment horizon carefully. Demand for NFOs often rises during market optimism but long term performance depends on underlying fundamentals.